Requesting your customers to email personally Identifiable Information (PII) such as a copy of passport, proof of address, or other confidential information might seem natural and just a part of your work and your company’s everyday routines. The bad news is, exchanging PII without encryption can result in the data being hacked and cause severe damages, such as reputational risk, financial loss, or legal costs.
Unfortunately, data breaches are becoming more common in today’s society. Hackers, competitors, and others know they can exploit, sell, or in other ways profit on compromised information or use it for a variety of criminal purposes now or in the future.
Using encryption technology solves this huge challenge of data security. Encryption is the process through which data is encoded so that it remains hidden from, or inaccessible to unauthorized users. It helps protect private information, sensitive data, and enhances the security of communication between client apps and servers.
In essence, when data and files are encrypted, even if an unauthorized person or entity gains access to it, they will not be able to read it. We use a variety of sophisticated encryption technologies to keep our customers safe, i.e. Strongest FIPS 140-2 grade encryption, 256-bit AES encryption, elliptic curve cryptography, PBKDF2 key derivation with SHA-256 hashing and other security technologies.
Data Encryption Provides a Competitive Advantage
Since data encryption applies both to information and files at rest and in transit, it provides consistent protection that could lead to peace of mind for the people who handle information.
Research shows that a growing percentage of businesses know that creating an encryption plan is essential. A 2019 study presented by Ponemon Institute found that, during the fiscal year 2018, almost 50% reported having an overall encryption strategy applied consistently across their organizations. Slightly less mentioned having a limited encryption strategy used for certain applications or types of data.
Only 13% said they did not have a strategy at all. That research suggests that if your enterprise fails to prioritize encryption, it could lag compared to competitors.
Using Encryption Increases Trust
Most companies in most industries are required by law to protect and encrypt customers data. But even in the few cases, when companies are not required to encrypt data, many companies choose to do so to show their customers and clients that they take their privacy seriously. Making that assertion is particularly important due to the eroding trust many people have in the internet.
According to the 2019 CIGI-Ipsos Global Survey on Internet Security and Trust, over 50% said they were more concerned about online privacy now than a year ago. The same survey indicated that nearly half of those polled (49%) said that their distrust of the internet made them disclose less personal information online.
Those findings open an opportunity for companies to bolster consumer trust by explicitly stating how they encrypt customer data. Although end-users need to take responsibility as well, enterprises can solidify their reputations by emphasizing a commitment to incorporating the latest encryption technologies into their operations.