Study Says Consumers Change Payment Habits After Breaches
U.S. consumers appear to be changing their shopping and payment habits in the wake of data security breaches at Target, Neiman Marcus, and elsewhere, according to a Feedzai study. Although the study found that 40 percent of consumers have switched to cash following the breaches, observers say the preference for cash in the aftermath of the breaches is likely temporary, since the convenience afforded by credit and debit cards will trump concerns about security in the long run. In addition, the study found that 52 percent of consumers believe shopping at brick-and-mortar retailers is safer than shopping online with a credit or debit card. The survey also found that 55 percent of consumers believe the retailers that suffered data breaches were to blame for these attacks, while 28 percent said they had stopped shopping at merchants that had been affected by data security breaches. Observers say the decision by some consumers to avoid retailers that suffered data breaches also is likely to be temporary.
From “Lessons Learned: Consumers Change Behavior Post Breaches”
Fox Business (03/18/14) Rogers, Kate