Around 41% of global small and midsize businesses (SMBs) prioritise managing security risks over winning new customers.
This is according to a Kaspersky Lab research titled Insight on big decisions for small businesses, which shows that in a world of rapidly evolving IT security threats and market volatility, companies with fewer than 100 employees are prioritising the management of cyber risks ahead of innovation (39%), gaining new customers (37%) and becoming a digital business (35%).
"Addressing risk is a priority for 43% of businesses with fewer than 100 employees, second only to improving the quality of products and services. Entering a new market, launching a new product or service, growth - are all risks, and could fail. Improving the ability to innovate is a top priority for 39% of businesses with fewer than 100 employees. Creativity and innovation are vital to the future of any business," notes the research.
According to the Measuring the Financial Impact of IT Security on Businesses report, a single cyber security incident now costs large businesses around $861 000 on average, while small and medium businesses (SMBs) end up paying an average of $86 500 per incident.
In the report, Kaspersky Lab compared an organisation's security budget to losses incurred from serious cyber security incidents. The research shows a significant disparity between businesses of differing sizes, with annual security budget varying from just $1 000 for very small businesses to more than one million US dollars for large companies.
Riaan Badenhorst, MD, Kaspersky Lab Africa, says: "With thousands of threats attacking the corporate world every day, efficient cyber security definitely pays off. Businesses understand the threat clearly; 59% of SMBs and 62% of enterprises say they will improve their security regardless of an ability to measure return," he explains. "The survey proves that reaction time post-breach has a direct impact on financial losses. This is something that cannot be remedied via budget increases. It requires talent, intelligence and an agile attitude towards protecting one's business."
Fortinet's 2016 Global Security Survey, found securing the cloud and protecting vulnerability in IT systems are the two greatest concerns for IT decision-makers in Europe, Middle East and Africa (EMEA) enterprises.
Last week real-time information services provider, Neustar announced the results from a survey of 290 security executives from across 11 EMEA countries. The report reveals 60% of respondents confirmed that the recent global attacks, such as WannaCry, had a direct effect on the way they protect their enterprises.
The report reveals respondents ranked ransomware as the most concerning, with 28% of them selecting this type of threat, and system compromise ranked second with 21%. As the WannaCry attack crippled global systems, the positioning of ransomware as the top CISO concern is understandable and gives a clear indication of organisations current threat landscape awareness.
"The majority of respondents indicating that recent global attacks have directly affected their protection choices shows that while awareness exists, it is clear that there's a disconnect between the concern of attacks and companies actually taking action. This Index will provide tangible insights into how threats are perceived at any given time, which will aid IT decision-makers in justifying vital cyber security spending to the board of directors," said Rodney Joffe, Head of NISC and Neustar Senior Vice President and Fellow.
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