Equifax image is battered by data breach
The Equifax brand is under assault.
Equifax’s reputation with consumers has fallen at a quicker pace than other companies hit by similar data breaches in recent years, according to data from YouGov BrandIndex released Monday.
The credit bureau has suffered a major public relations hit since Sept. 7, when it said its computer systems were breached by hackers and that personal data of 143 million Americans was at risk of being stolen as a result.
The negative headlines have taken a toll on its “Buzz score,” tallied by YouGov, which tracks the perception of more than 1,500 brands daily.
“It would seem Equifax was as unprepared for handling this crisis as they were for the breach itself.” Spokesperson for YouGov BrandIndex, which tracks the perception of more than 1,500 brands daily
Equifax’s Buzz score — which measures whether respondents have heard something “positive or negative” about the brand — has dropped from zero to -33 in the first 10 days since the hack was publicized. (A score can range from -100 to 100 with a zero score indicating a neutral viewpoint.)
The credit bureau’s 33-point 10-day drop is larger than other high-profile breaches.
The second worst was a drop of 10 points suffered by eBay in the 10 days after its May 2014 hack. Other high-profile breaches, such as one at Anthem Blue Cross in February
2015 and Home Depot in September 2014, did not cause as big a hit to those brands.
Equifax’s sinking perception score puts it in the same league as other notable recent crises and scandals. Only Volkswagen’s 49point Buzz score decline 10 days after news of its emissions-cheating scandal broke in September
2015 was bigger. Equifax’s initial hit to its reputation is bigger than the 23-point decline in Chipotle Mexican Grill’s Buzz score decline in October 2015 after its E. coli crisis began. The hit to Equifax’s brand is because of the size of the breach and how many people it puts at risk.
“When Volkwagen’s crisis blew up, as bad as it seemed, not everybody owned a Volkswagen and necessarily felt impacted,” says a YouGov BrandIndex spokesper- son. “Equifax is on a different scale — much wider and personal. With its questionable tactics with consumers out of the gate, combined with its hostile relationship with inquiring reporters, it would seem Equifax was as unprepared for handling this crisis as they were for the breach itself.
“Until Equifax’s actions take a more positive and productive step with consumers, this will most likely impact their perception for a long time,” the YouGov spokesperson said.
Fellow credit bureau Experian has also seen its brand tarnished by the Equifax data theft. Experian has seen its Buzz score drop by eight points, most likely “because of its similar name,” YouGov said.