Mannequins displayed in a brightly lit clothing store.

Cyberattacks test trust in fashion brands.

GlobalData warns that the way companies communicate and manage cybersecurity incidents can impact their reputation and consumer trust.

Cyberattacks on brands such as ASOS , H&M , and the TFG group, which owns brands like Hobbs, Phase Eight, and Whistles, are exposing the operational and reputational risks associated with data security in the fashion retail industry.

According to GlobalData, companies' response to these incidents has become a determining factor in preserving consumer trust, in a context where attacks are increasingly using artificial intelligence tools.

Poor communication exacerbates uncertainty.

Following an incident on October 6th, ASOS proceeded with a widespread password reset without prior notice. This measure was preceded by unexpected notifications in the brand's app, raising concerns among customers about the scale of the incident.

TFG, on the other hand, was criticized for its initial lack of clarity regarding the consumer segments potentially affected across the group's different brands.

In the case of H&M, allegations of a security breach led the company to mobilize resources to investigate the matter, in a context of an immediate drop in the share price.

Chloe Tedford-Jones, Apparel Analyst at GlobalData, believes that “ these vague responses from brands to cyberattacks contrast with historical precedents. When Marks & Spencer detected an anomaly last spring that exposed customer data, the company took decisive steps to limit the operational and reputational consequences .”

Marks & Spencer quickly suspended online transactions to protect its systems and communicated the scope of the incident, clarifying which data and customer segments had been affected. The cyberattack, which occurred at the end of April, resulted in an estimated loss of £300 million (approximately €350 million) in operating profits.

According to GlobalData, this approach helped to contain consumer concerns and limit the long-term impact on trust.

Transparency as part of brand management

The analyst argues that fashion companies and retailers should view communication about cyberattacks as part of brand management, and not just as a way to limit legal liability. " Brands should quickly explain what is known, who may be affected, and what measures are being taken to protect accounts and services ," emphasizes Chloe Tedford-Jones.

The expert adds that " proactive and consistent communication is essential to avoid operational disruptions and irreparable damage to reputation ." Alongside communication, she considers it indispensable to invest in robust cybersecurity systems, at a time when advances in artificial intelligence could multiply threats.

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