Running an e-commerce business means handling more than just products. Whether you’re shipping chocolate truffles from your kitchen or managing a warehouse of custom sneakers, you also end up with a significant amount of sensitive data: customer addresses, credit card details, birthdays, and—worth a mention—your own supplier and inventory management systems.
It’s not fun to think about, but cybercriminals are aware of this, too. A 50-person team running a high-traffic marketplace? A potential mark for a hacker. A solo seller with a Shopify store? Also a candidate. It may feel like your e-commerce business is too niche or too small to be targeted for data theft—until it happens.
Customer trust and mistrust
Consumers are becoming aware of just how valuable their personal data is. They’re becoming wary of practices that could cause that data to fall into the wrong hands. It’s no longer the Wild West of data privacy—it’s more important than ever that customers feel they can trust businesses with their data.
Globally, data privacy regulations and compliance standards for every online enterprise are becoming more widespread. Canadian e-commerce businesses are bound by PIPEDA (the Personal Information Protection and Electronic Documents Act). For those with customers in other regulated jurisdictions, additional laws often apply. For example, those shipping to Europe and California must consider the GDPR and CCPA, respectively.
Legal compliance is only the beginning—there are many other reasons to protect customer data. By prioritising customer care and showcasing a serious commitment to safeguarding sensitive customer information, you’re investing in the sustainability of your business operations and client base.
Common online threats to data privacy
The traditional idea of a hacker is a guy in a dark, dimly lit room surrounded by energy drinks. But modern hacking doesn’t apply to such a niche subset of individuals. Most data breaches start with something as simple as a phishing email, which can be easily created.
It can also be surprisingly easy to be tricked by a phishing attempt. A seemingly plausible request can be a masquerade for a link that launches spyware into your device. The link could be convincingly disguised as anything, such as an email from a payment processor asking for account verification, a shipping alert, or an invoice from a supplier.
Other common attacks include Denial of Service (DDoS) attacks. These attacks can shut down an online store by flooding it with fake traffic. Another type is ransomware attacks, which often use malware to lock data or business operations and demand a ransom to unlock it. Finally, data breaches are the result of a hacker gaining access to sensitive customer data through outdated plugins, weak passwords, or other security cracks.
Beefing up protection
It’s unnecessary to bring in a bunch of big guns to make an e-commerce store a more difficult target for a hacking attempt. A few easy steps can be implemented today to make your business more secure.
One of the easiest ways for a hacker to gain access to a system is through weak passwords or passwords that are used across multiple accounts. In this decade, it’s understood that a strong, unique password is important. Yet, as of 2024, 35% of survey takers admitted to reusing their passwords on multiple accounts. Don’t be part of that statistic. Also, enable multi-factor authentication—just in case a strong password does get cracked, it’s an easy way to be extra safe.
Investing in a VPN can help protect your systems by encrypting your internet traffic. If you have team members who work remotely, an encrypted connection is essential, especially on public Wi-Fi or when accessing admin panels from various devices. A virtual private network ensures that all your data remains secure, and most VPNs can cover a wide range of systems and devices, including laptops, phones, tablets, and even routers.
Always keep operating systems, third-party software, and plugins up to date. Updates exist to patch vulnerabilities. A surprising number of vulnerabilities can be found in even the most reputable third-party tools. The latest versions of tools like Stripe, Shopify, and WooCommerce must always be installed and updated.
Finally, train your team. Keep everyone in your business in the loop about the latest hacking tactics, phishing trends, and other potential up-and-coming exploitation tactics. Stress the importance of being cyber secure as part of onboarding and teach proper internet hygiene techniques to old and new hires alike. After all, it’s not just about the health of the business or happiness of the customers. Bad cybersecurity practices can also put employee data at risk.
Being proactive is better than being reactive
Investing in prevention can go a long way toward avoiding a worst-case scenario cyber attack. Yet, nothing can guarantee 100% safety against all existing, emerging, varying, and unforeseeable future online threats. Being prepared, in the event that an attacker does gain access to your business systems, can go a long way toward managing the situation before it causes the utmost damage.
Consider a disaster recovery plan that includes a step-by-step incident response protocol, contact information for cybersecurity professionals, and knowledge of which legal teams and PR firms to call if a hack happens and goes public. Always keep backups of your website and customer data. In the case of a ransomware attack, a clean, secure backup could save your business from being bullied by criminals.
Choosing the right tools
You don’t need to take a DIY approach to e-commerce cybersecurity. Several digital tools are available to help automate the process of developing better digital habits.
- Network monitoring tools can scan your internet traffic and alert you to suspicious activity.
- Password managers can assist in creating and storing strong and unique passwords. It’s an equal security threat to write them all down, and no one expects you to remember 45 passwords.
- Email scanning services can help filter and flag suspicious emails that could be phishing attempts.
- Endpoint security systems can protect the actual devices that your business runs on.
Look for services that can scale with your business and integrate smoothly into your existing stack. Clunky systems your team doesn’t want to use aren’t helpful. Many modern tools can integrate with the platforms you already use.
Wrapping up
Considering how to protect your e-commerce business from a cyberattack may feel overwhelming. It doesn’t have to be. A few small changes can make a huge difference. Services can also provide additional help, and the cost is worth the benefit—many services are reasonably priced and scale for business size and specific needs. Cyber threats aren’t going away, and the last thing you want is for your business to be the next cautionary headline.
