Data Security Concerns Impact Consumer Confidence in Online Transactions

Data and online security practices of banks are a key concern for consumers when deciding who to entrust with their personal data and transactions. A recent survey of over 11,000 consumers commissioned by Kaspersky Lab¹ found that 71% of the respondents in South Africa would avoid using a provider that had recently experienced a data security incident.

Despite consumers seemingly being cautious about the safety of their information and money when making online transactions, many put the onus on the provider to step up their own defences through more robust and reliable measures. 72% of consumers locally admitted that they would select a financial services provider or transact with an online store solely on the basis of the additional security measures it offered, to protect their hard earned cash and confidential data.

The research also found that 74% of consumers in South Africa worry about the data security practices of companies they give their personal and financial information to – a rise of 12% on the previous year. This makes it all the more important for banks and retailers to demonstrate that they are doing all they can to allay these fears and make the safety of online transactions and data their top priority.

“With more and more consumers not only using but relying on mobile banking and online payments to interact with companies and carry out transactions, there is an expectation that providers are taking adequate measures to safeguard their customers against fraud and breaches. After all, our research also found that 66% of consumers would use online payments more often if they had reliable protection for financial transactions, making it clear that providers need to do more to safeguard transactional data for the long-term profitability and reputation of their business,” says Ross Hogan, Global Head of Fraud Prevention, Kaspersky Lab.

With consumer demands increasing, specialist solutions can help banks boost customer retention by safeguarding not only online and mobile transactions but the integrity of their brand. Kaspersky Fraud Prevention enables banks to provide rigorous and robust security measures without impacting upon the customer experience or ease of online transactions. Kaspersky Fraud Prevention for Endpoints keeps customers and their machines fully protected from financial fraud, so they can bank easily and conveniently online, without exposing themselves, or their provider, to risk.

About Kaspersky Lab:

Kaspersky Lab is a global cybersecurity company founded in 1997. Kaspersky Lab’s deep threat intelligence and security expertise is constantly transforming into security solutions and services to protect businesses, critical infrastructure, governments and consumers around the globe. The company’s comprehensive security portfolio includes leading endpoint protection and a number of specialized security solutions and services to fight sophisticated and evolving digital threats. Over 400 million users are protected by Kaspersky Lab technologies and we help 270,000 corporate clients protect what matters most to them. Learn more at www.kaspersky.co.za. 

¹Kaspersky Consumer Security Risks Survey 2015