2014 Data Breach Fraud Impact Report: Consumers Shoot the Messenger and Financial Institutions Take the Bullet

Years of complacency among businesses and indifference among consumers regarding data breaches were effectively shattered in 2013. In the same year as one of the largest data breaches in history, the misuse of breached consumer data hit a record high, raising the issue of data breaches into the public consciousness. Financial data is especially favored by criminals, who are now more than ever successfully targeting this information for theft and subsequent misuse — with implications for businesses and consumers alike. Through an examination of the experiences and perspectives of consumers, and by contrasting two of the most prolific data breaches in U.S. history, Javelin has gleaned important lessons for stakeholders. It is an incredibly tumultuous time for data security, requiring all industries to adjust their strategies in responding to data breaches as they try to maintain their reputations and retain the loyalty of consumers.

Primary Questions:

Primary Questions

• What is the relationship between data breaches and consumer identity fraud? 
• Which industries do consumers believe are being breached?
• How are data breaches affecting business‐to‐consumer relationships?
• What factors affect the relationship between businesses and consumers post‐breach?
• How are different industries responding to data breaches?
• How can consumers be empowered in the fight against breach‐related identity fraud?
• What can different industries do to reduce their risk of suffering data breaches?

Companies Mentioned
American Express, AmeriFirst Bank, Discover, FireEye, HarborOne Credit Union, JCB, MasterCard, SELCO Community Credit Union, Target, TJX, Trustco Bank, Trustwave, Verisign, VisaPress Release

Press Release
Consumers Vote with their Wallets: Hold Breached Organizations Accountable

• The 2013 ID Fraud survey was conducted among 5,634 U.S. adults over age 18 on KnowledgePanel