Growing numbers are buying less online.
Position | YOUR LIFE |
Online consumers are expressing growing worries about identity theft, and this is not good news for retailers, reports The Conference Board, New York. More than 13% of all Internet users say they or a member of their household already has been a victim of identity theft.
"Misplaced or stolen data from major financial service institutions such as Citigroup, Bank of America, and Wachovia, and [the] admitted mishandling of data by credit card processing company CardSystems Solutions, have increased consumers' concerns about online security," notes Lynn Franco, director of The Conference Board's Consumer Research Center. "Consumers have taken steps to be more cautious, which is a good thing. The downside is the negative impact to online retailers that may slow the growth of e-commerce."
Survey data show that more people are buying less online. Nearly 70% of online users have installed additional security software on their PCs; 54% now "opt-out" of special offers; and 41% are purchasing less online. Some 27% say they have read online privacy statements and 21% are using multiple e-mail addresses.
The majority of online consumers state they are more concerned today about the security of their personal information on the Internet than a year ago. Nearly two-thirds of Internet users age 55 and over claim they are more apprehensive. "Identity theft is the fastest growing crime in the nation, according to the Federal Trade Commission,"...
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