- 82% of consumers still have trust in the protection of their personal information by online digital service providers, even though 33% of consumers globally have experienced a data breach.
- Consumer trust in the United States is stronger (80%) than in nations with fewer data breaches, such as Germany, Australia, and the United Kingdom.
According to Thales’s “2022 Thales Consumer Digital Trust Index,” consumers’ confidence in online companies’ capacity to safeguard their data are not in line with reality. One in every three customers globally have already experienced a data breach at a company that holds their personal information.
The report provides information on the most recent worldwide data breach trends and their severe effects on customer trust across industries, including consumers’ propensity to do business with a company after an occurrence.
Consumers: Are They Too Trusting?
Today, businesses no longer wonder if a data breach will happen but rather think about when. However, the data shows that, despite enterprises’ awareness of the current cybersecurity situation, this awareness is not necessarily transferring to customers. Even though 33% of consumers worldwide have experienced a data breach, 82% of consumers still have some level of trust in the protection of their personal information by online digital service providers.
However, 82% of people who experienced a data breach observed a negative impact on their lives.
Level of Trust Differences Based on Region, Culture and Regulation
Consumer trust may be affected by location. Around the world, there are different rates of breaches. However, consumers in nations with lower breach rates were not more trusting than those with higher breach rates. Consumer victims of U.S. data breaches make up one of the largest percentages worldwide (48%). However, consumer trust in the United States is stronger (80%) than in nations with lesser data breaches, such as Germany, Australia, and the United Kingdom.
According to the industry, consumers’ trust in their data security varies. The highest levels of trust were shown in the financial and healthcare sectors (but only at 42% and 37%, respectively), while media/entertainment and government had the lowest ratings (12% and 14%, respectively).
Consumer perceptions of their role in data protection are being affected by data breaches, even though they may not directly influence consumers’ level of trust. Victims are more inclined to take extra security measures to safeguard personal information.
Consumer expectations of businesses are also being influenced by data breaches, with 54% of respondents thinking that after a data breach, companies should be required to implement mandatory data protection mechanisms like encryption and two-factor authentication. More than one-fifth of customers ceased doing business with a company after a data breach.
Thales’ 2022 Thales Consumer Digital Trust Index surveyed more than 21,000 adult consumers from 11 nations and five continents. Opinium conducted the study in collaboration with the University of Warwick.