Despite breach, you’ll be back

Healthcare providers who were victims of a breach can expect a 30 percent drop-off in patients, according to the paper written after a survey commissioned by Identity Finder.

Twenty-four percent of customers affected by a breach at a financial institutions and credit card issuers say they will go elsewhere.

This could be terribly frightening for a business to hear, right? Imagine the shareholder lawsuits when stock plummets and earnings fall beneath the profit line because the primary duty of employees has become to keep tumbleweed from forming in the empty aisles.

Javelin’s survey apparently never asked the customers if they’d be back, or when.

Yes, of course I avoided Target for a while and I probably advised others to do the same. I was arguably part of its drop in 2013 fourth-quarter revenue. But as soon as I needed a batting tee for my daughter to practice her swing, I went to Target. And I’ve been back since.

I talked myself into it (this wasn’t difficult) by assuming there might not be a better time to shop at Target than after a breach. With all the investigators and computer pros patching gaps and shoring payment systems, my card number is safe and sound.

I’ve been to Michaels and Marshalls and HomeGoods too. The painting I bought looks splendid above the sofa.

I happen to believe the people surveyed were honest. But there’s oftentimes a difference between what people say and what they do. You may see this again in November 2016.

Retailer TJX Corp. (TJ Maxx) suffered a very large data breach in early 2007. Tens of millions of customers were affected. It was the poster child of retail data breaches until Target came along.

In March 2007, TJX stock was selling for a mere $13.48 a share. Today, you can get a share for around $60.

Another survey from the Ponemon Institute also looked at customer behavior following a breach. By far, the primary impact has been stress and spending time resolving the headaches having your payment card or personal information stolen causes. (As we know, these are not considered damages in a court of law.)

Thirty-two percent of the 797 people surveyed got a notification letter in the mail. Ten percent say they received five letters last year for different incidents.

From the survey, it would appear consumers want a clear, honest assessment of the situation and potential risks from a breached organization.

You know what else they want? Cold hard cash…and identity theft protection and credit-monitoring. But nothing beats cash. Sixty-seven percent said they wanted to be compensated with cash, products or services.

Give it to them. You’ll get it back when the customer comes back.