Did you know that the average cost of a typical data breach is $5.4 million in the United States? A data breach can take a toll on a company of any size and consumers alike, which is why it is so important for both consumers and companies to take necessary precautions to reduce the risk of breaches.
Data security breaches have a compound impact on both consumers and businesses. Once data breaches have been detected consumers must find a way to protect their personal information, and businesses have to find a way to recover along with implementing preventative measures and regaining consumer’s trust.
Consumers shop with companies under the faith that their personal information will be protected. When a security breach occurs, the consumer’s …show more content…
Odds are that in one’s lifetime a consumer will be a victim of a security breach at some point.
Data breaches are on the rise, and businesses need to ensure that they have sufficient security defenses in place to protect their data. Data breaches can have both direct and indirect financial consequences for a business. After a breach, businesses must resolve the problem leading to the breach, deal with the repercussions and come up with ways to limit risks in the future. When a security breach occurs in a business, it can have many negative affects on the business, such as negative press, loss of consumer loyalty, diminished brand reputation and even lawsuits.
The steps that a company take when dealing with a data breach can effect how they recover afterwards. According to Experian’s Data Breach Response Guide, “In the face of a data breach, organizations have the opportunity to quickly implement sound decisions that will ultimately result in preserving brand equity and customer relationships. One way to preserve brand equity is to provide complimentary identity protection and credit monitoring services. Research shows that individuals affected in a breach who receive free credit monitoring are six times less likely to file a lawsuit against the breached
Data security breaches have a compound impact on both consumers and businesses. Once data breaches have been detected consumers must find a way to protect their personal information, and businesses have to find a way to recover along with implementing preventative measures and regaining consumer’s trust.
Consumers shop with companies under the faith that their personal information will be protected. When a security breach occurs, the consumer’s …show more content…
Odds are that in one’s lifetime a consumer will be a victim of a security breach at some point.
Data breaches are on the rise, and businesses need to ensure that they have sufficient security defenses in place to protect their data. Data breaches can have both direct and indirect financial consequences for a business. After a breach, businesses must resolve the problem leading to the breach, deal with the repercussions and come up with ways to limit risks in the future. When a security breach occurs in a business, it can have many negative affects on the business, such as negative press, loss of consumer loyalty, diminished brand reputation and even lawsuits.
The steps that a company take when dealing with a data breach can effect how they recover afterwards. According to Experian’s Data Breach Response Guide, “In the face of a data breach, organizations have the opportunity to quickly implement sound decisions that will ultimately result in preserving brand equity and customer relationships. One way to preserve brand equity is to provide complimentary identity protection and credit monitoring services. Research shows that individuals affected in a breach who receive free credit monitoring are six times less likely to file a lawsuit against the breached