Retailers selling their wares online need to crackdown on security measures in a bid to protect e-shoppers, according to consumer watchdogs.
Results from the Unisys Security Index, a bi-annual global study that provides insights into the attitudes of consumers on security related issues, stated that 85 per cent of Australians would stop using an online company should their personal information be compromised in a security breach.
Security program director of Unisys Asia Pacific, John Kendall, said Australian businesses looking to pursue a share of the online retail market must make data security a top priority.
“Australian businesses who wish to establish and maintain a retail presence online must ensure they can adequately protect their customers private and financial information,” Kendall said. “Australian consumers won’t hand out second chances when it comes to their personal information.”
He said online shopping in Australia is expected to grow by 13 per cent by then end of 2011, and that retailers should be looking to promote their approach to securing personal information as a competitive advantage.
The survey also revealed that 64 per cent of Australians would look to publicly expose a company if they were aware their personal information had been exposed to risk.
“Of the $13.6billion Australians are expected to spend online this year, 44 per cent of these sales are expected to go overseas, “ Kendall said. “Australian retailers must consider security, along with quality and price as a differentiator to attract customers.”
Eight in 10 Australians said they would close accounts with organisations where privacy breaches occurred and many said they would take legal action or publicly expose the issue.