{"id":100959,"date":"2019-08-16T09:00:09","date_gmt":"2019-08-16T16:00:09","guid":{"rendered":"https:\/\/www.paloaltonetworks.com\/blog\/?p=100959"},"modified":"2019-08-15T14:44:00","modified_gmt":"2019-08-15T21:44:00","slug":"cloud-retailers-store-digital-transformation-means-upping-cybersecurity-game","status":"publish","type":"post","link":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/2019\/08\/cloud-retailers-store-digital-transformation-means-upping-cybersecurity-game\/","title":{"rendered":"Retailers: Store Digital Transformation Means Upping your Cybersecurity Game"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">E-commerce is growing steadily worldwide, yet <\/span><a href=\"https:\/\/www.digitalcommerce360.com\/article\/e-commerce-sales-retail-sales-ten-year-review\/\" rel=\"nofollow,noopener\" ><span style=\"font-weight: 400;\">seven out of ten retail purchases are still made in stores<\/span><\/a><span style=\"font-weight: 400;\">. This does not exclude brick-and-mortar retailers from being interested in digital technologies and transformation to enhance both customer experiences and store modernization. Retailers continue to invest in stores to offer the <\/span><a href=\"https:\/\/www.prweb.com\/releases\/79_of_consumers_want_a_personalized_in_store_experience_according_to_new_brp_report\/prweb16083330.htm\" rel=\"nofollow,noopener\" ><span style=\"font-weight: 400;\">experiences that customers expect<\/span><\/a><span style=\"font-weight: 400;\">, including personalized shopping, convenience and loyalty rewards.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Not long ago, the only digital technology in a store might be a point-of-sale (PoS) system. Now, digital transformation is helping retailers deliver excellent in-store customer experiences.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Take in-store Wi-Fi as an example and some of its use cases. Some retailers equip their associates with mobile devices, so they can meet customers where they are instead of standing behind a counter waiting for customers to come to them. Using Wi-Fi, associates answer product questions, check inventory and ring up purchases. Once the store is closed, an in-store network makes e-learning both possible and convenient. Better trained associates serve customers better.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In-store Wi-Fi also makes it faster and easier for shoppers to research products with their smartphones before they buy. Wi-Fi can even help deliver personalized messages to shoppers entering the store via their brand app. It\u2019s no wonder that in-store Wi-Fi <\/span><a href=\"https:\/\/cdn2.hubspot.net\/hubfs\/80068\/Impact_of_Store_Networks_on_Customer_Experience.pdf\" rel=\"nofollow,noopener\" ><span style=\"font-weight: 400;\">has a positive impact on dwell time, customer loyalty and sales<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">There are many other examples of how digital transformation is improving customer experiences in stores. Sensors track inventory so stores do not run out of stock. Omnichannel lets customers purchase items online and quickly pick up in a store. Digital signage offers new ways to promote and educate shoppers about products. The list goes on.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As stores go digital, they collect and store more data on their customers than ever, and regulations require retailers to protect it. However, as negative headlines continue to show us, retailers are still prime targets for cyberattacks, typically for credit card information theft from PoS systems. More devices and networks within stores expand the attack surface by increasing possible entry points for hackers to steal customer information from loyalty programs, customer databases and more. The increase in devices also open retailers up to attacks that bring down networks and damage brand reputations, such as <\/span><a href=\"https:\/\/unit42.paloaltonetworks.com\/new-mirai-variant-targets-enterprise-wireless-presentation-display-systems\/\"><span style=\"font-weight: 400;\">turning digital signage into bots that launch DDoS attacks<\/span><\/a><span style=\"font-weight: 400;\">.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Cybersecurity plays a key role in protecting store data and operations.\u00a0 Retailers can apply the same cybersecurity best practices in stores as top brands follow in their data centers:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Hide the \u201ccrown jewels.\u201d Isolate store networks and systems containing payment and customer information from all other networks, physically or logically, using micro segmentation. For example, networks containing digital displays should not be on the same network as PoS or order fulfillment systems.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Trust no one and nothing. A <\/span><a href=\"https:\/\/www.paloaltonetworks.com\/cyberpedia\/what-is-a-zero-trust-architecture\"><span style=\"font-weight: 400;\">Zero Trust<\/span><\/a><span style=\"font-weight: 400;\"> approach does not assume users on a protected network are \u201ctrusted\u201d. Rather, it allows retailers to verify their users, devices and applications on their networks, and even what they are permitted to do on which network. As an example, a retailer\u2019s Zero Trust policy allows only certain users and devices to access the network segment where customer information is handled. It does not allow third parties, such as the digital display companies, to access that network segment. Further, it permits only certain applications (such as the PoS application) to access that segment and prevents certain data types (such as credit card numbers or user credentials) from leaving.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Deploy access control, encryption and inspection just as you would in the corporate network. Least-privileged access control, ideally including multi-factor authentication, data encryption, and application-layer traffic inspection are strong best practices.<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">KISS: Keep it Simple, Stores<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Digital transformation often causes brands to reevaluate their IT architectures, as stores increasingly need to connect to the internet, apps in the cloud, as well as the data center.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In my discussions with several retailers about digital transformation, the biggest challenge they face is embracing it without significantly increasing their IT footprint or complexity within the stores. Generally, stores do not have the IT staff, money and time required to get a tech onsite. Securing retail store connectivity should be simple \u2013 along the lines of \u2018set it and forget it\u2019, focusing on policy updates from there.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Today, many brands send all store traffic back to their data centers, where security appliances inspect traffic for threats and apply security policies before routing to appropriate servers or the internet. Yet customer Wi-Fi, digital screens, and SaaS applications \u2013 such as inventory or order fulfillment \u2013 all require internet access. The option of retailers scaling their existing architecture by upgrading routers and WAN links is becoming less and less viable. This is because many internet-centric services need a more direct transport path due to latency, which adding bandwidth doesn\u2019t solve.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Todays\u2019 state of internet security cannot continue to be a barrier of embracing digital transformation. A better, more viable approach is needed \u2013 leveraging a combination of local internet connectivity and security delivered \u2018as a service\u2019 from the cloud \u2013 which offers several advantages:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><b>Cost avoidance<\/b><span style=\"font-weight: 400;\"> - Instead of installing bigger pipes and routers to handle more store traffic destined for data centers, retailers can leverage lower-cost internet connectivity to \u201cbreak out\u201d internet traffic and SaaS applications.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>Simpler deployment and maintenance<\/b><span style=\"font-weight: 400;\"> - Cloud-delivered security has two benefits. First, it is continuously updated, and second it reduces the number of IT appliances in stores, allowing you to do away with complicated security and hardware updates that may need onsite staff to implement or coordinate.\u00a0\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>Consistency<\/b><span style=\"font-weight: 400;\"> - A centralized, cloud-delivered approach can help retailers enforce consistent security and access policies across the entire enterprise: headquarters, distribution centers, and in stores.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>Better user experiences<\/b><span style=\"font-weight: 400;\"> - Connecting securely yet directly to SaaS and other cloud apps from stores is faster than routing all traffic through a data center (direct vs. hairpin).\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">There\u2019s no reason that brick-and-mortar stores can\u2019t embrace digital transformation to improve operations and customer experience, just as e-commerce retailers have done. And if done right, securing stores does not have to introduce more complexity.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Cybersecurity plays a key role in protecting brick-and-mortar store data and operations.\u00a0Read on for cybersecurity best practices for retailers.<\/p>\n","protected":false},"author":156,"featured_media":96978,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1005,6768],"tags":[120,4279],"coauthors":[6832],"class_list":["post-100959","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-retail","category-secure-the-cloud","tag-cybersecurity","tag-retail"],"jetpack_featured_media_url":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-content\/uploads\/2019\/02\/corp-blog-cloud-600x300.png","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/posts\/100959","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/users\/156"}],"replies":[{"embeddable":true,"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/comments?post=100959"}],"version-history":[{"count":3,"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/posts\/100959\/revisions"}],"predecessor-version":[{"id":100962,"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/posts\/100959\/revisions\/100962"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/media\/96978"}],"wp:attachment":[{"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/media?parent=100959"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/categories?post=100959"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/tags?post=100959"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/origin-researchcenter.paloaltonetworks.com\/blog\/wp-json\/wp\/v2\/coauthors?post=100959"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}