Last year alone, we witnessed some of the worst data breaches in history, with more than 1 billion stolen records (a 312% increase from 2023). The chances of you or someone you know being affected by these incidents are extremely high. Despite some articles touting consumer “data fatigue,” many consumers are not ignoring the threats; instead, they’re highly engaged.
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The Alarming Reality
We commissioned our own survey to find out what the public thinks about data security. The survey, which polled 500 U.S. adults aged 18 to 65+, revealed that 95% of Americans expressed serious concern about their personal data being exposed.
Reports from respondents also showed that 61% received at least one breach notification in the past two years. Nearly half (44%) said they’ve experienced fraud, identity theft, or financial loss firsthand due to a breach.
Consumers Taking a Proactive Stance
The assumption is that constant exposure to media reports on data breaches leads to apathy and a lack of awareness or care. The reality is that these disruptions, from finances to mental health, reach deep into the personal lives of those whose data has been exposed.
In fact, 86.2% of those surveyed feel frustrated and alarmed by data breaches, and 52.6% believe there is no way to control security around their personal data in the case of a breach — showing the growing sentiment of helplessness.
Thankfully, there are ways to protect ourselves, and many are taking proactive steps to ensure their data is protected. The overwhelming majority — 9 of 10 respondents — stated they changed their passwords immediately after receiving a breach notification, 58.6% said they enabled two-factor authentication, and 54.4% said they actively monitor their financial health, all signs that consumers are not ignoring the risks.
Impact on Business: Trust and Loyalty on the Line
Beyond personal impact, data breaches are changing how consumers choose their brands. Close to 74% of those questioned said they would lose trust in a company after a data breach, 70% would rather take their money elsewhere after an incident, and 73% stated they believe companies are not doing enough to protect their data.
For businesses, the report serves as a warning: outdated legacy systems threatened by cyber-attacks will lose you more than just a sense of security.
“Businesses need to understand that cybersecurity isn’t just a technical issue, it’s a consumer loyalty issue,” said Joe Warnimont, Senior Analyst at HostingAdvice. “Consumers are paying attention, and companies that fail to protect customer data risk not just breaches but damaging their reputation and bottom line.”
Time to Take Things Seriously
In 2024, the average cost of a data breach reached $4.88 million, a 10% increase from the year before. In the online battleground of data privacy, hackers don’t discriminate — when it comes to getting the information they are seeking, they are continually refining and perfecting their techniques.
Whether it’s for yourself or your business, here are some strategies to fortify those digital defenses:
For Individuals:
- Update Your Passwords: This can’t be said enough and shouldn’t be overlooked. Use strong, unique passwords for every account and update them regularly.
- Two-Factor Authentication: You can set this up through a third-party app, phone number, or email, but it’s an extra step that can trip up hackers.
- Monitor Accounts: Set a reminder to regularly check your bank statements and credit reports.
- Stay Informed: Read about the latest cybersecurity threats from trustworthy news sites.
For Businesses:
- Invest in Security: Earmark funds for systems and software that help prevent breaches and keep software updated.
- Educate: Schedule regular training sessions for staff that can help them recognize phishing emails and other common scams.
- Audit Your System: Routinely monitor, update, and audit your system to address vulnerabilities before they can be exploited.
- Plan: Create and regularly update a response plan in case of an incident to minimize damage if something like a breach were to occur.
The toll of a breach — whether financial, emotional, or reputational — can feel devastating. But the good news is it’s not too late. As cyber threats get smarter, so do we. Simple steps for both businesses and consumers can truly make a difference and make you feel in control of your data.
Methodology
In February 2024, HostingAdvice surveyed 500 individuals to understand public attitudes toward data breaches and how they impact consumer behavior. Those who responded ranged from ages 18 to 65+, with an average age range of 20-55. The respondents were 50% female and 49.6% male. All those surveyed (100%) were based in the United States.
