MANILA, PHILIPPINES — Brand trust and effective communication through the right channels are key determinants of whether or not consumers wish to engage with a brand. This is according to the “2024 Consumer Preferences Report” from Twilio, the customer engagement platform for today’s leading brands.
The report was based on a global survey of 3,900 consumers, including 900 individuals from APAC, and explores current communication preferences, including the channels consumers prefer, how branded communications influence consumer trust, and how brands’ response times impact their experience.
Within Asia, the Philippines is a hotbed of scams, with one major telecommunications provider reporting that it intercepted more than 230 million spam SMS messages in the second quarter of 2024. The proliferation of fraudulent digital interactions has made it harder for consumers to distinguish between trusted sources and scams, undermining consumer trust in brands. Against this landscape, trust has become a pivotal factor in consumer decision-making when interacting with businesses. Twilio’s research reveals that 56% of consumers in APAC will not purchase from a brand due to a lack of trust.
To meet the rising demand for trust, brands looking to gain customer confidence must ensure their interactions are easily recognizable and secure, be it by including a verification badge or incorporating branding into their communications to consumers. In fact, close to 7 in 10 APAC consumers (68%) will trust a brand’s communication more if it includes a verification badge, while 57% report that receiving a branded text message will make a brand more trustworthy.
“In today’s discerning market, trust has become the cornerstone of customer-brand relationships. With tools like branded communications at their fingertips, businesses now have the unprecedented opportunity to build trust, strengthen brand recognition, and deliver personalized experiences at scale. As richer communication channels emerge, the opportunities for deeper customer engagement will only grow,” said Robert Woolfrey, Vice President, APJ, Communications at Twilio.
To strengthen brand identity and foster customer trust, Twilio recently announced the global availability of Rich Communication Services (RCS) messaging via its Programmable Messaging and Verify APIs.
Securing messages to drive revenue
Beyond using branded communications, brands now have an added responsibility of ensuring that their communications are compliant, transparent, and secure to win and build trust. Consumers in the region indicated they would trust a brand more if they used trust-building measures such as two-factor authentication (2FA) for secure account access or changes (55%) and having a quick response time (54%). Using a recognizable phone number (49%) can also enhance trust. When trust is strengthened between the brand and the consumer, it leads to significant business outcomes, including improved customer retention and more word-of-mouth referrals.
The importance of choosing channels that consumers prefer
Apart from building trust, reaching consumers on a channel they prefer is equally important in keeping customers happy. While 86% of APAC consumers expect brands to use their preferred communication channels, brands only manage to do so 48% of the time, presenting a significant opportunity for businesses in APAC to improve and measure up to consumer expectations. Some of the top channels that consumers prefer to receive communications from businesses include email (81%), text messaging (SMS/MMS) (46%), and social messaging apps such as Facebook Messenger and Instagram (31%). APAC consumers also viewed email as the most secure channel for brand interactions. Meanwhile, push notifications from brand mobile apps were the least valued (20%) channel in the region. Connecting with consumers on the wrong channels can have serious consequences: 20% of consumers say they would switch to another business if their preferred channel isn’t used.
Response time is increasingly critical
In this age of digital engagements, consumers are paying greater attention to how quickly brands respond to their inquiries. This is evident based on findings from the “2024 State of Customer Engagement Report” which found that Filipino consumers rank responsive customer service as the second most effective way for brands to earn their loyalty, after quality of products or services. Unfortunately, the majority of brands are missing the mark, with just 31% of APAC consumers reporting that brands meet their response time expectations. In APAC, 43% of consumers expect brands to respond within an hour, but the average expected response time of brands can extend up to 27 hours. Delayed responses can lead to customer churn, with 53% of consumers choosing to purchase from another brand due to slow response times. Conversely, 39% of APAC brands that prioritize rapid communication have seen higher customer retention rates, demonstrating the importance of responsiveness in business success.
When executed effectively, customer communications can enhance engagement, drive conversions, and strengthen relationships at every stage of the customer journey. As consumer expectations continue to evolve, Twilio remains dedicated to empowering businesses with the tools they need to communicate effectively with their customers.
Key findings from the “2024 Consumer Preferences Report” were unveiled and discussed at SIGNAL Singapore 2024, Twilio’s annual flagship event. During the event, Twilio leaders including CEO Khozema Shipchandler and SVP for Product Kathryn Murphy addressed how businesses can reimagine meaningful connections through Twilio products. Attendees also got to hear from leading brands like Domino’s, Driva, Endowus, Lalamove, Lendi Group, and Spriggy on how Twilio’s solutions are driving change at scale for their businesses.
