Staples Investigates Potential Data Breach

staples3Staples may be the next in a line of retailers experiencing a payment card data breach. The retailer is presently investigating the potential breach and has contacted law enforcement, according to Mark Cautela, Sr. Public Relations Manager at Staples.

“We take the protection of customer information very seriously, and are working to resolve the situation,” said Cautela in an email. “If Staples discovers an issue, it is important to note that customers are not responsible for any fraudulent activity on their credit cards that is reported on [in] a timely basis.”


29% Of Consumers Don’t Trust Retailers To Keep Data Secure

RR ACI ImageMore than one quarter (29%) of consumers worldwide do not trust retailers and restaurants to protect their stored personal and financial information against data breach attempts, according to a report from ACI Worldwide and Aite.

The report, titled: Global Consumers: Concerned And Willing To Engage In The Battle Against Fraud, surveyed more than 6,100 consumers across 20 countries in March 2014.Confidence in financial institutions such as community banks and credit unions is higher among survey respondents, as 58% believe they protect data more effectively than any other institution. Conversely, 31% of respondents said they think governments and law enforcement agencies are doing a “very bad” or “poor” job at fighting fraud.


Kmart Investigates Payment System Breach

Kmart is investigating a store payment data system breach, according to President and Chief Member Officer Alasdair James.

On Oct. 9, 2014, the Kmart IT team determined that the payment data systems at Kmart Stores had been infected with a new form of malware in early September 2014. The malware has been removed.


Small To Mid-Size Businesses: The New Target For Hackers

VP Heartland head shotBefore the Target breach, which shook the data security industry to the core, many big companies didn’t see the need to make security a top priority. Many executives thought “good enough” was enough to protect them and their customers.

Target is paying nearly $200 million for its breach, and the big box retailer’s Q2 earnings of $234 million are dismal compared to earnings of $611 million in the same period last year. The cost of being “good enough” is no longer good enough.


Capitalizing On Retail Big Data

Dolphin head shotIncreasingly, retailers are collecting large volumes of transaction data at the point of sale. This data makes pinpointing consumer behavior easier than ever, as retailers obtain real time data about consumer preferences, whether it is the latest fashion trend, a hot new food item, or packaged good.

With Big Data, retailers have the ability to stay on top of the competition and respond quickly to consumer demands. But point-of-sale transactions aren’t the only source of Big Data. Retail supply chains and internal processes are also generating large volumes of data. If retailers want to succeed in a competitive marketplace, they must not only collect retail data, they must also understand how to control it.

As more retail companies grow through mergers and acquisitions, expand into new territories, or launch new product lines, they must consider how data and processes work together to support the businesses’ near term and long term goals. Here we present some simple rules that retailers can follow to help them capitalize on the valuable data they have while staying in control.


56 Million Payment Cards Compromised In Home Depot Breach

UPDATE: The Home Depot has reported that 56 million credit and debit cards may have been compromised in a data breach that extended over a period of five months. The attack has been spotlighted as the largest data breach to hit a retailer. In fact, the breach is significantly larger and more severe than the one Target experienced, which impacted 40 million credit and debit cards during the 2013 holiday season. 

The cybercriminals used custom-build malware to evade detection, the Home Deport reported in an announcement. Prior to eliminating the malware, the retailer put all impacted terminals out of service. The malware has since been eliminated from U.S. and Canadian networks. 

As a result of the breach, the Home Depot is in the midst of rolling out a major payment security project that will provide enhanced encryption of payment data by scrambling card information to make it unreadable. The implementation will be completed by early 2015. 

Retail TouchPoints' original coverage of the news is below. 


45% Of Shoppers Don’t Trust Retailers To Keep Their Information Safe

RR Ineractions imageAlmost half (45%) of shoppers don’t trust retailers to keep their credit and debit card information safe from potential hackers, according to a report from Interactions. Up to 44% of respondents have had their personal information stolen as a result of a security breach.

The Retail Perceptions report, titled: Retail’s Reality: Shopping Behavior After Security Breaches, offers insight into how consumers’ loyalty to brands changed following highly publicized data breaches. Up to 12% of shoppers said they stopped shopping with retailers that experienced a breach, with an additional 36% indicating they shopped at the retailer less frequently.


51 UPS Stores May Be Impacted By Data Breach

Shortly after SuperValu announced a data breach that potentially impacted 209 locations, The UPS Store has reported a similar incident.

The subsidiary of United Parcel Service of North America (UPS) revealed yesterday that the breach could have compromised customer credit and debit card data from 51 UPS franchise locations nationwide. Information that may be at risk includes names, postal addresses, email addresses and payment card information.


SuperValu, Albertson’s Report Data Breach

databreachSupermarket chain SuperValu is investigating a data breach that may have affected credit and debit cards swiped at POS systems in 209 stores between June 22 and July 17, 2014. The breach may have resulted in the theft of account numbers, expiration dates and cardholder names of customers using payment cards at the stores. The breach affects SuperValu stores operated under the Cub Foods, Farm Fresh, Hornbacher’s, Shop ‘N Save and Shoppers brands.

As part of the same breach, stores operated by AB Acquisition LLC also may have been affected. AB is the parent company of supermarket chains Albertson’s, ACME Markets, Jewel-Osco, Shaw’s and Star Markets. SuperValu provides IT services to stores under the AB Acquisition umbrella. AB Acquisition has not revealed the number of stores that could have been affected by the attack.


In The Wake Of The Target Fiasco, Where Retailers Need To Focus Data-Security Efforts

VP site only BeachheadThe massive breach of Target's data security systems in late 2013 surprised many customers who have come to take the safety of electronic transactions for granted. To insiders following consumer data theft, however, it came as less of a revelation. To them, the Target breach merely served as a painful reminder of the relative weakness of data security systems in the American retail industry. As retailers have expanded their operations across a broader variety of platforms, they have too often neglected to establish necessary safeguards on the information transmitted across those platforms. Where customers see greater convenience, sophisticated hackers see new opportunities.

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