Cyber Monday – Online surge leads to lost hours and cyber attacks
Monday 2nd December marks 2014’s Cyber Monday; the most active day for online shopping of the year.
Once seen as a US phenomenon following on from Black Friday, recent years has seen a boom in online shopping in the UK, following the US trend. This year, it’s been predicted that more than £500 million will be spent in the UK, topping last year’s £456 million.
Although great for retailers, a study has shown that cyber attacks taking place on Cyber Monday, cost organisations up to £2.1 million per hour in losses. The report issued by RSA and the Ponemon Institute surveyed 1,100 IT staff at retail organisations in the U.S. and UK and found that, despite the average 55 percent surge in daily online and mobile retail revenue taking place on Cyber Monday, and 64 percent of organisations seeing significant increases in attacks, 70 percent do not take additional precautions.
Sixty-six percent of respondents also admitted that disruption would result in customer churn that would damage reputation and brand.
The top nine scenarios organisations will likely face approaching Cyber Monday include:
• Botnet and Distributed Denial of Service (DDoS)
• App Store Fraud
• Mobile Access/Account Compromise
• Click Fraud
• Stolen Credit Card Validation
• eCoupon Abuse
• Account Hijacking
• Electronic Wallet Abuse
• Brand Promotion Hijacking
Demetrios Lazarikos, IT Threat Strategist, RSA, explains that, “While the findings here are admittedly shocking, they underscore an age-old issue in that budgets and business dynamics perpetuate vulnerability and keep organisations behind the eight ball. However, all is not lost. Forward-thinking organisations that have the agility to break from the status quo and embrace innovation can not only better protect their business, but also gain a massive advantage. Reducing losses from fraud and increasing trust in the brand can propel a business ahead of its competitors.”
So the message is quite clear – don’t let cyber-crime ruin your Christmas cheer. Retailers take note, now is the time to make sure you’re protected or you could face a tough start to the New Year.