Identity Protection is not complicated: it’s a form of insurance that covers you if you’re unlucky enough to be a victim of identity theft. (Unfortunately, this happens to over 16 million Americans every year.)
So, if you suffer out-of-pocket losses (i.e. you lose money that isn’t covered by your bank, or credit card company, or other insurance you have), Identity Protection will step in. That’s it. It’s simple.
But you’re a business owner, not a consumer. Why should you care about Identity Protection? Because offering it can be a huge (not to mention free) boon for your company. Why? Read on. We’ll explain everything.
1. People are worried about ID theft
According to Gallup, 66% of Americans are worried about becoming a victim of identity theft, and only 15% aren’t worried about it at all. That means you have a huge portion of the population with lingering doubts when they shop online.
2. People who are worried are less likely to buy
A 2013 survey by Harris Interactive found that 45% of people have abandoned shopping carts due to concerns over the security of their personal information — concerns about things like identity theft.
3. Offering Identity Protection will make people feel safer.
This one’s a bit of a no brainer. By addressing the problem of identity theft, a concern that around 85% of Americans have, you’ll be reassuring your customers, and that means people will feel safer. And…
4. …people who feel safer buy more.
According to the same study by Harris Interactive, four in 10 shoppers said they’d spend more money if they saw a security guarantee. And a full third say they’d spend a full 25% more money.
5. Your customers will feel safe and happy, and refer you to their friends.
Identity Protection is exactly the kind of thing that will differentiate your business from competitors. By looking out for your customers’ safety (and their wallets), you’re making it more likely for them to come back and do business with you.
This will create a virtuous circle of new customers having positive experiences, who in turn refer more new customers who will also have positive experiences, and so on and so on.
6. In the event of identity theft, people will take a close look at the places they’ve recently shopped.
This one is all about being prepared. In the worst possible case, if one of your customers becomes a victim of identity theft, they’re going to go back and do an audit of all the places they’ve done business.
If you haven’t taken steps to show you take identity theft seriously, they’ll think twice about shopping from you again — even if the identity theft took place somewhere else.
By now, you hopefully understand all that Identity Protection can do for you. While your customers will definitely feel the benefit (though hopefully never have to use it), there’s huge upside for businesses to directly address the problem of identity theft.