Half of Aussies would sue company that leaked their data

More than half of Australian consumers would consider taking legal action against any company found to have leaked their personal data, according to new research from SME software comparison provider GetApp.

A survey conducted by the company found that 69% of Australian consumers have already been victims of either online fraud, online scams, credit theft or other forms of identity exposure online.

The research found that 38% of consumers who have experienced online fraud attribute it to suspicious emails, with 28% blaming shopping on social media.

Meanwhile, 41% of respondents indicated that they would stop doing business with or buying from companies that were involved in a data breach, while 49% have already stopped shopping from companies that have difficulties protecting their personal information.

Nearly half (46%) of Australian consumers think that companies’ existing data privacy policies are unclear, with 14% believing that they are misleading. More than half (51%) meanwhile believe that they must trust a company before sharing personal information. Nealy one in four (24%) simply do not trust companies that collect personal data for commercial purposes.

GetApp Australia Content Analyst Andrew Blair said the findings demonstrate that a clear and coherent privacy policy is essential for companies looking to appear trustworthy for the privacy-focused consumer.

“As cyberattack threats persist, companies must deliver on their policy objectives and improve their methods for managing personal data,” he said.

“The consequences of data mismanagement are harmful to businesses and earning consumer trust, and a privacy policy is essential to inform the consumer about a company’s data management practices.”

Image credit: iStock.com/Iván Jesús Cruz Civieta