The old adage states that crime doesn’t pay, but that doesn’t seem to be the case with cybercrime – which, according to experts, represents approximately $1.5 trillion in annual revenue. One of the most prevalent ways they “earn” this money is by stealing customer data and holding it for ransom. In 2024, protecting customer data is more essential than ever. While financial data is clearly a problem if it is hacked, stealing something as simple as an email address can cause significant headaches.
Protecting customer information is vital for many diverse reasons – ranging from goodwill and customer trust to protection from lawsuits.
7 Recommendations to Protect Client Data
- Limit Data Collection to Essential Information: Collecting and retaining only the data that is critical to your marketing efforts will both decrease the external value of your data and increase client willingness to trust and do business with you. Hackers have less interest in risking their freedom for “low-value” data – but if you make it a habit to collect names, phone numbers, location, and income, your data becomes more attractive to criminals. The greater the amount of data, the more interest you are likely to generate from outside parties. Limiting the number of fields a customer must fill out also makes them feel less tentative about engaging with your organization.
- Limit Internal Access to Collected Data: Not every employee needs complete access to every piece of client information. Limiting access to customer data within your organization means establishing a “need to know” mentality. This process results in fewer points of vulnerability. Every time someone accesses client data, they are vulnerable, so allowing fewer employees access to reduces the risk of a breach or internal data abuse.
- Implement Password Management Protocols: Access points are always going to represent a vulnerability. Companies can strengthen their cybersecurity and mitigate the risk of hacks by implementing and requiring all employees to utilize a robust password management tool. These tools create and store complex passwords that employees would not typically be able to manage (as simple passwords are easier to remember.) Password management tools encrypt and store each password, ensuring that the password is unreadable to anyone without the encryption key. Expert Tip: Password managers also provide a method of easily closing down access to all data when someone leaves the organization.
- Break Down and Eliminate Data Silos: Data silos are notorious for causing inefficient data analysis, but they can also open the door for criminals looking for vulnerabilities. Data silos result in pieces of data being stored in different locations, oftentimes in nonsecured applications. Information stored in data silos is also more difficult to keep track of – meaning that it may take longer to even realize there has been a breach. Breaking down data silos helps with better customer management and more accurate data tracking and reporting.
- Require Third-Party Vendors to Protect Data: When considering a new marketing or analysis tool, be sure to research and assess that tool’s security standards. Third-party tools should comply with the current standards as well as continually monitor and, when necessary, update their data security protocols. If you aren’t comfortable with a tool’s security standards, find a more secure alternative.
- Perform Routine Security Assessments: Once the right security protocols are in place, it is essential to remain vigilant. Routinely performing security audits and assessments can help to quickly identify any emerging or potential threats. Establish a schedule and define a scope, then commit to the process. Regularly provide reports to key stakeholders, along with recommendations for any necessary next steps or updates.
- Training Employees for Awareness: Successful data protection protocols require buy-in across the organization. Each employee must be aware of regulations and best practices regarding cybersecurity threats they may encounter, such as email phishing schemes.
Alliance IT offers professional cybersecurity expertise to Sarasota businesses in need of protecting their customer data. Call today to learn more about how we can help you to reduce vulnerabilities and avoid attacks.