July 13, 2023
In this article, we aim to uncover some often-overlooked hidden costs that arise from neglecting inbound email security.
In a constantly evolving digital landscape, businesses face growing threats such as phishing and malware. This article outlines certain financial impacts, loss of productivity, reputation damage, and legal risks associated with the lack of email security. The objective is to raise awareness and emphasize why it is crucial to invest in an email security solution to protect one's business.
The lack of securing inbound emails exposes businesses to significant financial risks.
Sophisticated phishing attacks can result in the theft of sensitive data, financial fraud, and direct losses. Ransomware can cripple business operations, requiring the payment of a ransom to retrieve the data. Additionally, restoring operations after an email security breach can incur substantial costs, such as data restoration, security audits, and corrective measures.
These expenses can quickly accumulate, impacting financial performance and the overall health of the company.
The latest statistics refer to an average cost of 4.5 million euros.
The lack of securing inbound emails can result in significant productivity loss within a company.
Employees falling victim to phishing can compromise data confidentiality or spend time sorting through unwanted emails. Moreover, malware infections and ransomware can cause unforeseen disruptions, leading to disruptions in business operations and an overall decrease in productivity. Employees must dedicate time to resolving security issues, restoring lost data, and strengthening protective measures, diverting their attention from essential tasks related to their role within the company.
The reputation of a company is a valuable asset, and the lack of securing inbound emails can seriously compromise it.
Successful phishing attacks can result in the disclosure of sensitive customer data, which undermines trust and damages the company's reputation. Dissatisfied customers may share their negative experiences with others, impacting the company's image and its ability to attract new customers.
Additionally, data breaches can lead to legal action, fines, and negative media exposure, further exacerbating the situation. Restoring reputation can be a lengthy and costly process, requiring significant expenditures on public relations, crisis marketing, and rebuilding customer trust.
The lack of securing inbound emails can result in violations of data protection regulations, exposing businesses to fines and financial penalties.
Compliance with regulations such as the General Data Protection Regulation (GDPR) is essential to avoid extremely costly penalties (up to 20% of annual revenue). Companies must invest in appropriate security measures to ensure data confidentiality and prevent potential breaches. Compliance costs include implementing security measures, employee training, compliance audits, and documenting policies and procedures.
Non-compliance can lead to significant fines, legal consequences, as well as a deterioration of trust from customers and business partners.
In the event of a data breach or non-compliance with regulations, the affected company may face substantial legal expenses and costly litigation. Customers or aggrieved parties can initiate lawsuits for negligence in data protection, leading to additional expenditures in legal fees, settlements, and compensation.
Litigation can extend over an extended period, increasing legal costs and impacting the financial resources of the company. Moreover, the financial consequences of litigation can be significant, ranging from fines and penalties to damages awarded to the victims.
The list presented above is certainly not exhaustive, but the mentioned elements highlight the main financial risks when a company falls victim to a cyber-attack.
The lack of securing inbound emails exposes businesses to significant hidden costs that go well beyond direct financial losses. Financial losses, loss of productivity, reputation damage, and legal risks are all expensive consequences of neglecting email security.
To protect your business, it is essential to invest in a robust email security solution. By taking action now to prevent phishing attacks, malware, and ransomware, you will significantly reduce these risks and safeguard the reputation and financial viability of your company.
Implement appropriate security measures, train your employees, and adopt a proactive approach to mitigate email security risks.
Learn more on how LetzRelay-MX can help your organization be secured with Internet inbound emails.