Convenience and efficiency of transacting online is driving growth, but
leaving users increasingly exposed - according to RSA Security survey
SAN JOSE, Calif., Feb. 14 /PRNewswire-FirstCall/ -- RSA CONFERENCE -- The
first Internet Confidence Index designed to measure changes in US and European
confidence in secure online transactions among consumers and businesses - and
gauge growth in the frequency and value of online transactions - was announced
today by RSA Security.
The annual Index, based on data gathered from business and consumer
audiences in the United States, the United Kingdom, Germany and France will
serve over time as a regular barometer of market confidence in e-commerce.
The first iteration of the Index reveals that the willingness to transact
online is outpacing trust in the medium: both businesses and consumers are
taking risks in order to reap the benefits of online transactions.
* In the business community, a moderate assumption of risk is reflected in
a Security index score of 22 that is substantially lower than the
Transaction index score of 55. Both metrics are evaluated on a scale of
-100 to +100, indicating the range of 'least to greatest' security and
'declining to increasing' transactions
* Among consumers, a similar assumption of risk is demonstrated in the
Security index score of 5 relative to a Transaction index score of 37.
While both metrics are lower for consumers, the gap between security
and transactions is roughly the same as found among businesses
"It is not surprising that business users feel more secure online than
consumers, with an array of firewalls and other defensive measures in place
around them, but it is astonishing to see the extent to which both groups are
willing to assume some level of risk in their transactions," said Art
Coviello, president and CEO of RSA Security. "In the pursuit of convenience
and cost-savings, businesses and their customers are knowingly making
themselves more vulnerable to identity theft. The message here is that
security is failing to keep pace with what end-users wish to do online."
The Index confirms that the volume of online transactions is growing in
all the countries surveyed - just 1% of businesses said that they were doing
fewer online transactions today than 12 months ago - and that they are an
increasingly critical source of revenue and sales for the business community.
The United States leads the way here: 62% of US businesses reported that their
online dealings accounted for higher dollar amounts than at the same point 12
months ago, compared with 49% in both the UK and in France. In Germany,
however, the pace of growth in the value of transactions is more cautious: 34%
reported an increase in the overall value, but 52% estimated that there had
been no change in this area over the past year.
A reason for this was identified when businesses were polled on the
perceived security of their online transactions. On average, 86% of American,
British and French companies consider that their online dealings are 'quite',
'very' or 'extremely' secure, but the figure in Germany - 64% - was markedly
lower.
However, the survey uncovered a distinct confidence gap in the United
States: American businesses and consumers are far more concerned than
Europeans about network vulnerability and third parties fraudulently accessing
information. 67% of US businesses reported degrees of concern about the
vulnerability of their networks, much higher than the European average of 37%.
And almost half of US consumers stated that that they have little or no
confidence that several groups(1) are taking the necessary steps to secure
personal data. This concern is accentuated by additional findings that:
* Businesses are more likely to experience cyber-crime in the US than in
Europe: eleven different categories of online crime(2) were presented
to respondents, and in all but two categories significantly more
businesses in the US reported experience of such crimes (once or on a
recurring basis) than in all other countries
* Nine out of ten US consumers are familiar with identity theft, but
knowledge of this danger is much lower in France and Germany, where
approximately one in three consumers are still unfamiliar with the
concept
"In two key areas, the crisis of confidence is most pronounced in the
United States, and this may be a direct result of the many high profile cases
of data theft and online fraud in the US during the past year," continued Mr.
Coviello. "That said, in spite of their fears, businesses and consumers
everywhere continue to do more - and spend more - online. Both sides share
ownership of responsibility in bringing security into line with expectations,
with further assistance from government and industry."
When questioned about this responsibility, consumers made it clear that
they believe that their e-tailers and banks are the entities responsible when
it comes to protecting personal data and, crucially, reimbursing customers
when things go wrong. On the business side, however, just 26% consider their
organization to be the most responsible entity for protecting private
information during a transaction. And this sense of responsibility is most
common in the US and UK; by contrast, German companies share the
responsibility between themselves and banks/credit card companies, while
French organizations stand alone in considering outside entities(3) to be more
responsible for protecting confidential information.
Other key findings from the survey:
* Online transactions generate an average of 35% of revenue/sales or fees
for businesses in the US and Europe
* 75% of business respondents indicate that their organization has done
more online transactions over the last year and only 1% indicate a
decline
* 53% of business respondents report that transactions have increased in
value over the last year
* While 49% of respondents feel that confidential information is most
vulnerable to theft or misuse during transmission of information, 27%
of businesses cite their organization's network as a point of
vulnerability
* Business respondents tend to feel some degree of vulnerability exists in
all of the applications that were tested in the survey, but email is
considered slightly more vulnerable than other applications
Survey Methodology
The 39 question survey, focused on the issues of confidence and trust in
secure online transactions, was conducted online with 601 business respondents
and 603 consumers in the United States, the United Kingdom, Germany and
France. The data was gathered in September and December 2005 by Momentum
Research Group.
More information on this and other RSA Security announcements related to
RSA Conference 2006 may be found at http://www.rsasecurity.com/rsaconference/.
About RSA Security Inc.
RSA Security Inc. is the expert in protecting online identities and
digital assets. The inventor of core security technologies for the Internet,
the company leads the way in strong authentication and encryption, bringing
trust to millions of user identities and the transactions that they perform.
RSA Security's portfolio of award-winning identity & access management
solutions helps businesses to establish who's who online - and what they can
do.
With a strong reputation built on a 20-year history of ingenuity,
leadership and proven technologies, we serve approximately 20,000 customers
around the globe and interoperate with more than 1,000 technology and
integration partners. For more information, please visit
http://www.rsasecurity.com
About Momentum Research Group
The Momentum Research Group is a research consultancy that uses
quantitative and qualitative research methodologies to not only inform its
clients, but also enhance their market profile. MRG has been recognized for
their development of thought provoking research on topics, such as the
macroeconomic impact of Internet technology on the United States' and other
economies (e.g. Internet Economy Indicators and Net Impact
http://www.netimpactstudy.com).
Since its inception, MRG has had the pleasure of conducting such
innovative research for a number of clients including AMD, Autodesk, Cadence,
Cisco Systems, Hewlett-Packard, PeopleSoft, Siebel Systems, Sun Microsystems
and Sybase. For more information, go to http://www.momentumresearchgroup.com.
RSA and RSA Security are either registered trademarks or trademarks of RSA
Security Inc. in the United States and/or other countries. All other products
and services mentioned are trademarks of their respective companies.
(1) Including: the government; industry alliances setting Internet
security standards; companies that produce computer hardware or
software; ISPs; credit reporting firms
(2) Viruses/Worms; Spam; Spyware; Phishing; Fraudulent email relay;
Network Intrusion; Merchant fraud; Denial of service attacks;
Copyright/intellectual property piracy; Theft of sensitive &
proprietary business information; Theft of customer information
(3) Banks/credit card companies; Companies that process online payments
For more information:
Jessica Hawks
OutCast Communications
(646) 442-3370
rsa@outcastpr.com
Matt Buckley
RSA Security Inc
(781) 515-6212
mbuckley@rsasecurity.com
SOURCE RSA Security Inc.
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Related links:
http://www.momentumresearchgroup.com
CONTACT:
Jessica Hawks for RSA Security Inc,
+1-646-442-3370 or rsa@outcastpr.com; or Matt Buckley of RSA
Security Inc, +1-781-515-6212 or mbuckley@rsasecurity.com
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