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BizReport : Ecommerce archives : December 12, 2008


Online shoppers putting bargains before online security

Online shoppers are putting their quest for a bargain before their online security, according to a new survey from BT Tradespace.

by Helen Leggatt

Over a quarter of a million members of BTTradespace.com's business social networking site were surveyed as to their priorities when doing their holiday shopping online.

It's concerning to learn that just 10% considered secure payment facilities important.

Brand loyalty featured even lower on the list of priorities as consumers doggedly seek out the best deals, irrespective of whether they are buying from familiar companies. If a retailer is selling what they want, at the price they want, that appears to be good enough for consumers. Even speedy delivery options weren't rated as much of a priority with just 7% rating it.

"This Christmas, consumers are after a bargain," said Ivan Croxford, head of BT Tradespace. "The web enables them to find attractive deals and unusual gifts they wouldn't find on the high street or from larger sellers."

Another survey, this time from SafeNet, found that one in three consumers has concerns about security issues when shopping online. Worryingly, those consumers admit they don't know how to tell if a site is secure or not. Three-quarters make a judgment on the security of a site based on brand and only 14% read the small print.

Contrary to BT Tradespace's findings, SafeNet found that consumers were sticking with familiar brands which they assume to have secure payment systems.

"The credit crunch has meant consumers are looking for better value when it comes to buying presents this Christmas, but there is still a lack of faith in online retail security," said Gary Clark, vice-president EMEA at SafeNet.

"With so many people fearful of ID fraud, they are tending to buy from well-known brands rather than independent or smaller retailers. It is clear that if stores cannot provide their customers with the assurance of safe online transactions, they will be at a real disadvantage among their competitors."






Tags: bargain, ID fraud, online payment, online security, online shopping, payment security, SafeNet








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  • There is an easy and free and totally safe way to shop smart and secure online - - use a credit card from Citibank or Bank of America or Discover or your PayPal account and they will generate a "virtual one-time-use-number" for you to use at check-out. This way you do not have to share your card details with any merchant. The charges are linked to your real account and you maintain the same protections and legal rights as if you used the real card number. Each of these companies has a unique name for their version of the product: "Virtual Account Numbers" at Citi, "ShopSafe" at Bank of America, "Secure Online Account Numbers" at Discover and "Secure Cards" at PayPal. Go to the company websites and check it out. You can enroll for free and then shop without fear of exposing your personal financial/card data.





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