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As retail becomes ever more digital and data-driven, CISOs must defend a sprawling, fast-moving ecosystem where every channel, partner, and device can become an attack vector.
Retail has never moved faster.
Whether it’s frictionless checkout, personalised recommendations, click-and-collect, or fully automated fulfilment centres, the industry is transforming, and fast.
But with every new digital evolution comes new cyber risk – and attackers know it. For CISOs in retail, safeguarding the business now means securing an environment where customer trust, brand reputation, and operational agility are inseparable.
Modern retailers run on data. Every purchase, search query, and loyalty reward feeds into systems designed to optimise the customer experience. But that same data is exactly what cyber criminals target. Retailers possess a goldmine of payment card information, home addresses, and identity data, not to mention shopper behaviour.
It’s no surprise that the retail sector remains one of the most frequently hit by ransomware, payment skimming, credential stuffing attacks, and supply chain compromises.
Omnichannel complexity is the CISO’s first major challenge. Physical stores, e-commerce platforms, mobile apps, inventory systems, and point-of-sale networks need to all work together seamlessly – but each environment has its own vulnerabilities. Legacy systems may still run outdated software, while cloud-based e-commerce stacks can change weekly as marketing teams deploy new features.
Security must protect the whole chain without slowing innovation – or the business stalls.
EFT possible point of failure
POS security remains a serious frontline concern. While chip-and-PIN and contactless payments have improved resilience, attackers continue to find ways in, especially via compromised terminals, malicious card skimmers, or backdoored third-party software. Ensuring strict network segmentation, device hardening, and continuous monitoring is essential. A single compromised terminal can expose thousands of customers.
E-commerce platforms introduce their own risks. Web skimming attacks, such as Magecart, can silently capture payment details at checkout. Attackers frequently exploit small misconfigurations in third-party plugins or content delivery networks. Retail CISOs must treat their online storefront as an active environment – one that requires constant scanning, patching, and behavioural monitoring.
Identity and access management is another critical pillar. Retail workforces are fluid, with seasonal hires, contractors, fulfilment staff, and third-party maintenance teams cycling in and out. Without strong onboarding and deprovisioning controls, unnecessary access can linger for months, creating paths for breaches. Multifactor authentication, role-based access, and just-in-time privileges are essential to reducing exposure.
Customer-facing environments add another layer of risk. Fraudsters are increasingly blending attacks with social engineering – taking over loyalty accounts, spoofing order confirmations, or launching fake refund campaigns. CISOs need to work closely with fraud teams, blending their intelligence with transactional analytics to spot the earliest signs of account compromise.
The chain
The retail supply chain may be the biggest blind spot of all. From logistics providers to payment processors, marketing platforms, and IT vendors, retailers depend on a vast network of partners. Attackers know this and often use small suppliers as entry points. CISOs must enforce rigorous supplier assessments, minimum security standards, and continuous monitoring – not just a yearly questionnaire.
And like many industries, operational resilience is becoming a board-level priority. A cyber attack that halts warehouse operations or cripples POS systems can cost millions in hours, not days. Incident response plans must reflect retail’s realities: surges around holiday periods, limited downtime windows, and the need for rapid, coordinated communication across stores, call centres, and digital platforms.
Just ask Co-op in the United Kingdom.
Customer trust is the ultimate currency. Shoppers may forgive an out-of-stock item, but they won’t easily forgive a breach of their personal or payment data. CISOs who communicate clearly with marketing, customer service, legal, and executives can ensure that security becomes part of the brand promise – not a behind-the-scenes function.
David Hollingworth has been writing about technology for over 20 years, and has worked for a range of print and online titles in his career. He is enjoying getting to grips with cyber security, especially when it lets him talk about Lego.
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