17-Jan-2012 13:22

Online Shops Must Protect Data or Face Backlash...

When will someone sue an online company for being too lax over their customers’ private details and security of information?

Apparently in the States the online shoe retailer ‘Zappos’ has admitted that hackers have accessed its network, stealing account information from almost 24 million customers.

In a statement on Sunday, CEO Tony Hsieh said that although credit card information was not stolen, email addresses, billing & shipping addresses, phone numbers, the last four digits from credit cards - and more - may have been compromised.

A statement posted on the company's blog said, "…we were recently the victim of a cyber attack by a criminal who gained access to parts of our internal network and systems through one of our servers in Kentucky. We are cooperating with law enforcement to undergo an exhaustive investigation."

The company stressed that it has already reset the passwords for existing customers to prevent abuse of the stolen data.

Foolishly this lack of security can really backfire and ruin a company, its image, credibility and its future sales..

As the CEO admitted, "we've spent over 12 years building our reputation, brand and trust with our customers. It's painful to see us take so many steps back due to a single incident.”