Today, e-commerce is one of the world’s largest growing industries. In 2020 alone, consumers spent over $800 billion on online purchases, a 32.4% increase from the previous year. For cybercriminals, this means that there is more money they can steal and weak spots that they can exploit.
The e-commerce and payment enterprises database are also considered goldmines that bad actors can extract and sell to the highest bidder. In this digital age, one datum costs about $0.36.
Cybercriminals tend to target various industries such as finance, healthcare, energy, and construction. The nature of e-commerce makes it more vulnerable to cybersecurity threats and risks. If networks and platforms are not secure, unauthorized individuals can gain access to confidential personal information of customers and system controls. Cybercrime can cost an average of $2.2 million in damages to small and medium enterprises, as well as financial losses, damage to their reputation, and data leakages.
However, e-commerce enterprises can lessen cybersecurity risks by raising awareness and robust cybersecurity reinforcement. By learning the possible threats to cybersecurity, e-commerce businesses can avoid the common human errors that lead to a security breach. Integrating cybersecurity solutions to online platforms also helps ensure e-commerce fraud prevention.
While there is no sure way to fully guarantee safety from cyber attacks, implementing security controls and safeguards can lessen the risk to both the enterprise and its customers. Staying updated with the latest tools can help businesses stand a chance against the next major cybersecurity threat.
Privacy is one primary security measure that restricts access to confidential information between bounded parties. To ensure this, no one else should be able to access an account and crucial personal details aside from the customer and the seller.
Cybersecurity experts also recommend that enterprises should collect only necessary information as the fewer data the company holds, the less enticing the database will be for cybercriminals and hackers. Along with this, e-commerce businesses are also advised to post privacy policies for customers to be aware of their responsibilities and the limitations of parties in providing vital information.
In November 2020, there was a recorded 300% surge in cyberattacks amid the rise in e-commerce transactions. Online retailers had the most damaging effects due to supply chain attacks, phishing, and ransomware attacks. Amid the increasing risk, enterprises must fortify access points into their database system and upscale authentication measures for control. Using biometric authentication is another way to integrate robust cybersecurity solutions into online platforms.
For more details about cybersecurity in the e-commerce/payments industry, here is an infographic from Login ID.