LureLab

Phishing attacks remain a pervasive threat, draining businesses of both money and time with alarming efficiency. In 2021 alone, global losses from phishing reached $44.2 million, with an average of $136 stolen per attack. By 2022, U.S. victims reported losses exceeding $52 million, a figure that underscores the escalating financial toll. For businesses, the stakes are even higher—a single data breach involving 10 million records can cost $50 million, while breaches affecting 50 million records may soar to $392 million. The financial sector is particularly hard-hit, with 27.32% of phishing attacks in 2023 targeting institutions, leading to substantial monetary losses.

Beyond direct financial damage, phishing erodes productivity and operational efficiency. A 2014 study estimated downtime from cyber incidents at $5,600 per minute, a figure likely higher today given inflation and increased reliance on digital systems. For large organizations, the annual cost of phishing-related issues, including business email compromise recovery, averages $14.8 million in the U.S., with companies spending roughly 58% of that time ceasing operations to investigate breaches. This translates to weeks or even months of disrupted workflows, with some incidents taking 293 days to fully identify and contain.

The ripple effects are profound. Small businesses, often less equipped to recover, lose an average of $25,000 per incident, and 60% shutter within six months of a major breach. Meanwhile, reputational damage drives customer churn—47% of companies report losing clients after a phishing attack—further compounding financial losses. As phishing tactics evolve, with AI-driven attacks rising 1,265% since 2022, the time and money lost will only grow without robust defenses.