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Over half of APAC consumers will abandon brands they don’t trust, says Twilio report

Over 56% of APAC consumers abandon brands they don’t trust, reveals Twilio report. Fast responses and using preferred channels also affect loyalty.

Brand trust is becoming increasingly crucial in determining whether consumers engage with a company, particularly in the Asia-Pacific region. Twilio’s 2024 Consumer Preferences Report reveals that 56% of APAC consumers would stop purchasing from brands they do not trust. Equally significant is how swiftly and effectively businesses engage with their customers, particularly on the right communication channels. The report, based on a global survey of 3,900 consumers, including 900 from APAC, delves into how communication preferences and branded interactions influence consumer trust.

Consumer trust is paramount

In APAC, the growing difficulty of distinguishing legitimate sources amidst a rise in deepfakes, which surged by 1,530% between 2022 and 2023, has significantly eroded consumer trust. As a result, 56% of consumers in the region are unwilling to buy from brands they do not trust.

Twilio’s research underscores the need for businesses to include clear verification measures in their communications. For instance, 68% of APAC consumers said they are more likely to trust a brand’s communication if it includes a verification badge. Additionally, 57% believe that receiving a branded text message increases their confidence in the brand.

“In today’s discerning market, trust has become the cornerstone of customer-brand relationships. With tools like branded communications, businesses now have the opportunity to build trust, enhance brand recognition, and deliver personalised experiences at scale,” said Robert Woolfrey, Vice President, APJ, Communications, Twilio.

To further support businesses, Twilio has announced the global availability of Rich Communication Services (RCS) messaging through its Programmable Messaging and Verify APIs. This service aims to help brands improve communication and strengthen customer trust.

Trust and security drive business success

In addition to branding, consumers expect businesses to prioritise security. Over half (55%) of APAC consumers said they would trust a brand more if it uses two-factor authentication (2FA) for secure account access. Quick response times (54%) and using recognisable phone numbers (49%) also play a vital role in building trust.

The benefits of securing consumer trust are significant. Brands that make trust a priority are more likely to experience improved customer retention and benefit from increased word-of-mouth referrals. This underscores the direct connection between building trust and business success.

Right channels and quick responses keep customers satisfied

Twilio’s report also highlights the importance of using the right communication channel. While 86% of consumers expect businesses to communicate through their preferred channels, only 48% of brands in APAC meet this expectation. Popular channels include email (81%), SMS/MMS (46%), and social messaging apps such as Facebook Messenger and Instagram (31%). On the other hand, push notifications from brand apps are less preferred, with only 20% of consumers favouring this channel.

Failing to connect with customers through their preferred channels can lead to brand switching. Around 20% of consumers stated they would abandon a business if it did not communicate through their preferred method.

Response time is also a critical factor in customer satisfaction. Twilio’s survey revealed that 43% of APAC consumers expect brands to respond within an hour, though the average expected response time is up to 27 hours. Slow responses can cause customer churn, with 53% of consumers indicating they would switch to another brand due to delays. However, brands that prioritise rapid communication report higher customer retention rates, with 39% of APAC brands experiencing improvements.

As consumer expectations evolve, it is essential for businesses to respond quickly and communicate effectively through preferred channels. Twilio remains dedicated to equipping brands with the right tools to meet these demands.

The key findings from Twilio’s 2024 Consumer Preferences Report were discussed at SIGNAL Singapore 2024, Twilio’s annual flagship event. Leaders from companies such as Domino’s, LalaMove, and Endowus shared insights on how Twilio’s solutions are transforming their customer engagement strategies.

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