The uses of customer relationship management (CRM) software have become crucial in ensuring the organization has effective ways of relating to the customers or clients.

Nonetheless, advanced technology and the use of digital management systems have led to the growth of sensitive information in organizations, hence the need for strict implementation of CRM security that can protect against cyber threats.

An example of a risk associated with the loss of data is a data breach that also has severe consequences and can have negative effects such as reputation loss, legal fines, and customer trust loss. Consequently, the protection of CRM software and customers' data is no longer an option but a must-have that has to be faced in advance.

Top 5 CRM security risks and threats

The following are some of the different types of attacks that can be made on CRM systems: All the mentioned attacks pose varying risks to the security and privacy of customers' data.

Phishing

Phishing is one of the most widespread cyber threats that may pose a threat to CRM systems. Phishing is a very efficient means of electronic crime because it has learned to leverage human characteristics like curiosity and fear.

A type of attack in which phony emails or messages mimicking actual corporations or organizations in which they do business are sent to the intended victims in an effort to coax out such other valuable data as user names, passwords, or financial information.

Malware

Malware is a general term that originated from malicious software, which in turn refers to those programs that are particularly devised to corrupt personal computers and networks, acquire information from the computers as well as interfere with the normal functioning of processes.

The attack can go a long way to adversely affect CRM systems since it may lead to loss of important customer information, affect the flow of service delivery, and the worst part is that it may pull down the reputation of the business entity.

It includes virus, trojans and ransomware which can be used to gain unauthorized access into the CRMs to steal information or to lock customer and company accounts as a way of demanding a ransom fee. 

SQL injections

These attacks target the software employed to develop and manage the CRM systems to offer unauthorized access to databases and sycophancy or modify confidential data.

An SQL injection attack happens when an attacker enters unsavory SQL code into an input field, such as a search box.

The database can then run this code, which, in some cases, may enable the attacker to browse, alter, or delete data in the CRM system.

Distributed Denial of Service (DDoS) attacks

DDoS attacks are used to overload a CRM system so that the system will be incapable of responding to legitimate user requests. It can lead to the loss of service and possibly even the theft of data.

In DDoS attacks, many compromised computers send traffic to the target system they control, making it what is referred to as a botnet and unable to handle other genuine requests.

Social engineering

Social engineering attacks take advantage of the interaction with users and make them disclose their information or perform actions that are dangerous to the CRM system.

For instance, an attacker may obtain customers' names, addresses, and other financial details from the CRM systems through phishing, where victims are conned into releasing the information or their login credentials.

Social engineering attacks can also include sending emails with attachments or links containing malware, which can affect the CRM system.

Linkup Studio's article explains how to build reliable CRM software.

CRM security best practices

Some of the recommendations that should be taken include the following in a customer relationship management system to enhance data security and privacy. These are the tips that we at Linkup Studio observed and noticed firsthand.

1. Regular software updates

All cracks and known threats can be addressed by updating CRM software and its systems frequently.

Ensure that all of the software installed on the computer, as well as the operating system, has the latest security patches and updates. However, you also have to make sure that all updates will not conflict with the CRM system that you are using. 

Furthermore, it is necessary to automate the update and patch process to guarantee that they are applied as soon as possible but without interrupting the company's functioning.

It is therefore important for any business to update CRM software and also follow the above best practices in order to avoid cyber criminals and data hackers who have become rampant in today's world and protect important business data and customer information in order to avoid compromising the integrity of their clients.

2. Encryption

Security of data and privacy is a major component of CRM systems where encryption plays a major role. The data in transit and data at rest can be protected to prevent unauthorized access to the data and to provide data security.

Data encryption should be done at a high level using encryption algorithms such as Advanced Encryption Standard (AES).

Do not employ lower encryption standards that can actually be broken with a lot of ease. Also, always ensure the use of secure connection standards such as HTTPS, SSL, or TLS to enhance the protection of the data that is in transit. It is recommended not to use insecure connection protocols like HTTP or FTP.

3. Access controls

Some of the measures that can be taken to limit access include 2FA and role-based permissions to restrict users from accessing sensitive data. Moreover, it will play an important role in the protection of customers' data.

The method of control known as role-based access control (RBAC) enables restricting access to the data as a result of an employee's position. RBAC guarantees that the employee can see only that information which they are supposed to work with.

All users of the CRM system are required to have 2FA for their accounts. 2FA enhances CRM's cybersecurity by allowing employees to input 2 forms of identification before they access the data.

4. Staff training

Ongoing training of the employees on how to recognize and avoid cyber threats can go a long way in minimizing cases of data leakage due to human mistakes.

Also, everyone who works with databases and any other information containing personal data should know the rules for protecting data and personal information. Employees have to be informed on the company's security policies and practices in relation to the access control of data, password, and data breach response measures.

5. Compliance with regulations

As explained above, organizations should adhere to data protection acts like GDPR or HIPAA to avoid legal and financial consequences.

Thus, CRM security compliance still ranks among the stringent standards that you have to adhere to. For more information on GDPR and HIPAA compliance, please read an article we published earlier on this site.

6. Regular backups

Periodically, CRM data should be backed up in order to avoid data loss in the wake of a breach or a system failure. This way, CRM data can be backed up on a regular basis to guarantee its safety and availability when needed.

Backups are the creation of another set of copies of your files, which can be used in the event that the original files are lost or damaged. Such loss can occur for many different causes, such as a failed hard drive, a fire or flood, or a hacker attack.

7. Vendor security assessments

Most organizations depend on third-party suppliers for CRM software, and therefore, the security of the CRM system depends on the supplier's security. Hence, there is a need to carry out the vendor security assessment to determine the level of security that the vendors have adopted so that they can meet the right standards.

However, if you are implementing a custom CRM software that you developed from scratch, then you can dispense with this option. In this case, it can be developed by a software development company such as Go Wombat while adhering to CRM security policy and ensuring adequate protection of all sensitive information.

8. Incident response plan

The formation and periodic exercise of an incident response plan can assist organizations in containing breaches of data.

This type of organization and its security measures cannot operate without an incident response plan, no matter what CRM system it uses. The following outlines the measures to be followed when there is a security breach or an attack with the aim of avoiding a bad image for the business and its customers. 

Wrapping up

Companies are supposed to ensure their customers' information is safe from being compromised and used in the wrong way. This is more so for firms that depend on CRM systems, which hold information about clients and their transactions.

Lack of data security and privacy leads to severe consequences such as reputational losses, legal fines, and data leakage.

Companies must protect their data and customers' information so that they can sustain their longevity and credibility. With the proper planning and execution of product design, wise development, rigorous testing, and following the above-given advice, problems are less likely to happen.