Two weeks after a cyber attack severely impacted its operations, Co-op has said it is now in a “recovery phase”, with it bringing its systems back online in a “safe and controlled manner”.
The incident forced the convenience retailer to stop ordering all but essential goods from suppliers, leading to empty shelves in many of its stores.
In a statement issued today, Co-op said its stock ordering system was now fully online again and it had switched all orders back to the normal supply processes and systems.
“There will be improved stock availability in our Food stores and online from this weekend, and we are working closely with our suppliers to restock our stores,” a spokesperson said.
The hack also resulted in some payment problems, but Co-op stated today that all forms of payments, including contactless and chip and pin, are now working across its entire store estate.
In the statement, the company thanked “colleagues, members, partners and suppliers for their support so far.”
The news comes hours after M&S confirmed that some personal customer data was taken by hackers during the cyber attack on its systems at the end of last month. The Financial Times reported today that M&S’s insurance payout from the event could be worth up to £100m.
The incidents have cost both retailers millions in extra costs and lost revenues, with concerns that the long-term effect of the attacks will be significant.
Dr Harjinder Lallie, reader in cyber security at the University of Warwick, told the BBC: “Public trust in online services is likely to be eroded, with customers becoming more cautious about sharing personal and financial information.”
The hack is a reminder for the retail industry that more complicated IT systems and advanced attacks mean “proactive investment in resilience is no longer optional, it’s essential”, he added.
NAM Implications:
- Co-op’s current empty shelves are a stark reminder of the need for tech-based ordering.
- The key is that they put this disaster behind them as soon as possible…
- …and provide credible assurance for members that their personal data will not be compromised again…
- …whatever it takes.
