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Twilio 2025 Forecast: Understanding Customer Loyalty In The Age Of Data And Hyper-Personalization

The landscape of brand marketing is changing rapidly due to technological advancements and shifts in consumer expectations. At the same time, consumer trust is declining as data usage risks increase. By 2025, brands will need to adapt to a new era of hyper-personalization while still focusing on building trust.

Twilio, a customer interaction platform that helps companies worldwide create direct and personalized relationships with their customers, has revealed trends that will impact brand experience strategies in the Asia Pacific and Japan (APJ) in the coming years.

Building brand-consumer relationships on a 'Trust Ecosystem'

Trust has always been the foundation of consumer loyalty to a brand, but by 2025, consumer trust is expected to hit an all-time low. According to Twilio's 2024 Consumer Preference Report, 56% of consumers in the Asia Pacific say they would not buy products from brands they do not trust. With consumers becoming more critical and discerning, brands must show greater respect by putting themselves in the customers' shoes.

In this 'Trust Ecosystem,' data will be fundamental, while AI will act as a key driver. Brands will increasingly rely on predictive AI to avoid guessing consumer desires, refine recommendations, and enhance communication, ultimately strengthening the interaction between brands and customers.

"It’s time to return to the basic principles of loyalty: keeping promises, following up on consumer complaints, and providing reliable service at every moment of the customer journey. More brands will rely on Chief Trust Officers to reshape customer experience, marketing, and technology strategies to build lasting relationships with customers, said Robert Woolfrey, Vice President of Communications at Twilio for APJ.

To develop this 'Trust Ecosystem', brands must prioritize customer-centric strategies by using AI to enhance personalization and reliability. By aligning strategies with consumer expectations and focusing on building genuine relationships, brands can strengthen their market position and maintain long-term loyalty.

The future of inclusive verification and authentication

For customers, a good experience starts with a brand's ability to meet or exceed their security expectations. However, a company cannot simply implement stricter security measures with more complex authentication processes, as this would slow down customer access to their accounts.

According to the State of Customer Engagement Report 2024, 40% of brands in the Asia Pacific region stated that one of their focuses this year is to reduce barriers during the account registration process while ensuring customer data security.

Simplifying the registration and login processes and moving from passwords to digital verification and/or authentication systems can help improve both security and customer experience.

So far, SMS OTP has been the primary method for two-factor authentication (2FA) due to its ease of use and business adoption. Unfortunately, this method has limitations, such as the risk of SIM swap fraud and the lack of message encryption features that can lead to security issues.

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Tag: APJ Asia Pacific And Japan Twilio 2025 Forecast