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Poor data security 'can repel customers'

Rachel Wheeler Archive
Companies have been urged to improve their data management processes or risk losing customers.

According to the International Association of Privacy Professionals (IAPP), security and privacy are important contributors to consumer loyalty.

This, it said, means that if firms fall short in these areas and suffer a data breach, they could end up losing business.

Indeed, a new study by Edelman has revealed that 46 per cent of consumers have left or chosen to steer clear of brands that have experienced a lapse in security.

Figures showed that this is often the case even if the brand in question is one a person previously trusted a great deal.

"This study is further evidence that security and privacy are now business imperatives that must be actively managed by companies and organizations," commented J Trevor Hughes, the IAPP's chief executive and president.

The US government recently unveiled a Consumer Privacy Bill of Rights as part of a move to assure the public their personal details are being looked after properly

Posted by Paul Newton