The Importance of Cybersecurity for Protecting E-commerce Websites
Cybersecurity is essential for protecting e-commerce websites from fraud, hackers, and other threats. All business owners, regardless of their size, need to ensure that they have adequate security measures in place to prevent data breaches and respond effectively if they occur.
E-commerce websites are prime targets for cybercriminals because they store and process large amounts of personal and financial data. A data breach can lead to severe consequences for businesses, including significant financial losses.
Cybersecurity Risks in E-commerce
Weak responses to cyber incidents can lead to the loss of customer trust, which is crucial for e-commerce companies. Recovering from a data breach or any other cyberattack can require considerable time and money. According to a study involving 550 breaches across 17 countries, the average cost of a data breach was $4.35 million in 2022, with an average of 207 days taken to identify the breach type and an additional 70 days to manage it.
Below are the main cybersecurity risks that e-commerce companies may face, along with ways to mitigate them:
1. E-Fraud
E-fraud occurs when cybercriminals capture the information customers enter on checkout pages. They typically gain access to the e-commerce site through successful phishing attacks, allowing them to inject malicious code that redirects customers to a fake website or steals credit card information.
2. Malware
Malware refers to any malicious software that attempts to infect computers or mobile devices. It is used to obtain personal information, redirect users to alternative websites, steal funds, and block access to sites and systems. E-commerce sites attract cybercriminals because they can target enterprise customers with malware, either by manipulating the e-commerce site or through seemingly legitimate emails sent to customers.
3. Phishing
Phishing is a prevalent risk for most companies, including e-commerce businesses. Customers of online stores are at risk of being targeted by phishing scams, which usually involve fraudulent messages designed to trick recipients into sharing personal information, such as passwords, account numbers, and credit card details. Cybercriminals can use this data to gain unauthorized access to one or more user accounts.
Without adequate security measures and systems, these attacks can go unnoticed, allowing cybercriminals to obtain lists of usernames and passwords and use bots to attempt unauthorized access to one or more e-commerce sites.
4. Distributed Denial of Service (DDoS) Attacks
Cybercriminals use DDoS attacks to disrupt targeted businesses by overwhelming their servers with traffic, thereby increasing the load on their systems. These attacks are typically controlled through a single device using botnets, which are networks of malware-infected devices that send massive requests to targeted servers.
Although DDoS attacks do not focus on data theft, they disrupt business operations, potentially resulting in significant losses that could lead to a complete shutdown of the website.
How E-commerce Companies Can Protect Their Stores and Customer Data from Cyber Threats
E-commerce companies continually strive to enhance the security of their customer data, while cybercriminals are also making extra efforts to identify vulnerabilities and find new ways to exploit them. To address the current widespread cyber threats, any company must follow effective security measures to reduce the risk of potential security breaches. Combining best practices in cybersecurity with solutions specifically designed for e-commerce is essential for providing a robust defense against cybercriminals.
Here are the key security practices that e-commerce companies should implement:
1. Compliance with Data Protection Regulations
Compliance with the General Data Protection Regulation (GDPR) is an excellent way to protect against cybersecurity risks associated with e-commerce. This regulation primarily focuses on collecting the minimum amount of data and storing it only as long as necessary while protecting it with the latest security measures.
2. Data Backup
A backup system can help a company recover more quickly after a cyberattack and mitigate the impact of data theft. Backups should be conducted regularly to ensure that the data is up-to-date and that business operations can be maintained in the event of a cyberattack. Additionally, backups should be stored away from core networks, such as in cloud storage, to ensure that they are not affected by the attack.
3. Access Control
Controlling access to stored data on the website helps protect sensitive information by determining who can access certain information and resources. This, in turn, reduces the attack surface, as not everyone in the company can access personal customer and business data. On the other hand, an access control system aids the organization in dealing with malware or identifying the source of data leaks or breaches, as it limits the access points that cybercriminals can use to enter the system.
4. Third-Party Risk Management
E-commerce companies may be exposed to cybersecurity breaches due to third parties, such as cloud service providers and business partners. Therefore, e-commerce companies need to understand and address the potential risks from third parties, especially when relying on external services for their online stores.
5. Installing Anti-Malware, Anti-Virus Software, and Firewalls
E-commerce companies can utilize anti-malware, anti-virus software, and firewalls to provide a line of defense against external threats. The latest protection software relies on artificial intelligence and machine learning to offer continuous monitoring and real-time threat detection, thereby enhancing the effectiveness of thwarting cybercriminal attempts to access confidential customer data and commit fraudulent transactions.
Conclusion
Protecting e-commerce websites from cyber threats requires comprehensive and effective strategies. By enhancing cybersecurity, companies can safeguard their customers’ data and build trust, contributing to the success and sustainability of their businesses.
