SOURCE: VeriSign, Inc.
December 11, 2008 09:00 ET
VeriSign Survey Finds Nearly Ten Times as Many Consumers Feel Trust Is More Important Than Cost When Transacting Online
Even in Trying Times, Consumers Seek Safety Over Savings; Eighty Five Percent of Consumers Said Trusting a Site Is Most Important When Transacting Online
MOUNTAIN VIEW, CA--(Marketwire - December 11, 2008) - The findings of a recent consumer survey
conducted by Synovate and commissioned by VeriSign (NASDAQ: VRSN), the
trusted provider of Internet infrastructure services for the networked
world, suggest that consumers may be willing to forgo gimmicks and spend a
little more online if they know their identities are protected.
The survey results reveal that 85 percent of consumers state that trusting
the site is most important when interacting on a Web site and sharing
confidential information. In contrast, nine percent said competitive
pricing was most important and five percent said ease of use was most
important. Additionally, 93 percent of respondents said they would stop
transacting on a site that's not secure.
Findings also concluded that 76 percent of consumers claimed that identity
theft is a "major" concern for them. When asked how they felt about
brands that did not protect their online identity, 56 percent felt
"distrustful," 17 percent felt "disappointed," 13 percent felt "betrayed,"
six percent felt "indifferent," and four percent felt "let down."
Finally, one in five engage in fewer online activities due to security
"Identity theft can be an avoidable evil, and as our research indicates,
security-savvy consumers will put their money where their trust is," said
Fran Rosch, senior vice president of Products and Strategy for VeriSign.
"These consumers understand that the repercussions of identity theft
outweigh the few dollars they may be able to save by shopping on a
questionable Web site, which is why 85 percent opt for sites they trust."
Before the Internet, businesses won trust through personal references and
offline indicators such as a hand shake, exceptional service or having a
physical storefront to walk into. In today's online world, trust is still
at the apex of all customer relationships, but it's earned by providing
security mechanisms like two-factor authentication, encryption, and
validation that the Web site is authentic.
The survey uncovered other key findings on how consumers protect their
identities today when conducting transactions online:
-- 86 percent use a simple user name and password to enter accounts
-- 62 percent look for the lock icon in the address bar
-- 55 percent look for a logo or seal from the firm providing Internet
-- 52 percent look for https:// in the address bar
-- 26 percent look for a green address bar
When asked how much savings they'd expect before considering shopping on an
unprotected site, one in three consumers said they would expect at least a
30 percent discount. This finding suggests that businesses that don't
provide security measures to gain consumer trust cannot anticipate getting
the same value for their goods.
"The best security for consumers is education and using the latest tools
and technologies that are out there to help counter fraud," said Craig
Spiezle, chairman and founder of the Authentication and Online Trust
Alliance (AOTA). "As we move
more and more of our lives online -- for example, banking, shopping, paying
bills, communicating, registering, renewing, etc. -- fraud threats follow
closely behind. The key is to keep one step ahead by knowing how to
protect yourself online, embracing best practices and using the latest
technologies. Today more than ever users need to update their browsers
with integrated security and privacy features to help stay ahead of the
About the Survey
The survey, which polled 919 U.S. adults 18+ who spend at least three
non-work hours per week online, explores the degree to which consumers are
concerned about online security, seeks to understand the role that security
plays in consumer perceptions of online brands, and gauges consumers'
interest and familiarity with authentication services on the market today.
VeriSign, Inc. (NASDAQ: VRSN) is the trusted provider of Internet
infrastructure services for the networked world. Billions of times each
day, VeriSign helps companies and consumers all over the world engage in
communications and commerce with confidence. Additional news and
information about the company is available at www.verisign.com.
Statements in this announcement other than historical data and information
constitute forward-looking statements within the meaning of Section 27A of
the Securities Act of 1933 and Section 21E of the Securities Exchange Act
of 1934. These statements involve risks and uncertainties that could cause
VeriSign's actual results to differ materially from those stated or implied
by such forward-looking statements. The potential risks and uncertainties
include, among others, the uncertainty of future revenue and profitability;
potential fluctuations in quarterly operating results due to such factors
as the risk that VeriSign's announcements may not result in additional
products, services, customers, profits or revenues; and increased
competition and pricing pressures. More information about potential factors
that could affect the company's business and financial results is included
in VeriSign's filings with the Securities and Exchange Commission,
including in the company's Annual Report on Form 10-K for the year ended
December 31, 2007 and quarterly reports on Form 10-Q. VeriSign undertakes
no obligation to update any of the forward-looking statements after the
date of this press release.
©2008 VeriSign, Inc. All rights reserved. VeriSign, the VeriSign logo,
the Checkmark Circle logo, and other trademarks, service marks, and designs
are registered or unregistered trademarks of VeriSign, Inc., and its
subsidiaries in the United States and in foreign countries. All other
trademarks are property of their respective owners.