Growing Fear Over Phishing and Identity Theft Erodes Consumer Trust in Email, Study Finds
Eighty Percent of Respondents Report that Phishing Attacks Have Reduced Their Trust and Confidence in Email
New York, NY (Email Authentication Summit) -- July 12, 2005 -- Growing incidents of phishing attacks are eroding consumer trust and confidence in email and have greatly reduced their willingness to conduct transactions online, according to a new study conducted by the Ponemon Institute in cooperation with Goodmail SystemsTM , the email certification company. A very high percentage of respondents, 71 percent, are "concerned" or "very concerned" about receiving e-mails that appear to be phishing for personal information. In fact, individual respondents reported they have received on average over 50 phishing emails in their inboxes over the last year, with 17 percent actually tricked into responding.
A recent study conducted by Outsource Research Consulting shows that the fear of online identity theft has had a significant impact on consumer trust of commercial email, with 95% of US email users fearing they will fall victim to email fraud. A study by Epsilon Interactive and Roper ASW determined that the best solution to instill confidence is a visible trust symbol in the email user interface to certify that a message is safe and from a trusted sender. Eighty-nine percent of respondents said they would like their ISP/email provider to include a trust icon indicating that an email message comes from a legitimate organization and can be safely opened.
The National Email Safety and Reliability Survey was conducted in June 2005. It underscores that phishing has compromised the reliability of email leading consumers to question the legitimacy of emails even from senders with whom they regularly conduct business. Respondents are very concerned about the difficulty phishing imposes on their sense of safety and ability to manage their email inboxes. They consider it to be a serious problem and indicate strong demand for features that protect them from the threat of identity theft, promote trust and ensure sender accountability. In fact, approximately 59 percent of respondents no longer actively use the Internet for transacting business, while 41 percent have reduced their use of email.
"The purpose of our study was to better understand consumer familiarity and experience with phishing and how it has affected their e-mail behavior. We found that 83 percent have heard about or experienced a phishing attack, 53 percent have reported that they received a fake email, and 2 percent have actually been the victims of identity theft as a result of a phishing incident," said Dr. Larry Ponemon, chairman of Ponemon Institute. "Our study also asked specific questions about how major online senders such as retail banks or leading Web retailers can differentiate their communications from a rash of fraudulent e-mail so that users can feel safe transacting online."
In order to prove the legitimacy and safety of email messages from banks, financial institutions and other online services, respondents indicated they would prefer to see a clearly visible seal or icon in the email interface or subject line that certifies the message is assuredly from a trusted sender. In addition, respondents want senders to commit that they are obligated to protect them from fraudulent email.
"The survey confirms that consumers are more aware and informed about fraud and identity theft and are looking to someone in the email chain to protect them from these threats'" said Richard Gingras, chairman and CEO, Goodmail Systems. "Consumers clearly want third-party certification that a message is safe, and that their interactions with senders, including unsubscribing from unwanted content, will be treated safely and securely."
Asked to identify what solutions they would like to have put in place in order to protect them from phishing and other malicious emails, approximately 76 percent of respondents preferred their Internet Service Provider or email client offer an unsubscribe mechanism (without having to send a separate email or visit the sender's Web site). Sixty-one percent of respondents would like to have the ability to provide feedback and complaints about an email via a pop-up box or window in their email client or Web browser.
Sponsored by Goodmail Systems, Inc., the web-based survey was distributed to 14,997 individuals who self-reported that they have a dedicated laptop or desktop computer and spend at least one hour each day on the Internet. The 1,913 responses received were from all major regions of the United States.
The National Email Safety and Reliability Survey was independently conducted and analyzed by Ponemon Institute, LLC. If you are interested in learning more about this study, please contact the Ponemon Institute at research@ponemon.org or call 231.264.5178.
About Goodmail Systems
Goodmail Systems makes CertifiedEmail™, the industry standard class of trusted email. CertifiedEmail provides a safe and reliable means for consumers to easily identify authentic messages from legitimate commercial and nonprofit senders. Each CertifiedEmail is sent with a cryptographically secure token that assures authenticity, and is marked in the inbox with a unique blue ribbon envelope icon, enabling consumers to visually distinguish messages which are real and sent from senders with whom they have a pre-existing relationship. Available to senders meeting strict standards for best email practices and low complaint rates, it is the only class of email available that assures delivery of all opt-in email messages to the inbox, with links and images automatically rendered intact, yielding measureable improvements in email program effectiveness. CertifiedEmail has been adopted by seven of the nation’s top ten mailbox providers and 150 government agencies. It is supported in North America and the United Kingdom by a wide network of email platforms and service providers. For more information, please visit www.goodmailsystems.com.
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