[ISN] Security Not Vital To Online Financial Services Users

From: InfoSec News (isnat_private)
Date: Mon Jul 09 2001 - 01:03:55 PDT

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    http://www.bizreport.com/article.php?id=1666
    
    By Steve Gold
    2001-07-06
    
    Security worries do not deter consumers in the U.S. and U.K. from
    using online financial services, according to a new report from
    Datamonitor.
    
    They are, instead, being put off by Internet cost and knowledge
    issues.
    
    The study forms part of Datamonitor's annual impact survey of Internet
    users on both sides of the Atlantic.
    
    Datamonitor spokeswoman Krishna Rao told Newsbytes that this is the
    third year in which the company has carried out its Impact research,
    which looks U.S. and U.K. consumers' use of the Internet.
    
    "The research covers areas such as energy, automotive,
    telecommunications and technology industries, and allows us to create
    a database, from which reports can be drawn," she said.
    
    The electronic financial services (eFS) report found that, while
    security appeared on many users' worry lists, the reliability of
    information was also of primary concern.
    
    The study concluded that Internet surfers only tend to worry about
    security issues after they have used an online service, rather than
    before.
    
    The report, authored by Datamonitor analyst Derrick Brown, says that
    security is not the only issue that online financial service providers
    must address when it comes to getting users to buy.
    
    In three of the six European countries surveyed, Datamonitor said it
    found that those who do not use online financial services are more
    likely to be concerned about the expense of the Internet.
    
    "This means that perceptions of Internet cost may be keeping people
    from banking online," says the report, adding that the effect is less
    pronounced in the U.S. and the U.K., where Internet access costs are
    lower than in other countries.
    
    The research also found that consumers in the two nations are more
    concerned about online security than those in continental Europe,
    probably due to media reports about security breaches, Datamonitor
    said.
    
    The research took in responses from more than 7,500 research subjects
    in the U.S., the U.K., France, Germany, Italy, Spain and Sweden.
    
    Reported by Newsbytes
    
    
    
    
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