By the Numbers
What the Statistics Say about Store Losses and Online Risk

As a retailer, you face financial risks that range from old-fashioned shoplifting to sophisticated cyber attacks on your point-of-sale system. Whether theft or a data breach, these scenarios can come with substantial financial losses that you'll need to be prepared for. To protect your store, you'll need to have a risk management strategy that accounts for these risks, but also gives your room to grow and connect with customers with new technology.

Small Businesses Have Room to Grow in E-commerce

Small Businesses Have Room to Grow in E-commerce

90%
of retailers have an online presence.
20%
of merchants have an e-commerce website.

MasterCard's research shows that small business retailers have a strong web presence, but still lag behind larger businesses when it comes to e-commerce. Only 20 percent of retailers sell goods online, despite the fact that 90 percent have a website. Incorporating an online store with your retail business can give you a leg up on your competition. But as with all technology, online sales come with risk.

Data Breaches Hit Retailer Technology

Data Breaches Hit Retailer Technology

31%
of data breaches are point-of-sale attacks.
33%
are DOS attacks on websites.

Verizon's 2014 Data Breach Investigations Report found that 31 percent of data breaches come from point-of-sale intrusions, hitting retail shops right where it hurts – the cash register. To make matters worse, another one-third of attacks hit websites via DDoS attack (denial-of-service attack), which overload websites and online stores in order to gain access to their data. Cyber Liability Insurance may cover the cost of data breaches at your store, paying for resources and services to cleanup a breach and protect your customers.

Theft Eats Away Retailer Profit Margins

Theft Eats Away Retailer Profit Margins

34%
of theft comes from shoplifting.
32%
of retail loss comes from employee theft.
8%
of theft comes from suppliers.

You've probably spent countless hours worried about theft at your store and trying to find ways to prevent it. The 2012-2013 Global Retail Theft Barometer [PDF] shows that these risks are everywhere. Employees, shoplifters, and even suppliers and vendors can take a bite out of your profit margins. Theft costs retailers 1.3 percent of their sales. Investing in security system and signage can represent a great return on investment, as it discourages employee, contractor, and shoplifting theft. For burglary and store damage, Property Insurance can offer important financial security.

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