How Malware Impacts Businesses Operations and Hurts Brand Reputation

Malware is intrusive software used by hackers to gain access to an organization’s network system. It comes in many forms, with all of them having the ability to harm the computer network.

To protect the business effectively, entrepreneurs need to have advanced knowledge of the various types of threats that they may face. The major types of malware include the dreaded “virus,” worms, Trojan horse and stealth programs, and rootkits. Below are the impacts of malware on business.

Interruption and disabling of services

Most malware programs aim to destroy the organization’s network so that there won’t be effective communication amongst the different departments. The malware disables the significant services used for communication and other services in the organization. This leads to huge losses and may damage the business completely.

When most of the services providing security to the site are disabled, the attackers can change the site’s appearance by adding explicit images or offensive text on the homepage. Without control over the site, the attackers will completely do anything they want on the site.

And this can erode the customer’s trust in the brand. So the recovery process must get done as fast as possible. Most of the interruption and disabling of service attacks require security experts’ manual intervention.

Though this is the most effective way to fix it, it results in a huge loss of traffic that leads to long-term problems. That’s why it’s vital first to learn how to prevent malware from infecting other parts of the system. Earlier detection will ensure that essential services are enabled again, and there won’t be too much damage to the computer system.

Loss of personal information

Loss of personal information is one of the major negative impacts of malware on businesses. The stolen data is used for phishing attacks and extortion. Research shows that an estimation of 3.4 billion phishing emails is sent out each day across the world. More than a trillion phishing emails are sent each year.

That’s quite scary! This makes phishing one of the most severe and widespread types of cybercrimes worldwide. The victims of the stolen data are on high alert by the hackers. Some are lured into giving credential information like credit card details by criminals masking themselves as legit.

An identity thief can also use the names of the credit cards to open new cards, open new gas accounts, or electricity bill accounts. They also sell this information on the dark web in bulk.

Loss of personnel can raise serious legal issues, and the company might be sued for failing to protect the customers’ data. When collecting the data, entrepreneurs must inform the customers that their information will be kept safe, and any legal data breach puts the company in hot water.

In this case, the person that caused the data breach and used the information illegally might be difficult to pursue, and this may result in heavy fines for the damage incurred to the customer.

Access to sensitive information

When the malware programs are downloaded and installed onto the computer system, they spread like worms to all other computers connected to the network. These programs monitor the browsing data and copy personal information like the customers’ IDs, passwords, and bank account details. They also interfere with sensitive information like intellectual property rights.

The attackers may then threaten to sell or publish the intellectual property rights if their demands are not met. It damages the operations entirely on the market as the competitors already know the business secrets of the company.

This adversely affects the company’s ability to claim trade secret protection. Due to the unhealthy competition from the business enterprises, the company is not likely to survive, and it may be forced to close all its activities.

Browsing data is then analyzed, and browser hijackers are added to the system, sometimes redirecting the searches to malicious sites. After accessing all the sensible information in the computer system, the attackers can then use the malware applications to shut down most hardware components.

Financial consequences

The financial devastation of malware attacks is always huge. They range from the halt of operations, loss of the target customers, data recovery efforts, hardware replacements, and the succeeding system fortification measures. Halting the business’s operations will result in lots of losses, and most of the ready-made goods may go to waste, especially when dealing with perishable goods.

There is also the need to develop alternative communication means to ensure that the customers are notified of what is happening with the business and promise them that the matter will be solved soon. Research shows that a company accounts for about 38 percent of the total data breach cost. The cost is rising with the advancement of cybercrime attacks.

That’s why investing in next-gen technology is vital for any business. The importance of cybersecurity in this era cannot be overstated because it only takes one malware program to bring the whole business on its knees.

Businesses are encouraged to invest more in two-factor authentication methods to deter illegal access into their servers. Updates on the servers should be done regularly, and necessary improvements made to ensure that the business information is safe.

Irreversible reputation damage

Once customers have lost personal details in the company, it’s very hard to convince them that the company did its best to protect their data. Most customers will feel that the company isn’t doing its best to protect them. Clients are always willing to pay and work with a company that takes them seriously despite expensive services.

That means many of them will prefer working with the competitors not unless certain conditions are met. In this case, the business loses clients, but it cannot expect to rebuild its brand reputation to where it was either that easily. This diminishes all the good work the business has been doing, and everything crumbles within a day.

In that case, it has to start restoring the business image by acknowledging the problem, taking action against the attackers, and responding to criticism. This takes a lot of time, and huge capital is invested in the underlying processes.