Updating your main database: your brain

August 08 2018

Cybersecurity Improves Brand Loyalty

Many executives are quick to focus on the benefits of a loyal-centric strategy and companies now go to great lengths to communicate their organization’s customer centricity to retain existing customers and attract new ones.

But where is cybersecurity in this discussion?

Cybersecurity and data protection is no longer a topic just for network analysts and IT professionals. It is about delivering a secure, a world-class experience. In today’s digitally driven, social media world where consumers own the relationship, security has to become the very fabric of the business.

It has transitioned from the back pages of tech publications and into mainstream conversation. Consumers are asking if they are conducting business with organizations who are proactive about safeguarding their information and how they will fix it if a breach does occur.

A call to action: prioritize cybersecurity and privacy

In this rapidly-evolving environment, the nature of the risk is manifold. Data breaches can impact negatively on the reputation of a company or customer retention may be more difficult. More strategically, intellectual property may be at jeopardy, threatening the core product proposition of a business and ultimately its economic viability. The intervention of governments, in the form of legislative requirements for data security (including privacy-related concerns) or financial sanctions, could also hit the profit line, either because there will be compliance costs to incur or fines to pay.

In financial services, just like other industries, customer data is increasingly spread across heterogeneous environments, devices and networks. Each transaction, each touchpoint, represents a security vulnerability in the customer experience. Security gaps between the underlying systems that manage these touchpoints represent the gaps that cyber assailants exploit. Addressing these vulnerabilities and solidifying a customer’s trust in a banking platform represents an opportunity to win the loyalty of today’s tech-savvy consumer.

After a data breach, can companies earn back consumer trust?

Consumers are willing to forgive, but their trust can only be regained if companies implement real changes in the wake of a breach. Although no one action will win back every customer, some measures are more likely to resonate with consumers—including compensation for victims, a detailed explanation of what happened, and a clear description of the privacy policies in place.

Both for customer and companies

On the one hand, consumers want businesses to be responsive, transparent, and take steps to ensure a breach does not happen again. And on the other hand, successful organizations must create a secure climate for customers by embracing technology and cultural change.

More than ever, it has become imperative that executives understand that consumer’s sentiments about the safety of their personal information following a data breach is tied directly to their loyalty to a particular brand.

If you'd like to see how the redborder network monitoring and security platform can add value to your company network, get in touch for a free trial.

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