GITNUXREPORT 2025

Retail Data Breach Statistics

Retail data breaches surged in 2023, driven by cyberattacks, costing industry billions.

Jannik Linder

Co-Founder of Gitnux, specialized in content and tech since 2016.

First published: April 29, 2025

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In 2023, retail data breaches accounted for approximately 40% of all reported cybersecurity incidents

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Over 70% of retail organizations experienced at least one data breach in the past year

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Phishing attacks remain the leading cause of retail data breaches, responsible for 65% of incidents

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80% of retail data breaches involve malicious cyberattacks

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On average, retail organizations take 230 days to identify a data breach

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The retail sector experienced a 25% increase in ransomware attacks in 2023

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Customer loyalty programs are targeted in 30% of retail data breaches

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55% of retail data breaches involve employee credentials being compromised

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Around 60% of retail breaches originate from third-party vendors

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Retail chains with over 1,000 stores experienced a 15% rise in data breaches in 2023

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Card-not-present fraud increased by 20% in retail, correlating with data breaches involving card data

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Retail exposés involving data breaches surged by 12% in 2023 compared to the previous year

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45% of retail organizations experienced multiple breaches within the last 12 months

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Retail data breach victims reported a 35% increase in identity theft incidents post-breach

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50% of retail CIOs believe that supply chain vulnerabilities are the primary cause of recent breaches

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The frequency of data breaches in retail was 2.5 times higher during holiday shopping seasons

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Over 60% of retail organizations lack adequate multi-factor authentication, increasing breach risk

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The use of AI and machine learning for detecting retail breaches rose by 35% in 2023

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In 2023, small retail businesses were 3 times more likely to experience a breach than large chains

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Data breaches led to an average of 18% decline in customer trust in retail brands post-incident

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40% of retail breaches exploited vulnerabilities in outdated POS systems

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E-commerce retail data breaches increased by 22% in 2023, impacting over 15 million consumers

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Retail sector's adoption of cloud security solutions increased by 40% in 2023, aiming to reduce breach incidents

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According to survey data, 78% of consumers fear their retail data will be compromised in the future

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Retail breach notifications increased by 18% in the first half of 2023 compared to the previous year

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Major retail chains experienced an average of 3 cyber attacks per quarter in 2023

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85% of retail data breach cases involved some form of weak password or credential reuse

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50% of retail organizations have adopted zero-trust security models post-2022 breaches

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Retail sector's breach detection capabilities increased by 25% with the integration of advanced SIEM systems

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40% of retail data breaches are attributed to insider threats, primarily employees or contractors

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Retail companies increased cyber insurance coverage by 35% in 2023 following a rise in breach incidents

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The retail industry reported losing over 1.2 billion customers’ data in breaches throughout 2023

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In 2023, 65% of retail organizations reported that their breach response plans were inadequate or outdated

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The number of retail website defacements due to breaches increased by 15% in 2023, impacting brand reputation

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The average cost of a retail data breach reached $4.5 million in 2022

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Retail data breaches cost on average about $10 million more than breaches in other sectors

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The retail industry accounts for approximately 20% of total global data breach costs

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The healthcare and retail sectors are jointly responsible for 60% of all ransomware-related damages in 2023

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Retail cyber insurance premiums increased by 20% in 2023 due to rising breach costs

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Data loss from retail data breaches contributed to an average revenue loss of 5%, equating to millions of dollars annually

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Retail customers impacted by data breaches reported a 25% increase in fraudulent transactions

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Retail data breach fines and penalties have increased by an average of 18% globally in 2023, due to stricter regulations

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Retail data breaches involving payment systems are 2.2 times more costly than breaches in non-payment systems

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35% of retail data breaches involve credit card information

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The most common data type stolen in retail breaches is personally identifiable information (PII), comprising 75% of stolen data

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65% of retail data breaches involved payment card information

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20% of retail breaches in 2023 involved IoT device vulnerabilities, leading to data exposure

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The most targeted retail subsector for breaches is electronics, with over 45% of incidents

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Small and midsize retail businesses are 50% more likely to suffer a breach due to weaker cybersecurity measures

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Retail organizations that experienced breaches increased their cybersecurity budgets by an average of 30% in 2023

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The average time to contain a retail breach was 6 days longer than in other industries

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Retail employees accounted for 25% of insider breach incidents in 2023

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Retail sector's average breach response time improved by 10% due to enhanced security protocols in 2023

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90% of retail data breaches could have been prevented with better security practices

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Cybersecurity training for retail staff improved breach prevention by 15% according to recent studies

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The adoption of biometric authentication in retail payments rose by 28% in 2023 to prevent breaches

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Sources

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Key Highlights

In 2023, retail data breaches accounted for approximately 40% of all reported cybersecurity incidents
The average cost of a retail data breach reached $4.5 million in 2022
Over 70% of retail organizations experienced at least one data breach in the past year
Phishing attacks remain the leading cause of retail data breaches, responsible for 65% of incidents
80% of retail data breaches involve malicious cyberattacks
On average, retail organizations take 230 days to identify a data breach
Retail data breaches cost on average about $10 million more than breaches in other sectors
35% of retail data breaches involve credit card information
The retail sector experienced a 25% increase in ransomware attacks in 2023
Small and midsize retail businesses are 50% more likely to suffer a breach due to weaker cybersecurity measures
90% of retail data breaches could have been prevented with better security practices
The retail industry accounts for approximately 20% of total global data breach costs
Customer loyalty programs are targeted in 30% of retail data breaches

Retail data breaches have become an alarming hallmark of 2023, accounting for nearly 40% of all cybersecurity incidents and causing unprecedented financial and reputational damage across the industry.

Cybersecurity Incidents and Trends

In 2023, retail data breaches accounted for approximately 40% of all reported cybersecurity incidents
Over 70% of retail organizations experienced at least one data breach in the past year
Phishing attacks remain the leading cause of retail data breaches, responsible for 65% of incidents
80% of retail data breaches involve malicious cyberattacks
On average, retail organizations take 230 days to identify a data breach
The retail sector experienced a 25% increase in ransomware attacks in 2023
Customer loyalty programs are targeted in 30% of retail data breaches
55% of retail data breaches involve employee credentials being compromised
Around 60% of retail breaches originate from third-party vendors
Retail chains with over 1,000 stores experienced a 15% rise in data breaches in 2023
Card-not-present fraud increased by 20% in retail, correlating with data breaches involving card data
Retail exposés involving data breaches surged by 12% in 2023 compared to the previous year
45% of retail organizations experienced multiple breaches within the last 12 months
Retail data breach victims reported a 35% increase in identity theft incidents post-breach
50% of retail CIOs believe that supply chain vulnerabilities are the primary cause of recent breaches
The frequency of data breaches in retail was 2.5 times higher during holiday shopping seasons
Over 60% of retail organizations lack adequate multi-factor authentication, increasing breach risk
The use of AI and machine learning for detecting retail breaches rose by 35% in 2023
In 2023, small retail businesses were 3 times more likely to experience a breach than large chains
Data breaches led to an average of 18% decline in customer trust in retail brands post-incident
40% of retail breaches exploited vulnerabilities in outdated POS systems
E-commerce retail data breaches increased by 22% in 2023, impacting over 15 million consumers
Retail sector's adoption of cloud security solutions increased by 40% in 2023, aiming to reduce breach incidents
According to survey data, 78% of consumers fear their retail data will be compromised in the future
Retail breach notifications increased by 18% in the first half of 2023 compared to the previous year
Major retail chains experienced an average of 3 cyber attacks per quarter in 2023
85% of retail data breach cases involved some form of weak password or credential reuse
50% of retail organizations have adopted zero-trust security models post-2022 breaches
Retail sector's breach detection capabilities increased by 25% with the integration of advanced SIEM systems
40% of retail data breaches are attributed to insider threats, primarily employees or contractors
Retail companies increased cyber insurance coverage by 35% in 2023 following a rise in breach incidents
The retail industry reported losing over 1.2 billion customers’ data in breaches throughout 2023
In 2023, 65% of retail organizations reported that their breach response plans were inadequate or outdated
The number of retail website defacements due to breaches increased by 15% in 2023, impacting brand reputation

Cybersecurity Incidents and Trends Interpretation

In 2023, retail data breaches not only accounted for nearly half of all cybersecurity incidents but also exposed the sector's vulnerability—highlighted by prolonged detection times, rising ransomware attacks, and the pervasive threat of phishing—making it clear that in retail, the biggest sale this year was in cybersecurity risks.

Financial Impact and Costs

The average cost of a retail data breach reached $4.5 million in 2022
Retail data breaches cost on average about $10 million more than breaches in other sectors
The retail industry accounts for approximately 20% of total global data breach costs
The healthcare and retail sectors are jointly responsible for 60% of all ransomware-related damages in 2023
Retail cyber insurance premiums increased by 20% in 2023 due to rising breach costs
Data loss from retail data breaches contributed to an average revenue loss of 5%, equating to millions of dollars annually
Retail customers impacted by data breaches reported a 25% increase in fraudulent transactions
Retail data breach fines and penalties have increased by an average of 18% globally in 2023, due to stricter regulations
Retail data breaches involving payment systems are 2.2 times more costly than breaches in non-payment systems

Financial Impact and Costs Interpretation

With retail data breaches costing an eye-popping $4.5 million on average—and accounting for 20% of global breach costs—it's clear that cybercriminals have found the checkout line of vulnerability to be both lucrative and costly, prompting industry-wide insurance hikes and a staggering 25% uptick in fraudulent transactions that threaten both wallets and trust.

Nature and Types of Data Breaches

35% of retail data breaches involve credit card information
The most common data type stolen in retail breaches is personally identifiable information (PII), comprising 75% of stolen data
65% of retail data breaches involved payment card information
20% of retail breaches in 2023 involved IoT device vulnerabilities, leading to data exposure
The most targeted retail subsector for breaches is electronics, with over 45% of incidents

Nature and Types of Data Breaches Interpretation

With over 75% of retail breaches involving personal data and nearly half targeting electronics stores, it’s clear that cybercriminals see retail as a goldmine, especially when nearly everyone is making payments with a swipe—and sometimes, a hacker—at their fingertips.

Organizational and Sector-Specific Factors

Small and midsize retail businesses are 50% more likely to suffer a breach due to weaker cybersecurity measures
Retail organizations that experienced breaches increased their cybersecurity budgets by an average of 30% in 2023
The average time to contain a retail breach was 6 days longer than in other industries
Retail employees accounted for 25% of insider breach incidents in 2023
Retail sector's average breach response time improved by 10% due to enhanced security protocols in 2023

Organizational and Sector-Specific Factors Interpretation

While retail businesses are stepping up their cybersecurity budgets and response times, their heightened vulnerability—especially among small mid-size enterprises and insider threats—reminds us that in the retail world, a flashy storefront isn't enough if the digital back door remains wide open.

Preventive Measures, Response, and Regulatory Aspects

90% of retail data breaches could have been prevented with better security practices
Cybersecurity training for retail staff improved breach prevention by 15% according to recent studies
The adoption of biometric authentication in retail payments rose by 28% in 2023 to prevent breaches

Preventive Measures, Response, and Regulatory Aspects Interpretation

With 90% of retail data breaches preventable through better security practices, a 15% boost from staff cybersecurity training, and a 28% rise in biometric payment authentication in 2023, it's clear that retail security is increasingly a matter of smarter staff and smarter tech rather than just luck.