BROOKFIELD, Wis.–Fiserv has released its new 2020 Fraud and Security Survey, which among other findings found 79% of consumers say cybersecurity is equally or more concerning that it was for them a year ago. But the survey also found some good news around consumers’ cybersecurity habits.
“Cybersecurity concerns remain as consumers increasingly adopt digital payment methods that facilitate touchless interactions, yet often require consumers to input personally identifiable information (PII) within a digital profile, loyalty account, or for shipping information,” the company said in releasing the findings.
Since the onset of the COVID-19 pandemic, Fiserv reported 33% of consumers surveyed have increased their use of digital, touchless payments, and 69% plan to use more touchless payments in the future. However, only 23% of consumers believe that their PII is very or extremely secure.
Conducted in the summer of 2020, the study gathered insights from 1,037 Americans ages 18 to 74. The study explores how the uncertainty surrounding the COVID-19 pandemic and how the growth of remote, digital and touchless experiences influences cybersecurity and digital commerce concerns among consumers, Fiserv said.
“Shifts in consumer behavior have driven rapid adoption of digital purchasing types that limit physical interactions,” said Alain Barbet, head of Payments Risk Solutions at Fiserv. “As businesses begin shaping new ecommerce strategies to bring additional digital consumers in, it’s equally critical that businesses maintain consumer trust by securing the customer data they acquire through digital channels.”
Touchless Payments Grow
Other findings reveal the growth of touchless payments, including the use of mobile wallets, in-app purchases, QR Codes, “buy online, pickup in store” (BOPIS), curbside transactions, and other methods of digital payment.
Among the findings:
- 33% of consumers said their use of touchless payments has increased due to the pandemic, and 69% plan to use more touchless payment options in the future
- While credit/debit cards (52%) and cash (43%) remain preferred payment types, 33% of consumers use mobile apps for payment; 15% use QR codes
- 43% of consumers recently used BOPIS; 50% have taken advantage of curbside pickup
- The biggest adopters of mobile app payments are Gen-Z (41%)
Cybersecurity Concerns
Meanwhile, Fiserv noted the growth of digital commerce comes at a time when consumer cybersecurity concerns remain high. While year-over-year research shows a decline in those that are much more concerned about their cybersecurity compared to the previous year, most consumers (79%) are either equally or more concerned compared to the previous year.
- Only 23% of consumers believe their PII is very or extremely secure
- Over 40% of both Gen-Z and Millennial consumers have had their PII compromised; Gen-X (29%) and Baby Boomers (18%) report lower rates
- 22% of consumers reported a credit card compromise in the last year; down from 57% in 2017
One Breach Away
While consumers have their preferred apps, social channels and retailers, a data breach can quickly cause them to search for new alternatives, according to the Fiserv study.
Nearly half of users surveyed said they would very likely delete a social media account if breached and another 55% noted they would do the same to a mobile app.
Fiserv pointed out consumers have shown increasing confidence in online shopping and online bill pay platforms. In 2017, 52% of respondents felt online shopping was the channel most vulnerable to a cyber-attack compared to only 18% in 2020. Similarly, 15% felt online bill pay was a prime target for attacks in 2018 compared to just 11% in 2020.
Some Good News
The good news is many consumers are becoming more aware of the value that comes with regular password updates, according to Fiserv, which said its survey found:
- 36% of consumers say they are changing their passwords more in 2020 than they did in 2019
- For the second straight year, consumers identified their pet’s name as the most popular choice for a security password, with 22% of consumers relying on furry friends to secure their accounts
- When asked what fictional character they would most trust to secure their home network, a resounding 33% of consumers felt Q, from the James Bond 007 series, was the perfect candidate for the job