Hidden in Plain Sight: How SaaS Identity Risks Are Driving Retail Cyberattacks

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Introduction: The New Face of Cyber Threats in Retail

In a rapidly digitizing world, retail giants like Adidas, Dior, Victoria’s Secret, and others have become prime targets for a new wave of cyberattacks. But these aren’t your typical malware-driven intrusions. Instead, attackers are shifting focus from breaking systems to simply logging in—exploiting overprivileged, forgotten, or improperly managed SaaS identities. This evolution in threat tactics marks a turning point for cybersecurity in the retail sector. Below, we explore how these attacks unfolded and what they reveal about the real vulnerabilities retailers face today.

The Breach Breakdown: What Happened and Why It Matters

In recent months, several globally recognized retailers experienced damaging data breaches—not through sophisticated hacking tools, but by exploiting human error, identity mismanagement, and neglected SaaS integrations.

Adidas suffered a breach not due to flaws in its systems, but through a third-party customer service provider. The attackers capitalized on trusted vendor access, which often lacks MFA, persists after contracts end, and becomes an open backdoor.

The North Face was hit by a credential stuffing campaign. Weak identity hygiene, password reuse, and absence of MFA gave attackers access to customer data—without needing to deploy malware or phishing schemes.

Marks & Spencer and Co-op were reportedly breached by the group Scattered Spider using SIM swapping and social engineering. They impersonated employees and tricked help desks into resetting credentials and bypassing MFA, accessing internal systems under the radar.

Victoria’s Secret delayed its earnings announcement after a cyber incident impacted its operations. Though details were sparse, the nature of the disruption pointed to compromised admin roles in SaaS platforms managing e-commerce infrastructure.

Cartier and Dior saw customer data compromised through third-party CRM platforms. These SaaS-based tools rely on API keys and tokens that rarely rotate and are not centrally monitored, making them easy targets.

The overarching issue is not code vulnerabilities or missing

What Undercode Say: Why Retail Breaches Signal a SaaS Identity Crisis

Human Error Meets Machine Trust

The consistent pattern across all these breaches is the misuse of identity and access. Cybercriminals are leveraging not just usernames and passwords but non-human identities—tokens, service accounts, and APIs that operate silently behind the scenes. These identities are typically under-monitored, and once compromised, allow attackers to escalate privileges or extract data undetected.

The False Sense of Security in MFA

Multi-Factor Authentication (MFA) is often touted as a security silver bullet. However, these breaches reveal that even MFA can be bypassed when attackers use social engineering tactics, such as impersonating employees to IT help desks. It’s not about technology failing—it’s about humans trusting too easily.

Overprivileged Accounts: A Disaster Waiting to Happen

Retail operations rely heavily on SaaS platforms for inventory, order processing, and customer service. When these platforms are administered by accounts with too much access—or outdated credentials that are never revoked—they become easy entry points. Attackers don’t need malware when they can hijack a powerful role and shut down operations from within.

The Role of Third Parties

Every retailer in this analysis suffered due to third-party involvement. Whether it’s CRM systems, support platforms, or outsourced service providers, these integrations often introduce vulnerabilities that are overlooked during security audits. Once attackers gain access through a vendor, the blast radius extends straight into the heart of the enterprise.

Dormant Identities: The Ghost Users of SaaS

SaaS tools often leave behind forgotten user accounts and service tokens. These dormant identities, often still valid, aren’t regularly audited or revoked. They provide silent access points that attackers are increasingly exploiting.

Identity-Based Threats Are the New Normal

This new wave of attacks doesn’t rely on firewalls or antivirus evasion. It exploits the trusted architecture of SaaS ecosystems. As long as organizations continue to treat identity management as an afterthought, attackers will keep walking through the front door—undetected.

✅ Fact Checker Results

✅ No Malware Required: All breaches used valid credentials or social engineering, confirming a shift to identity-first attacks.
✅ Third Parties Were the Weakest Link: Breaches stemmed from vendors or external platforms in every case.
✅ MFA Isn’t Foolproof: Social engineering successfully bypassed MFA in multiple breaches.

🔮 Prediction: SaaS Identity Will Be Retail’s Biggest Security Risk in 2025

With SaaS platforms becoming the digital backbone of retail operations, the identity layer is now the most critical—and most vulnerable—attack surface. We predict that:

  1. Retailers will invest more in SaaS identity management tools to detect and remediate access anomalies in real-time.
  2. Third-party risk assessment will become mandatory, with continuous audits for vendor SaaS access.
  3. Attackers will continue shifting to human-layer exploits, leveraging social engineering and dormant identities over traditional malware.

The age of ransomware may be fading, but identity compromise is just heating up. Companies that don’t secure their SaaS identities will remain exposed—logged in, breached, and blindsided.

References:

Reported By: thehackernews.com
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