Woman leaving review

October 30, 2023

The Link Between Protecting Data and Protecting Your Reputation

Data breaches remain at an all-time high, and the threat of data theft is driving consumers to change the ways they interact with businesses, if they choose to interact at all. In 2022, approximately 422 million people were impacted by a data breach in the U.S. This number increased by almost 41.5% from 2021. According to one consumer report, after a data breach, 81% of consumers would cease online interactions with the affected brand. Of this percentage, 25% would discontinue all forms of engagement with the brand entirely.

Data breaches can affect more than a business’ bottom line. Breaches also affect reputations. People share their experiences and leave online reviews, especially about a bad experience. Customers are also more likely to leave a bad review than a positive review. According to Review Trackers, 94% of consumers say a bad review has convinced them to avoid a business. All business leaders should understand the potential impact of negative reviews because of insufficient data protection. Doing so can help protect consumers’ private information and, in turn, safeguard their business’ reputation and finances.

According to the 2023 Shred-it® Data Protection Report (DPR), only 60% of the small business leaders (SBLs) surveyed say they are proactive when it comes to data protection and a mere 22% report being ‘extremely proactive’, potentially leaving many small businesses exposed to the threat of a data breach. This is a decline from 2022 when 64% of SBLs reported being proactive. Vulnerable small businesses may risk losing customers and do long-term damage to their reputation following a data breach.

Reputation Management Tips

Reputation defines how consumers, employees, and other stakeholders perceive a business and can have serious implications. Consumers want to do business with organizations they perceive as honest, ethical, and aligned with their values, especially when it comes to data protection.

Data protection should play a role in every brand reputation management strategy. Shred-it®’s information security tips can help businesses keep their data and reputation safe:

Physical Data Destruction

Shred-it® offers a wide range of reliable data destruction services that are designed to best meet your needs.

Shred-it®’s experienced team helps organizations keep their consumers’ personal information secure. Learn more about our services.