How resilient is the retail industry to cybercrime?
As businesses grapple with disruptive cyberattacks, the retail supply chain has found itself a primary target. In fact, for the third consecutive year, the sector has been touted as the most-targeted according to information published in the 2020 Trustwave Global Security Report.
At the heart of the matter is the adoption of new technologies that have altered the business landscape. This of course has opened the door wide to threat vectors targeting the retail supply chain. With such imminent threats, CTOs are asking themselves just how resilient is the retail supply chain to retail cyberattacks.
Why the retail supply chain is a chief target
Cybercriminals often attack retail entities mostly for espionage purposes or to steal sensitive client information. Unfortunately, the retail industry attracts threat agents because of the vast consumer data that can be harvested and sold on the dark web.
The retail cyberattacks that occurred in 2019 can be subdivided as follows:
- 53% of e-commerce attacks targeted card-not-present data
- 27% of data breaches involved capturing retail financial information
- 10% of retail cyberattacks stole client login credentials
- 10% of attacks focused on card track data
The retail industry is more vulnerable to attacks because it generates massive online traffic which can be difficult to monitor. Despite retailers’ best efforts, professional hackers are still able to penetrate network systems and install data harvesting malware.
Vulnerabilities in the retail supply chain
Where in the retail supply chain are the biggest risks of exposure to cybercrime? Risks are posed from:
- Order fulfillment
- Returns management
- Inventory and demand management
- Logistics management
- Warehouse automated selection
- External system providers
Given these potential pathways for infiltration, how can retailers protect themselves and prove resilient in spite of retail cyberattacks?
Retail supply chain resiliency
When it comes to withstanding retail cyberattacks and recovering from devastating incidents, the industry has generally done well. This they have done by adopting strategic tactics:
1. Enterprises are investing in sophisticated solutions
Many retailers are not taking chances and are actively investing in pre-emptive, predictive cybersecurity solutions that help mitigate risk and contain threats.
2. Enterprises are identifying gaps and patching vulnerabilities
Breaches can damage brands, disrupt day-to-day activities, and lead to the loss of consumer confidence hence the need to have robust systems that quickly identify gaps and patch them up before disaster strikes.
3. Enterprises are taking out insurance
Part of the protocol of addressing retail cyberattacks today involves taking out insurance to cover the business. Where cybercrime is concerned it is not a matter of ‘if’ it happens but ‘when’ hence the need to be always insured.
Cybeta – helping retailers stay safe
How does Cybeta help you? By offering time-tested solutions that help patch up vulnerabilities and puts you on the defensive, you can face the future confidently. Our insurance cover, for example, is foundational because it recognizes that threats are real and hence provides you with the necessary cover in the event of such misfortunes. Contact us for tailored solutions for your retail business.