---
title: Can Data Security be a Competitive Advantage?
description: Cybersecurity is not only essential for protecting businesses, it can also serve as a strategic approach to gain a competitive advantage.
image: https://www.calamu.com/hubfs/competitive-adv-blog.png
---
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# Can Data Security be a Competitive Advantage?
January 25, 2024 3 Min Read
By: Calamu
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Cybersecurity is not only essential for safeguarding a business and ensuring its longevity, it can also serve as a strategic approach to gain a competitive advantage. This is especially true for businesses offering B2B professional services, where winning large accounts often hinges on demonstrating a strong commitment to data security. Many organizations incorporate a [third-party vendor cybersecurity audit](https://www.linkedin.com/advice/0/how-can-you-perform-cybersecurity-audit-third-party) into their selection process to verify compliance with the company's security standards and regulations. Failing to meet these criteria in the audit may result in losing the account, while success can provide a significant edge over competitors. Implementing effective data security measures not only protects valuable assets, but also ensures ongoing customer loyalty and overall business success.
### The Rise of Third-Party Risk
Third-party vendors including suppliers, partners, contractors, or service providers represent a large cybersecurity vulnerability for businesses. It’s estimated that 62% of data breaches originate from a third-party and it can take an average of 277 days to identify and contain a third-party breach.1 In [2023, some of the largest data breach attacks](https://www.calamu.com/blog/lessons-learned-from-2023s-biggest-ransomware-attacks) were caused by third-party failures including the MOVEit Vulnerability exploit which is considered to be one of the largest hacks of the year, if not ever with financial damages estimated at around $11 Billion.
### Lack of Confidence Opens Door for Security-Minded Vendors
Today only 34% of organizations are confident their suppliers would notify them of a breach of their sensitive information. As AI-powered attacks continue to rise and confidence in third-party security dips, an opportunity for cybersecurity-minded vendors takes shape. Those that can improve an overall cybersecurity posture, not detract from it, are better poised for success in today’s digital business world.
### 5 Ways The Right Security Posture Helps Gain a Competitive Advantage
1. Trust and Reputation
One of the most significant advantages of robust data security is the establishment of trust with customers, partners, and stakeholders. By prioritizing data security, businesses signal to their audience that they take privacy seriously. This trust, once earned, can be a powerful differentiator in a competitive market.
2. Regulatory Compliance
Adhering to data security standards and regulations is not only a legal requirement but can also be a competitive advantage. Demonstrating an understanding of data protection laws can not only avoid legal repercussions but also build credibility.
3. Increased Operational Resilience
One of the most devastating consequences of a cyberattack is the loss of data and downtime. Stolen data including PII or trade secrets can fetch a high ransom price in order to keep it from public exposure. Businesses that can show how they will secure their customers’ data even in the event of an attack or outage is a strong competitive differentiator.
4. Innovation
As the nature of cyber attacks evolves, so too must the tools and procedures to safeguard against them. Businesses that seek out and use cutting-edge security solutions show that they’re leading their industry in terms of innovation.
5. Customer Loyalty and Retention
Customers are more likely to remain loyal to a business that safeguards their sensitive information. A data breach not only jeopardizes customer trust but can also result in financial losses and reputational damage. By investing in robust data security measures, businesses can create a sense of security among their customer base, fostering loyalty and long-term relationships.
### Luckie & Co Finds Competitive Edge With Calamu Data Harbor
Leading marketing firm Luckie & Co works with some of the biggest names in healthcare including major pharmaceutical companies like Galderma and GSK. The company offers a mix of creative services, business intelligence, and data analytics. Handling HIPAA data and personally identifiable information means they are extremely dedicated to cybersecurity and compliance. Using a Calamu Data Harbor helps them meet high security standards and affords them a competitive edge in the industry. [Read the full case study here.](https://www.calamu.com/case-study-db/luckie)
## Resources
#### [ Blog Challenging Traditional Storage: Calamu's Multi-Cloud Data Harbors August 24, 2023 Calamu's Paul Lewis and Dean Archibald join Small World Big Data to discuss the rise of double extortion and how to protect data against theft. Read Article](https://www.calamu.com/blog/challenging-traditional-storage-calamus-multi-hybrid-protected-data-harbors)
#### [ Blog The Patented Calamu Data Protection Process in Detail January 27, 2022 The Calamu Process is designed to be lightweight, fast, secure, and compliant. Learn the core concepts of the Calamu Protect™ Platform. Read Article](https://www.calamu.com/blog/the-patented-calamu-data-protection-process-in-detail)
## Resources
#### [ Blog Challenging Traditional Storage: Calamu's Multi-Cloud Data Harbors August 24, 2023 Calamu's Paul Lewis and Dean Archibald join Small World Big Data to discuss the rise of double extortion and how to protect data against theft. Read Article](https://www.calamu.com/blog/challenging-traditional-storage-calamus-multi-hybrid-protected-data-harbors)
#### [ Blog The Patented Calamu Data Protection Process in Detail January 27, 2022 The Calamu Process is designed to be lightweight, fast, secure, and compliant. Learn the core concepts of the Calamu Protect™ Platform. Read Article](https://www.calamu.com/blog/the-patented-calamu-data-protection-process-in-detail)
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