Smart Communications has released its 2025 Customer Experience Benchmark, highlighting a growing acceptance of artificial intelligence among consumers, particularly in sectors like healthcare, financial services, and insurance. The report, based on a global survey of 3,000 consumers including those in Singapore, reveals a shift in attitudes towards AI but also underscores ongoing issues with outdated systems and fragmented customer communication channels.
Consumer confidence in AI is growing, with practical use cases leading the way
The findings show that Singaporean consumers are becoming more open to AI-driven solutions in their everyday lives. Over half of respondents expressed comfort with AI being used to provide financial advice (58%), suggest insurance policy changes (60%), or offer health-related recommendations (62%). This marks a significant change from previous years, where concerns over data privacy and ethical use dominated the conversation.
Despite this warming sentiment, caution remains around the quality of AI-generated content. Only 15% of Singaporean respondents believe generative AI is superior to humans in creating customer communication content. Nearly half (46%) say human oversight is still essential when using AI-generated suggestions. Concerns around transparency have also eased, with just 37% of respondents believing AI usage should be disclosed in customer communications—down from 77% in 2024.
Leigh Segall, CEO of Smart Communications, said: “The data is clear: consumers are ready to see what AI can do. Organisations have an opportunity to use this groundbreaking technology to create outstanding customer experiences that exceed consumer expectations. Our research shows them where to start, by orchestrating smarter omnichannel experiences.”
Poor omnichannel performance undermines brand trust
While AI acceptance is improving, the survey also points to persistent gaps in how businesses manage customer communications across multiple channels. Only 54% of respondents were satisfied with the quality of omnichannel experiences they receive. In Singapore, two-thirds of consumers (66%) said they would trust companies more if they delivered consistent communication across all platforms.
Channel preferences vary significantly by age group. The Silent Generation (aged 79 to 97) prefer email the most, with 48% citing it as their top choice. Generation Z, the youngest group surveyed, showed the lowest preference for email at 39%. Across all age groups, print remains the least popular, chosen by just 12% of respondents.
Segall commented: “Customers’ expectations are set by the best brands in retail, technology and eCommerce. When healthcare, banking and insurance organisations fail to meet these expectations, they risk losing customer loyalty and business.”
Outdated data intake processes are pushing younger users away
In addition to communication challenges, the report identifies poor data collection processes as a major barrier to engagement. Two-thirds of consumers (66%) said they would abandon a company if completing forms was too difficult. This issue is even more pronounced among younger audiences, with 73% of Millennials and 71% of Generation Z reporting they would stop engaging under such conditions.
Speed and simplicity emerged as top priorities, with 90% of all respondents ranking these as key when filling out forms. There is also a clear demand for digital-first solutions, with 63% of consumers preferring guided digital forms over fillable PDFs. In Singapore, 84% of respondents said it was important that companies move away from manual processes like printing and scanning.
Smart Communications’ research, which has tracked consumer sentiment since 2018, shows a steady improvement in communication ratings. In 2025, 49% of Singaporean consumers rated communications from financial services, healthcare, and insurance firms as good or excellent—a notable improvement across all sectors.
