Customer loyalty is more important than ever in the age of digital security. On the one hand, failure to disclose a data breach can adversely affect customers’ loyalty to an organization and send consumers running to its competitors. On the other hand, a transparent privacy policy, open communication channels and an accountable business culture can help companies boost their customers’ loyalty and retain more consumers in the event of a personal data security incident. Organizations should use this dichotomy to evaluate the relationship between their digital security focus and their customers’ loyalty.