The Latest Cybersecurity In The Retail Industry Statistics Explained
In 2020, 64% of retailers said they had experienced some type of cybersecurity attack.
The statistic indicates that in 2020, a significant majority (64%) of retailers reported experiencing some form of cybersecurity attack. This suggests that a large proportion of retail businesses faced challenges and vulnerabilities related to their online security measures throughout the year. Cyber attacks can have various implications for retailers, including potential data breaches, financial losses, and damage to their reputation. The high prevalence of these attacks highlights the importance for retailers to prioritize and strengthen their cybersecurity practices to safeguard against potential threats and mitigate risks to their operations and customers.
Approximately 71% of retail organizations have a budget specifically dedicated to cybersecurity, showing an increase from 51% in 2017.
The statistic highlights a significant trend in the retail industry regarding cybersecurity investments. The data reveals that approximately 71% of retail organizations now allocate a specific budget towards cybersecurity, marking a notable increase from 51% in 2017. This shift signifies a growing recognition of the importance of cybersecurity within the retail sector, likely influenced by the increasing frequency and sophistication of cyber threats targeting consumer data and financial assets. By dedicating financial resources to cybersecurity measures, retail organizations aim to bolster their defenses and safeguard against potential data breaches, ultimately enhancing consumer trust and protecting their business operations from costly cyber incidents. This upward trajectory in cybersecurity budget allocations underscores the evolving cybersecurity landscape within the retail industry as companies strive to adapt and fortify their defenses against cybersecurity threats.
U.S. retailers lost $60 billion to cyber attackers in 2019.
The statistic that U.S. retailers lost $60 billion to cyber attackers in 2019 highlights the significant financial impact of cyber attacks on the retail industry. This figure represents the total monetary value of losses incurred by retail businesses due to various forms of cyber threats such as data breaches, ransomware attacks, and fraudulent activities. Cyber attackers target retail organizations to steal sensitive customer information, disrupt operations, and extort ransom payments, leading to financial losses, damage to reputation, and potential legal consequences. The magnitude of the financial losses underscores the importance of implementing robust cybersecurity measures and investing in cyber resilience strategies to mitigate the risks posed by cyber attacks in the retail sector.
Nearly 97% of retailers ranked cybercrime among their top five risks in 2021.
The statistic highlights the significant concern among retailers regarding the threat of cybercrime in 2021. With nearly 97% of retailers ranking cybercrime among their top five risks, it is evident that the industry recognizes the serious implications that cyberattacks can have on their operations, finances, and reputation. This statistic underscores the growing importance of implementing robust cybersecurity measures to protect sensitive data, systems, and customer information. Retailers are increasingly realizing the impact that a successful cyberattack can have on their business and are prioritizing cybersecurity as a critical aspect of risk management in today’s digital landscape.
95% of retail businesses reported experiencing more cyber threats in the past 12 months.
The statistic that 95% of retail businesses reported experiencing more cyber threats in the past 12 months indicates a significant problem within the retail industry, highlighting the growing risk of cyber attacks faced by businesses in this sector. This high percentage suggests that the majority of retail businesses are vulnerable to cyber threats, such as data breaches, malware attacks, and phishing attempts, which can lead to financial losses, reputational damage, and disruptions to operations. The increased frequency of cyber threats in the past year underscores the need for retail businesses to improve their cybersecurity measures, invest in robust defense mechanisms, and provide continuous training to employees to mitigate the risks associated with cyber attacks and safeguard sensitive customer information.
Roughly 86% of breaches in 2020 were financially motivated, making the retail industry a lucrative target for hackers.
The statistic states that around 86% of data breaches that occurred in 2020 were motivated by financial gains, highlighting the prominence of monetary incentives for cybercriminals. This finding suggests that the retail industry was particularly vulnerable to cyber attacks due to the potential profits that can be gained from such breaches. Hackers targeted retailers with the intention of stealing sensitive financial information, such as credit card details, personal data, or intellectual property for their financial benefit. These breaches emphasize the importance of robust cybersecurity measures in the retail sector to protect both businesses and their customers from such threats and maintain trust in the industry.
Retailers faced an average of 29.4 million attacks in 2020.
The statistic that retailers faced an average of 29.4 million attacks in 2020 represents the frequency at which retailers were targeted by various forms of cyber attacks throughout the year. This figure indicates the significant threat that cyber security breaches pose to the retail industry, with attackers constantly attempting to gain unauthorized access to sensitive information such as customer data or financial records. The high number of attacks highlights the importance for retailers to invest in robust cyber security measures to protect their businesses and customers from potential breaches that can result in data theft, financial losses, and reputational damage.
The average cost for cybercrime for a retail company is $1.84 million.
The statistic “The average cost for cybercrime for a retail company is $1.84 million” represents the typical financial impact that cybercrime has on retail businesses. This figure, derived from a combination of direct financial losses and indirect costs such as reputation damage and legal fees, indicates the substantial financial risk that cyber threats pose to the retail industry. By calculating the average cost, this statistic helps highlight the importance of investing in cybersecurity measures to prevent and mitigate the impact of cyberattacks on retail companies. Overall, a cost of $1.84 million serves as a stark reminder of the significant financial implications of cybercrime for retailers and underscores the need for robust cybersecurity strategies and defenses.
43% of cyber attacks targeted small businesses in the retail sector.
This statistic indicates that a relatively high proportion, 43%, of cyber attacks are aimed at small businesses operating in the retail sector. This reveals that smaller companies within the retail industry are particularly vulnerable to cyber threats compared to larger corporations. The targeting of small businesses in the retail sector can be attributed to various reasons such as their potentially weaker cybersecurity infrastructure, as well as the valuable customer and financial data they possess. Consequently, this statistic underscores the critical importance for small retail businesses to invest in robust cybersecurity measures to protect their sensitive information and minimize the risk of data breaches and financial losses.
Cyberattacks against retailers peak between October to December, accounting for 32% of annual attacks.
The statistic indicates that cyberattacks targeting retailers significantly increase during the months of October through December, constituting 32% of the total attacks experienced by retailers throughout the year. This trend could be attributed to the higher volumes of online transactions and the increased internet traffic during the holiday shopping season, making retail businesses more susceptible to cyber threats such as data breaches, malware attacks, and phishing scams. Retailers may become prime targets during this period due to the potential for financial gain by cybercriminals seeking to exploit vulnerabilities in their systems. As such, retailers must bolster their cybersecurity measures and closely monitor their networks to mitigate these heightened risks during the peak cyberattack season.
60% of small retailers that are victims of a cyber attack will go out of business within six months.
The statistic “60% of small retailers that are victims of a cyber attack will go out of business within six months” highlights the severe consequences of cyber attacks on small businesses. This statistic indicates that a majority of small retailers are unable to recover from the financial and reputational damage caused by a cyber attack, leading to their closure within a relatively short timeframe of six months. The impact of cyber attacks goes beyond financial losses, as it also affects customer trust, brand reputation, and overall business continuity. Therefore, small retailers need to prioritize investing in cybersecurity measures to prevent cyber attacks and mitigate their impact to ensure the long-term sustainability of their businesses.
In 2020, the average detection and escalation costs for a cyber breach in retail companies increased to $1.37 million.
The statistic indicates that in 2020, the average costs associated with detecting and escalating a cyber breach within the retail industry rose to $1.37 million. This figure includes the expenses incurred in identifying and responding to a cybersecurity incident, including investigating the breach, mitigating its impact, and notifying affected parties. The increase in costs suggests that retail companies are faced with growing challenges in defending against cyber threats, as well as the escalating financial consequences of data breaches. It underscores the importance for organizations to continue investing in robust cybersecurity measures and incident response capabilities to protect sensitive information, maintain customer trust, and mitigate financial losses resulting from cyber attacks.
It is believed that cybercrime will impose a global cost of £6 trillion by 2021.
This statistic indicates the projected global cost of cybercrime by the year 2021, estimated to reach £6 trillion. Cybercrime encompasses various illicit activities conducted in the digital realm, such as hacking, data breaches, phishing scams, and ransomware attacks. The increasing reliance on technology and the growing interconnectedness of global networks have made individuals, businesses, and governments more vulnerable to cyber threats. The projected cost of £6 trillion reflects the potential financial losses that may arise from cyberattacks, including monetary damages, data theft, loss of intellectual property, and disrupted operations. This statistic underscores the urgent need for robust cybersecurity measures and proactive strategies to mitigate the risks and consequences of cybercrime on a global scale.
The retail industry saw a 930% increase in DDoS attacks in 2019 compared to 2018.
The statistic indicates that the retail industry experienced a significant surge in Distributed Denial of Service (DDoS) attacks in 2019 compared to the previous year, with the number of attacks soaring by 930%. A DDoS attack involves overwhelming a network or website with a flood of traffic, disrupting normal operations and potentially causing significant financial losses and damage to reputation. The sharp increase in DDoS attacks against the retail sector suggests that cybercriminals are increasingly targeting this industry for various malicious motives such as stealing customer data, disrupting sales, or demanding ransom. This rise underscores the pressing need for retailers to bolster their cybersecurity defenses and implement robust measures to safeguard against such cyber threats.
References
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