The reputation of a dealership can be shattered in an instant. Cybersecurity incidents aren’t just technical problems—they’re ticking time bombs that can destroy a dealership’s hard-earned trust and goodwill with customers. Imagine your dealership’s name plastered across headlines, not for record sales, but for a data breach. Now, try to sell a car to a customer who’s wondering if their personal information is safe with you. It’s a tough pitch, and for many, it’s an impossible one.
The Numbers Don’t Lie: Consumers Are Wary
According to recent research, a staggering 84% of consumers say they wouldn’t buy a car from a dealership that has experienced a cybersecurity breach. That’s not just a statistic—it’s a stark reality. In an industry where trust is key, the slightest hint of vulnerability can steer potential buyers straight to your competitors. The message is clear: consumers are highly sensitive to their personal data being compromised, and they won’t take the risk if they know your dealership has had issues in the past.
A Real-World Example: Findlay Auto’s Cybersecurity Nightmare
Take the recent case of Findlay Auto. The dealership fell victim to a cyberattack and was required to disclose the incident publicly. The fallout? A class action lawsuit that could cost them far more than just financial penalties. Their reputation is now under intense scrutiny, and every customer they lose is a blow to their business.
Lessons Learned from the CDK Attack
The CDK attack is another sobering reminder of the consequences of inadequate cybersecurity. Many dealerships that relied on CDK’s services found themselves caught in the crossfire. As a result, trust in CDK plummeted, and many CDK dealerships are now seeking alternatives. This incident is a lesson for dealerships everywhere: if you want to understand how your customers feel after a cybersecurity breach, look no further than the dealerships that are moving away from CDK.
Protecting Your Reputation
So, what can dealerships do to safeguard their reputation? The first step is recognizing that cybersecurity is not just an IT issue—it’s a business-critical concern. Investing in robust cybersecurity measures and partnering with a Managed Security Service Provider (MSSP) can be the difference between maintaining customer trust and losing it forever. A strong cybersecurity stance not only protects your data but also sends a clear message to your customers: “We value your trust and are committed to keeping your information safe.”
Complacency Is Dangerous
News of cybersecurity incidents spread like wildfire. Dealerships simply can’t afford to be complacent. The cost of a cybersecurity incident isn’t just measured in dollars—it’s measured in the loss of trust, reputation, and ultimately, customers. Don’t let your dealership become the next cautionary tale.
