The true business impact of a cyber attack

It’s worse than you think

Your worst business nightmare isn’t a recession or new competition. It’s a cyber attack that brings everything crashing down overnight.

Here in New Zealand, cyber criminals walked away with $6.8 million in just three months (Q2 2024).

That’s a staggering 61% jump from the same time last year. Want to know the scariest part? Over half of that money ($3.6 million) came from unauthorised access incidents alone.

But here’s the thing – that’s just the money we can count. The real damage goes much deeper.

Let’s break down what really happens when cyber criminals hit your business…

Everything stops working

Imagine walking into work and nothing works. Your systems are locked. Customer records are gone. Phones are ringing but you can’t access any information to help anyone.

This isn’t a bad morning – it’s your new reality. Your business has effectively stopped breathing.

  • Payment systems are down
  • Staff can’t access essential tools
  • Customer orders are frozen
  • Email systems are compromised
  • Years of data are suddenly out of reach

And while you’re scrambling to fix things, the real damage is already spreading.

In just three months of 2024, 1,203 New Zealand organisations lived through this horror story. We’re talking an average of $5.5 million in losses every quarter for the past two years.

The trust collapse

The moment customers learn their data is compromised, trust in you disappears.

Think about it. Your customers trusted you with their:

  • Credit card details
  • Personal information
  • Private communications
  • Purchase history
  • Confidential data

Now that trust is gone. But it gets worse.

The relationship fallout

Your business doesn’t operate in a bubble, which means when you have a security incident, it affects those around you.

Every partner you work with is now at risk, which can damage your relationships in the long run!

The hidden damage nobody talks about

Money hurts, but reputation kills. When customers Google your business, they’ll find news about your breach for years. Review sites fill up with angry customers. Your business name becomes permanently linked with “data breach” and “hacked” online.

Your staff takes a massive hit too. They face angry customers all day. Productivity tanks while systems are down. Your best people start updating their resumes – nobody wants to be associated with a compromised business. The ones who stay lose confidence in leadership.

Meanwhile, your competitors pounce. They’re already calling your customers, positioning themselves as the “secure choice”. They’ll use your crisis to steal the market share you spent years building.

In fact, according to CERT NZ, in Q2 2024 alone, New Zealand faced 121 cyber incidents serious enough to threaten national security. Some were so severe they required high-level government intervention.

The recovery nightmare

The Australian Cyber Security Centre says that preventing attacks costs far less than recovering from them. Here’s what recovery really looks like:

Immediate costs:
  • Emergency IT response at premium rates
  • Legal teams working overtime
  • Customer compensation payouts
  • Lost revenue while systems are down
  • Crisis management consultants
  • New security systems
Long-term costs:
  • Ongoing legal issues
  • Higher insurance premiums
  • Marketing campaigns to rebuild trust
  • Staff turnover and retraining
  • Lost business opportunities
  • Continuous reputation management

How to actually protect your business

Real protection isn’t just about better software. Modern cyber resilience needs:

  1. Verified certification: Prove to customers and partners that you take security seriously. Get independently certified in cyber resilience.
  2. Regular staff training: Your team needs ongoing training that evolves with new threats. One-off sessions aren’t enough.
  3. Response plans: Have a clear, tested plan for when (not if) something goes wrong. Everyone needs to know their role.
  4. Documented practices: Show exactly how you protect customer data. Make security part of your business DNA.

Every business faces two futures. In one, you’re explaining to angry customers why you lost their data. In the other, you’re showing them proof that you’re certified cyber resilient.

Don’t wait until you’re living through a cyber attack to take this seriously. Get certified. Get protected. Show your customers their trust in you is well-placed.

Take the first step toward real protection at: https://certifiedcyberresilient.com/

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