Cybercriminals will soon target retail stores, so companies must be prepared to fight back

It is easy for cyber security to be confused with the war in Ukraine, bad actors abroad and the current geopolitical climate. Cyberattacks are traditionally associated with hacktivists and nation states attacking high-profile targets to cause havoc, draw attention to their cause, and make headlines. The current cybersecurity landscape is murkier, and right at our doorstep, thanks to organized cybercrime.

Cybercriminals can now operate in the market thanks to this underground economy that is fueled by the Internet, illegal tools on Dark Web, and more lucrative cyberattacks. The strategy isn’t to make one big hit. It’s to steal small amounts of money and make large profits. This means that no one is secure. It used to be high-profile corporations that were targeted but now it’s small and medium-sized firms that are most at risk.

Who are the most attractive targets for cybercriminals and hackers? Any organization can have valuable money and data. Gaming companies that manage microtransactions in-game are a prime target, as they have developed relationships with their customers and often save their card details within the accounts.

Because of the high stakes, financial services companies have been a prime target for years. They have large amounts of financial data and funds stored within their systems. Other sectors may be more vulnerable due to the highly secured and regulated nature banking.

Cybercriminals are now interested in the retail business. Despite being less regulated that financial services, retailers still manage large transactions and have access to valuable personal and financial information.

Online retailers also rely heavily upon their reputation and customer loyalty. A recent survey that we conducted with YouGov found that 59 percent would abandon shopping online if the retailer was attacked cyber-attack. We also know that major retailers such as Tesco are not immune from abuse. The cyberattack that struck earlier this year caused the closure of some stores by The Works and delays in fulfilling orders online and restocking orders, proving how severely it has affected retailers online and offline.

A lack of trustworthiness can have real financial consequences. Nearly half (91%) of respondents to a survey said they would abandon shopping carts if a website did not appear secure enough. This can negatively impact retailers’ bottom line, as it makes consumers less likely set up accounts, to save bank details, or to share other information that will encourage repeat business.

We see several common modalities in criminals’ actions when we look at their activities. To steal credentials, criminals use phishing to divert traffic to their malicious platforms. They often use bots to carry out their criminal acts, often on a large scale. These bots can be used by the hackers to lower prices and perform credential stuffing attacks. FishPig, a British IT firm that provides software to more than 200,000 ecommerce websites, was attacked by a security breach two months ago. This shows that the sector is also susceptible to supply chain security threats.

Many companies might be tempted to reduce their cyber security budgets in order to save money and protect their business from the threat of recession. Cybercriminals won’t cut back on spending. They will double down on companies that are cash-strapped and their customers who are equally overburdened. These are the reasons why cybercrime can be more lucrative in a recession. Cybercriminals will be stronger and more vicious in their approach. Companies should not risk data protection and security online.