Digital Security: a necessity for your online store

It's good for an online store to review the digital security measures you've taken. Naturally, you should also consider your data protection policy. This is a recurring but crucial theme in e-commerce. Laws and regulations change regularly, customers expect more, and the financial impact of data breaches is increasing. In this blog, we'll explore the reasons why it's important to enhance digital security.

Compliance with Laws and Regulations

The first reason to ensure proper security measures and have your data protection in order is simple. As an online store, you must comply with laws and regulations. This includes existing rules like the Digital Markets Act (DMA) and new rules like the European AI guidelines, which dictate how you can use AI, even in your online store. A clear reason to address digital security: the legislator requires it. As a business owner, it can be challenging to know where to start. It may take a lot of your time to follow legal developments, yet you must comply with all rules. Therefore, regularly, for example, every quarter, pay attention to your security policy. It's wise to proactively address this when building your platform. Consider important (scalable) requirements when developing your online store and think about principles such as privacy by design. In this blog, we delve into how to become GDPR-compliant in ten steps and explain various privacy principles, such as privacy by design. 

Minimizing Security Risks

Digital security is important for various reasons, with the continuity of your online store being a significant aspect. Security incidents can lead to significant disruptions in business operations, such as downtime, loss, or customer data leaks, and reputational damage. A robust security policy helps minimize these risks. The need to minimize these risks is evident from research on the financial damage caused by data breaches. IBM estimated that, on average, a data breach cost a company $4.45 million globally in 2023. This was an increase of about 15% compared to 2020, showing that risks and costs have significantly risen in recent years.

The Importance of Privacy for Customers

We mentioned above that a disruption in your business operations can occur due to cyberattacks. However, this is not the only reason why customers value good security measures and data protection. Research from ShoppingTomorrow and Thuiswinkel.org reveals that many customers consider privacy an increasingly important topic. Customers expect online stores to address this. 

In e-commerce, personal data, from addresses and ages to bank details, is processed extensively. The public is becoming more aware of the risks associated with the leakage of this data. It can be challenging to find a good balance between collecting data for a personalized experience and privacy.

The Benefits of a Good Security Policy

Fortunately, there is a positive side to this story: a good security policy and a strong data protection policy also offer a competitive advantage. We highlight three examples that help strengthen your online store's digital reputation: 

• Show, don't just tell: A dazzling list of the importance of privacy on your online store is no longer sufficient; consumers want to see it in action. Explain what you do and why you do it. If you use privacy by design, focus on data minimization, or undergo regular external privacy audits, communicate this and show it to your customers!
  
• If a data breach occurs: Communicate openly and honestly about it and immediately report it to the Dutch Data Protection Authority. Customers appreciate transparency. This shows that you take your customers seriously.
  
• Play with the big players: Major customers often have stricter requirements for data protection and security measures. By implementing a robust policy, your online store demonstrates readiness for the next step: proactive and ready to play with the big players.
  
  

Start with Your Digital Security

Everyone acknowledges the importance of digital security, but there's also a practical challenge: how do you regulate all of this? As a business owner, you don't have time to delve into all the rules and may need assistance with the technical know-how to handle this properly. To relieve you of this burden, you can turn to specialists in developing online stores or managing them. This ensures that your online store complies with laws and regulations, digital security is meticulously taken care of, and customer data is handled responsibly. This way, you can rest easy.