Target

The news headlines of 2013 have perpetuated the idea that the retail industry, just like any other industry, isn't immune to cyber attacks. Just within the past several weeks we've seen the largest retail data breach to date when Target saw 110 million transactions compromised, and the expectation is that this won't be the last time — for Target or any other retailer. As a result, we'll see some significant changes this year with regard to how retailers protect their sensitive data and consumer buying behavior.

What does it take to make retailers and financial firms work together? Apparently, a crime that affected as many as one out of every three Americans. The data breaches that pilfered the personal information of up to 110 million Target customers last year, along with subsequent attacks on retailers including Neiman Marcus and the craft store Michaels, are galvanizing efforts to strengthen the increasingly vulnerable way that Americans pay for food, gas and practically everything else. Groups that

This past January, as I've done for the past five years or so, I trekked into New York City's Jacob Javits Convention Center for the National Retail Federation's (NRF) Big Show. I was met, as I was in past years as well, by retailers from around the world. I spent time at this year's conference attending presentations and press conferences; meeting and interviewing retail industry execs in the press room; and walking the vast exhibit hall floors trying to find the "next big things" in retail technology. Here are a few of my takeaways

The bad news keeps coming for Target. Jefferies analyst Daniel Binder said on Thursday that the retailer could face between $400 million and $1.1 billion in fines from the data breach that impacted up to 110 million shoppers, which "could be significant and higher than we first thought." That estimate doesn't incorporate lost sales or customer goodwill from the breach. It also doesn't account for potential negative side effects from signing up fewer loyalty card members or lower usage from existing cardholders.

Target said cyberthieves stole credentials from one of the retailer's vendors in order to access its system, according to an ongoing forensic investigation into a data breach that may have exposed information from as many as 110 million customers. The company said that since disclosing the hack Dec. 15, it cleared its system of the malware that had been planted. "In addition, since that time we have taken extra precautions such as limiting or updating access to some of our platforms while the investigation continues," Target spokeswoman Molly Snyder said in a statement Wednesday.

U.S. banks have spent more than $153 million so far replacing 15.3 million debit and credit cards after the huge data heist from Target Corp., and the numbers are only growing. The Consumer Bankers Association announced the numbers Tuesday, saying that as more retailers announce breaches, the price tag for banks could grow to “hundreds of millions of dollars, and possibly billions.” It’s time for Target to step up to the plate and pay some of the costs for one of the largest data thefts recorded in the United States, the industry group said.

There seems to be an announcement almost weekly that a retailer has been the victim of a cyberattack in which consumer information has been stolen. Has this become the next wave of 21st century white-collar crime as the world of electronic credit and payments opens up companies to more and more thefts of financial information? As hackers’ level of sophistication increases, companies have a harder time even detecting whether computer systems have been attacked and the extent of any security breach.

With the beginning of a new year comes all sorts of prompts from brands, infomercials and various social media toward new behaviors — e.g., weight loss, exercise, decluttering, eating healthy, simplifying your financial record keeping, etc. It's also a good time to ask yourself just how exactly your company helps its customers achieve their goals. Is your brand inspirational and motivational enough to turn your customers into doers? Let's look how one brand masters the art of motivation:

Michaels, the biggest U.S. arts and crafts retailer, said it's investigating a possible breach on its network and advised customers to check financial statements for fraudulent activity. The warning, which comes in the wake of the unprecedented breach at Target Corp. over the holiday shopping season, suggests that hackers may be attacking retailers in a spree the extent of which is yet to be fully understood. Target last month disclosed an unprecedented breach that resulted in the theft of some 40 million payment card records and another 70 million customers’ records. 

Wal-Mart said it's eliminating 2,300 workers at its Sam's Club division as it reduces the ranks of middle managers in a bid to be more nimble. The layoffs, which cut 2 percent of the membership club's U.S. employee count of about 116,000, mark the largest since 2010 when the Sam's Club unit laid off 10,000 workers as it moved to outsource food demonstrations at its stores. The cuts come as Sam's Club strives to compete better with Costco Wholesale Corp. and online players like Amazon.com's Prime membership service.