In the wake of the news that Target’s CEO has stepped down after its data breach over the holidays, Bizrate Insights surveyed online buyers to find out the impact of this breach on shopping behavior, and whether customer opinions were swayed by the resignation.
35% of Target’s customers have changed their shopping behavior post-data breach
74% of online buyers identify themselves as having shopped at Target. In light of the data breach, 22% of these customers now shop at Target less, and another 13% no longer shop at Target at all, illustrating the negative effect the breach has had on Target’s bottom line.
Lack of trust has led to a shift in payment method
Overall, 76% of customers still use a credit or debit card to pay for their order at Target, while 19% have now switched to only paying in cash. Cash-only payment rises to 44% among those who now shop at Target less, compared to just 11% for those who shop the same amount.
Target’s CEO’s resignation isn’t swaying public opinion – for now
45% of Target’s customers are not yet aware that the CEO has resigned, and another 30% say the news doesn’t matter to them. The majority of the 25% who have an opinion on the news do think the resignation was the right decision.
Overall, 90% say that their Target shopping behavior will not change in light of the resignation news. It remains to be seen whether this pattern will hold once more customers become aware of the news, and what this means for Target in the long term.
About the Study
The Bizrate Insights Target Study was conducted via the Bizrate Insights survey platform and offered to online buyers immediately after purchasing from the Bizrate Insights Network of over 5,000 e-commerce retailers in the US and Canada. Data from the Target Study was collected from 7,459 online buyers from March 5th – 11th, 2014.
For over 12 years, Bizrate Insights has helped retailers listen to their customers in a way that is fast and measurable, resulting in insights, action, conversation, and customer loyalty. The Bizrate Insights customer feedback and ratings platform allows retailers to collect seller ratings directly from verified customers.
Standard ratings are published across the leading comparison shopping site, Bizrate.com, and syndicated across the web’s largest search engines to help drive conversion and traffic. Collecting over 26 million surveys annually, Bizrate Insights is one of the largest sources of consumer-generated review content in the world, delivering actionable insights and valuable shopper data to key decision makers in e-commerce. Bizrate Insights is used by over 40% of Internet Retailer Top 500 retailers, as well as thousands of smaller boutiques.
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