Since the advent of the internet cyber crime has always been a part of the digital world, as online services and the exchange of information opened up a new way to access valuable data for business, consumers, and of course, criminals too. Cybercrime can have an enormous impact on society, affecting both the operation of businesses and potentially putting customers at risk. Read on to understand more about the impact of cybercrime and what steps a business should consider to protect itself and its audience.
It can cause enormous economic damage
One of the biggest impacts of cybercrime is on a business’s financial health and security. It is estimated that by 2025, cybercrime could cost businesses around the world over $10 trillion, and this can have devastating consequences for any business, no matter how large it may be. Considering cybersecurity services like those from Iconic IT should be an important part of any business’s growth plans.
The financial impact of cybercrime can occur in different ways. The theft of confidential data held to ransom or illegal accessing of bank records is one of the most common ways for money to be stolen from a company or its customers. However, the relatively simple act of scuppering a business’s operations by shutting its systems down with an attack can also have a huge financial cost, as it can take time and resources to get back online.
It can affect a brand’s reputation
Alongside the financial cost of cyber damage, there is often also the equally devastating damage to a business’s reputation. This is often far harder to rectify, as a brand’s reputation and image are built up over a long period of time, and yet any negative incident can harm this instantly. Once a customer feels nervous about trusting your business with their data, it is very unlikely they will return.
Many high profile incidences of cybercrime have left major brands reeling and struggling to regain their reputation. The theft or loss of private personal data can put their customers at risk, leading to a severe loss of trust in the brand. When this happens, it can take a long time to convince people that they are safe with a business.
There may be serious legal consequences
Suppose a cybersecurity breach has arisen due to a failure to meet legal standards or compliance regulations. In that case, the cost of cybercrime can increase even further, with the threat of legal repercussions. If your business has been found to fail to meet the required level of protection and safety for customer and business data, then this may lead to penalties, fines, or other consequences.
Again, this can have quite a harmful impact on a business’s image and reputation, as it can erode consumer trust, leading to an impact on sales or even staff morale.
Cybercrime can have enormous destructive potential. It is more important than ever that businesses take the threat it poses seriously and put measures in place to prevent possible attacks and data breaches.