New research by UPS highlights the growing concern online consumers express when it comes to the security of their personal data, with reports signalling a snowballing threat of cybercrime thriving online.
According to the UPS Pulse of the Online Shopper report, the majority (65%) of online shoppers globally say they’re “extremely” concerned about the privacy of their data, with 26% report to be “somewhat concerned.”
Convenience vs security
In Europe, consumers show a preference for a payment method with increased security, including PayPal, Alipay, WeChat, and Pay. Anxiety about security rises with age – 73%of online shoppers age 65 and older feel extremely concerned about online shopping security.
Despite experiencing security fears, consumers crave efficiency and convenience such as access to their saved personal details when finalising a transaction, putting pressure on sellers to find the right balance for their business.
Some 22% of online shoppers say they’re more likely to purchase from a marketplace than a retailer because of shopping efficiencies such as the online ability to save customer information.
Inefficiency costs money. Some 16% of online shoppers say they have abandoned a cart when asked to create an account they didn’t want. Another 8% left a marketplace when they couldn’t remember a user name or password.
The findings highlight the increasing worries of consumers over the use of their data. Sellers need to reassure their customers of the safety of their data by communicating to their shoppers how and why their data is being used. Merchants can refer to this example of a GDPR privacy policy to create a compelling argument against data breach concerns.
