More than a third of organisations that experienced a breach last year reported substantial customer, opportunity and revenue loss.
The finding is one of the key takeaways from the latest edition of Cisco’s annual cybersecurity report, which also suggests that defenders are struggling to improve defences against a growing range of threats.
The vast majority (90 per cent) of breached organisations are improving threat defence technologies and processes following attacks by separating IT and security functions (38 per cent), increasing security awareness training for employees (38 per cent), and implementing risk mitigation techniques (37 per cent). The report surveyed nearly 3,000 chief security officers (CSOs) and security operations leaders from 13 countries. CSOs cite budget constraints, poor compatibility of systems, and a lack of trained talent as the biggest barriers to advancing their security policies.
More than half of organisations faced public scrutiny after a security breach. Operations and finance systems were the most affected, followed by brand reputation and customer retention. For organisations that experienced an attack, the effect can be substantial: 22 per cent of breached organisations lost customers and 29 per cent lost revenue, with 38 per cent of that group losing more than 20 per cent of revenue. A third (33 per cent) of breached organisations lost business opportunities.