'Tis the Holiday Shopping Season: Business Software Alliance Offers Online Shopping Tips; Internet Users Shop with Caution: Consumer Survey Shows Security is a Major Concern

Business Wire, Nov 12, 2003

Business Editors/High-Tech Writers

WASHINGTON--(BUSINESS WIRE)--Nov. 12, 2003

U.S. Internet users intend to do some holiday shopping online this year; however, their confidence in the security of the online shopping experience is a major barrier to the growth of online commerce, according to an independent survey released today by the Business Software Alliance (BSA).

"With personal security such a big concern when shopping online, consumers need to educate themselves on how to protect themselves from dishonest vendors and other online threats," said Bob Kruger, BSA vice president for enforcement. "BSA provides consumers with the information and tips they need to shop safely online during the holiday season."

The survey of 4,000 consumers in the United States, United Kingdom, Japan and Mexico,(1) focused on online holiday shopping attitudes and Internet shoppers contemplating software purchases.

The study found that online holiday shopping intent has remained fairly steady among confident Internet users since last year. Among this group, more than 63 percent in the United States will do at least some of their holiday shopping online, compared to 36 percent in the United Kingdom. However, the vast majority of consumers in Mexico and Japan plan to shop through more traditional routes than the Internet.

Despite the fact that 63 percent of U.S. Internet users will do some of their shopping online, consumers have many security concerns about making purchases over the Internet. Approximately 75 percent of U.S. respondents are concerned a great deal or a fair amount about the following: information being sold to a third party (83 percent), information stolen from Web databases (79 percent), transmitting a credit card number (76 percent), transmitting address or personal information (77 percent) and receiving unwanted emails (72 percent).

"The Better Business Bureau advises online shoppers to make their holiday purchases from reliable sites that have satisfactory marketplace records and that willingly provide customer service contacts, a written refund policy, shipping/transaction costs and security and privacy protection information," said Ken Hunter, president and CEO of the Council of Better Business Bureaus and BBBOnLine (www.bbbonline.org).

The study also found that when it comes to purchasing software online, 75 percent in the U.S. say it is more important to obtain legitimate software than it is to save money and risk buying fraudulent products. Shoppers in Japan and Mexico responded similarly, while U.K. respondents were much less certain - half didn't know which was more important - price over legitimacy or legitimacy over price. Also, respondents did not see any of the online shopping outlets as completely safe for buying software; however, they were least concerned about purchasing software from online retailers (40 percent), rather than from discount online retailers or auction sites.

The study, conducted by the independent research firm, Ipsos Public Affairs, also showed that U.S. respondents will use the Internet to purchase many different types of gifts this holiday season. Forty-three percent and 49 percent of U.S. shoppers will purchase software and computer hardware, respectively, online this year.

As two of the preeminent organizations dedicated to promoting a safe and legal digital world, BSA and the Better Business Bureau (BBB) offer tips to online shoppers contemplating software purchases and guidance on how to improve their cyber security:

    1.  Trust Your Instincts. Check the online seller's price against
        the estimated retail value of the software. Whether it is
        being sold as new or used, if a price for software seems too
        good to be true, it probably is.

    2.  Make Sure It's Authentic and Read the Label. Be suspicious of
        software products that do not include proof of authenticity,
        such as original disks, manuals, licensing, warranties, etc.
        Beware of products that do not look genuine, such as those
        with hand-written labels.

    3.  Install Anti-Virus Software. Does your computer(s) have
        anti-virus software installed? Most anti-virus software
        includes an automatic update feature. Make sure it is
        activated.

    4.  Beware of Back-Ups and Steer Clear of Compilations. Take
        special care to avoid sellers offering "back-up" copies. This
        is a clear indication that the software is illegal. Be wary of
        compilations of software titles from different publishers on a
        single disk or CD.

    5.  Be Cyber Secure. Report cyber attacks to local law enforcement
        agencies and the IT provider.

    6.  Do Your Homework. Check the feedback section on the auction
        site to find comments about the seller based on previous
        transactions. Look for a trust mark from a reputable
        organization, like BBBOnLine, that signifies the merchant has
        agreed to a code of business practices. Also, knowing the
        retailer's address, phone number or URL permits you to check
        for a Reliability Report with the BBB (go to www.bbb.org, look
        for the "Check It Out" box and click on "Business").

    7.  Check for Security Updates. Security updates should be checked
        every 30 days for programs installed on computers and
        operating systems. Allow for automatic updating and/or
        subscribe to a notification service provided by the vendor.

    8.  Install a Firewall. A firewall will protect your computer(s)
        from unauthorized access to and use by hackers.

    9.  Be Careful When Crossing the Border. Be especially cautious
        when dealing with software sellers in other countries. The
        physical distance, differences in legal systems, and other
        factors could complicate matters if the transaction goes awry.

   10.  Report Piracy. Buyers suspecting software piracy, counterfeit
        software and/or fraud on auction sites should contact law
        enforcement agencies and BSA at 1-888-NOPIRACY or
        www.bsa.org/usa. For assistance in resolving a dispute with an
        online merchant, consumers can file a complaint at the BBB Web
        site (www.bbb.org).