Imagine a world where cybersecurity companies offer fixed costs for their services. Planning your IT budget will be easier, service agreements will be simpler, and cybersecurity will be more accessible to everyone. Unfortunately, that’s far from reality.
There are too many things to consider when it comes to cybersecurity. Factors like what industry you’re into the prevalence of new cyber threats all come into play. That’s why it’s vital to choose security solutions that fit your needs. Otherwise, you could be paying too much for something you don’t need, or worse, too little to protect your network properly.
At ITS, we’ve helped hundreds of businesses bolster their cybersecurity. In this article, we’ll help you understand why security solutions cost that way and what factors can affect their prices.
Related article: What Businesses Need to Know About Managed Cybersecurity Services
Many factors affect how much cybersecurity for your business costs. That makes planning your cybersecurity budget a bit tougher. Take a look at some of the things you need to consider when planning costs for cybersecurity:
Many high-hazard industries also have more stringent regulations in place. Complying with these regulations could require you to invest heavily in advanced security tools and even cyber insurance.
Private information is a valuable target for cybercriminals. Worse, the cost of a breach could be catastrophic, especially for small businesses. According to a study by IBM and the Ponemon Institute, an average data breach in 2021 costs $4.24 million, a 10% increase from 2020. While that number will change depending on the size of your company, it is still a hefty cost that could spell trouble for small businesses.
In fact, the US National Cyber Security Alliance found that over half (60%) of small companies go out of business within a year after going through a data breach. Equipping yourself with the right cybersecurity solutions could prevent that outcome.
The results of an assessment will help you identify hidden vulnerabilities or things that you can improve on. You can leverage expert advice and experience to help guide which cybersecurity solutions would best fit your business and industry requirements. That will also affect how much you would need to invest in new tools and systems.
Is it possible to spend too much on cybersecurity? Probably not. Missed alerts from unchecked security information and event management (SIEM) systems aren’t useful to anyone. However, if you’re not able to make full use of the security solutions you implement, then that money might as well go down the drain.
With that in mind, it’s essential that you think of cost optimization rather than cost reduction when considering your cybersecurity budget. Ask yourself how you can make use of the solutions you have or whether you have the personnel or the resources to make the most of them.
Not having the right people fill the role of managing security has left many companies vulnerable. A 2019 Opinium survey found that 50% of organizations felt the cybersecurity skill shortage was a major challenge.
If you decide to take on the task of building your own security operations center, then you might find yourself in a costly predicament. Not only do you have to get a hold of scarce manpower, but you also need to consider that they will take shifts.
This could drastically affect your cybersecurity budget. Depending on how underwriters evaluate your cybersecurity, you could end up paying a hefty premium for coverage. In addition, many insurance carriers nowadays have implemented more stringent measures to ensure that clients have certain security tools in place to reduce their risk exposure.
Improving your cybersecurity posture might seem like an expensive affair. However, if you consider the costs of a data breach or attack, then it’s a worthwhile investment to make.
There may be factors that affect how much your cybersecurity will cost that you won’t be able to control, such as the industry you serve or the availability of skilled personnel. Fortunately, there are solutions out there that can help you make sound decisions, like partnering up with a reliable MSP or MDR provider.
At ITS, we help businesses improve their cybersecurity efforts and help them find the right solutions for the job. Schedule a meeting with one of our experts to find out how we can help you.