A joint CyberSource and Trustwave survey has shown that nearly 70% of Merchants cited the need to “protect the brand” as the primary driver for tightening controls against hackers and other payment security risks.
A few highlights from the report include:
- Brand Protection is Key Driver of Investment: The need to protect the organization’s brand and its revenues was given as the primary driver for investment in payment security.
- Threat from External and Internal Sources Perceived as Equal: While the successes of external hackers often make headlines, employees can be an equally damaging source of risk. The survey found that organizations perceive the threats from internal and external sources as being nearly equal.
- Trend Towards Remote Data Storage: With the need to secure payment data and efficiently comply with PCI DSS, organizations are planning to shift their payment data security approach from an on-site strategy to a remote one. Those organizations that had already made the shift reported shorter time-to-compliance and fewer full-time equivalent employees managing payment security.
- Payment Security Cost and Complexity Expected to Increase: Most survey respondents expect that the technological complexity, cost, and resources required to manage payment security will increase over the next 24 months.
“A breach has serious consequences for nearly every division of an eCommerce merchant’s organization,” said Dayna Ford, Senior Director, Product Management at CyberSource. “But by far the most damaging impact is to the company’s brand, affecting revenue, customer loyalty, and even stock valuation. Knowledge of this phenomenon is now widespread, so we’re not surprised at the survey finding that puts brand integrity as the most important rationale for payment security investment.”
“In the face of increasing numbers of security breaches and data theft, there’s a real urgency for organizations to deploy powerful and effective security strategies,” said James Paul, Senior Vice President of Global Compliance Services at Trustwave. “Studies like ‘The Payment Security Practices and Trends Report,’ published today, should help organizations learn best practices and likely costs to attain appropriate levels of security.”
Selected survey findings
- Data moving out: Over the next 24 months, an increasing proportion of organizations expect to remove payment data from their environment as a way of reducing security risks.
- Efficiency improving: Organizations that do not capture, transmit, or store data inside their own network tend to employ fewer personnel, validate PCI DSS compliance more quickly, and operate at a lower overall cost of payment security management.
- “Data out” merchants spend less on infrastructure: 75 percent of PCI DSS Level 1 merchants that have removed payment data from their environments spend less than $500,000 on their payment security infrastructure. Only 60 percent of those that keep data in-house can make that claim.
- Risk not confined to outsiders: In one counter-intuitive finding, respondents said they felt the threat of payment data theft from inside employees was about equal to the threat from external hackers.
Read the full report here, registration is required.
Learn more about the Payment Card Industry Data Security Standard (PCI DSS) by visiting my PCI DS Resources page here.