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AI Alone Won鈥檛 Cut It: Twilio鈥檚 6th Annual Report Finds Trust and Timing Drive Customer Loyalty

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71% of consumers abandon irrelevant experiences 鈥� brands that personalize in real time and prioritize transparency are winning hearts, trust, and revenue

SAN FRANCISCO--(BUSINESS WIRE)-- Twilio (NYSE: TWLO), the customer engagement platform that drives real-time, personalized experiences for leading brands, today released its sixth annual . Based on a global survey of more than 7,600 consumers and 600+ business leaders across 18 countries, the report underscores a powerful trend: AI is driving clear ROI鈥�but unless businesses also earn consumer trust and deliver relevance in the moment, they risk leaving real value on the table.

In a macroeconomic climate where every dollar counts, the stakes are high. While 96% of companies say AI is improving customer-facing operations such as support, marketing, and personalization, and 75% see increased customer spend from personalization efforts, only 45% of consumers feel understood by the brands they interact with, down slightly from 46% in 2024. And despite 83% of business leaders claiming to deeply understand their customers, consumer behavior tells a different story: 71% will walk away from purchases if the experience doesn鈥檛 feel relevant.

鈥淎I has opened the door to more personalized customer experiences than ever before 鈥� but technology alone isn鈥檛 the answer,鈥� said Chris Koehler, CMO of Twilio. 鈥淥ur research shows that to truly engage customers, brands must earn their trust, respect their preferences, and meet them in real-time with experiences that feel human. In today鈥檚 climate, customer loyalty is harder to earn 鈥� and the brands that succeed will be the ones that invest in the right tools to deliver personalization at scale, while maintaining transparency and putting the customer first.鈥�

Key insights from the report show why better CX is the key to AI鈥檚 return on investment:

  • AI-powered personalization is delivering revenue鈥攂ut not trust. 56% of brands now use AI to tailor experiences 鈥� from personalized content and recommendations to real-time support and dynamic offers 鈥� and 75% report increased customer spend. But 61% of consumers don鈥檛 believe brands use their data in their best interest, and 55% say they鈥檙e tired of hearing about AI.
  • AG真人官方-time engagement drives conversion鈥攁nd loyalty. 71% of consumers abandon purchases when experiences fall flat. On the flip side, 88% are more likely to buy when engagement is personalized in real time鈥攂ut only 44% of brands say they鈥檙e executing at that level.
  • Trust is rising鈥攂ut remains fragile. While 90% of consumers trust at least some brands, just 15% 鈥渁bsolutely鈥� trust them with their data. 84% want control over their personalization settings, and 54% want to know when they鈥檙e talking to AI鈥攏ot a human.
  • Smart investments are separating leaders from laggards. 96% of businesses plan to build custom CX over buying off-the-shelf鈥攂etting on better data, transparency, and automation to stay competitive. 75% also plan to adopt RCS in 2025 to create richer customer conversations.

In a world where customer loyalty is harder to win 鈥� and easier to lose 鈥� businesses can no longer afford to treat trust and personalization as optional. The 2025 State of Customer Engagement Report makes it clear: brands that build transparent, real-time relationships will be best positioned to drive growth, deepen loyalty, and stand out in an increasingly competitive, AI-driven marketplace.

The full 2025 State of Customer Engagement Report is available here: .

Report Methodology

Twilio surveyed 7,640 global consumers and 637 business leaders from January 3鈥揊ebruary 17, 2025. Respondents span 18 countries and include Gen Z to baby boomer consumers and business leaders with oversight of CX, martech, and customer data strategy.

About Twilio

Today鈥檚 leading companies trust Twilio's Customer Engagement Platform (CEP) to build direct, personalized relationships with their customers everywhere in the world. Twilio enables companies to use communications and data to add intelligence and security to every step of the customer journey, from sales to marketing to growth, customer service and many more engagement use cases in a flexible, programmatic way. Across 180 countries, millions of developers and hundreds of thousands of businesses use Twilio to create magical experiences for their customers. For more information about Twilio (NYSE: TWLO), visit: .

Caitlin Epstein

[email protected]

Source: Twilio

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