AI Alone Won't Cut It: Twilio's 6th Annual Report Finds Trust and Timing Drive Customer Loyalty
71% of consumers abandon irrelevant experiences — brands that personalize in real time and prioritize transparency are winning hearts, trust, and revenue
SAN FRANCISCO, June 03, 2025--(BUSINESS WIRE)--Twilio (NYSE: TWLO), the customer engagement platform that drives real-time, personalized experiences for leading brands, today released its sixth annual State of Customer Engagement Report. 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—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't feel relevant.
"AI has opened the door to more personalized customer experiences than ever before — but technology alone isn't the answer," said Chris Koehler, CMO of Twilio. "Our 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's climate, customer loyalty is harder to earn — 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."
Key insights from the report show why better CX is the key to AI's return on investment:
AI-powered personalization is delivering revenue—but not trust. 56% of brands now use AI to tailor experiences — from personalized content and recommendations to real-time support and dynamic offers — and 75% report increased customer spend. But 61% of consumers don't believe brands use their data in their best interest, and 55% say they're tired of hearing about AI.
Real-time engagement drives conversion—and 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—but only 44% of brands say they're executing at that level.
Trust is rising—but remains fragile. While 90% of consumers trust at least some brands, just 15% "absolutely" trust them with their data. 84% want control over their personalization settings, and 54% want to know when they're talking to AI—not a human.
Smart investments are separating leaders from laggards. 96% of businesses plan to build custom CX over buying off-the-shelf—betting 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 — and easier to lose — 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: https://www.twilio.com/en-us/state-of-customer-engagement.
Report Methodology
Twilio surveyed 7,640 global consumers and 637 business leaders from January 3–February 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's 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: www.twilio.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250603913532/en/
Contacts
Caitlin Epsteinpress@Twilio.com
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Upturn
an hour ago
- Business Upturn
OGN FRAUD ALERT: Organon & Co. Investors are Reminded of Ongoing Securities Fraud Class Action — Contact BFA Law by July 22 Legal Deadline (NYSE:OGN)
NEW YORK, June 22, 2025 (GLOBE NEWSWIRE) — Leading securities law firm Bleichmar Fonti & Auld LLP announces that a lawsuit has been filed against Organon & Co. (NYSE: OGN) and certain of the Company's senior executives for potential violations of the federal securities laws. If you invested in Organon you are encouraged to obtain additional information by visiting Investors have until July 22, 2025, to ask the Court to be appointed to lead the case. The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Organon securities. The case is pending in the U.S. District Court for the District of New Jersey and is captioned: Hauser v. Organon & Co., et al. , No. 25-cv-05322. Why was Organon Sued for Securities Fraud? Organon is a global healthcare company focused on women's health that has historically rewarded its shareholders with a healthy dividend. In October 2024, Organon completed a $1.2 billion acquisition of Dermavant, a biopharmaceutical company focused on dermatological conditions. As alleged, while the acquisition increased Organon's debt, the Company assured investors it would maintain its dividend, which Organon asserted was its '#1 capital allocation priority.' In truth, Organon had shifted its capital allocation priority after the Dermavant acquisition to focus on reducing its debt, ultimately leading the Company to severely cut its dividend. The Stock Declines as the Truth is Revealed On May 1, 2025, Organon announced that management reset the Company's dividend payout from $0.28 per share to $0.02 per share. Organon's CEO explained that the Company 'reset our capital allocation priorities to accelerate progress towards deleveraging' and that '[b]y deleveraging more rapidly, we will continue to strengthen the future prospects of the company.' Organon's CFO added, '[t]he biggest issues we face . . . relate to managing our leverage and relate to growth. And we need capital to solve both of those issues, and so returning capital to shareholders is right now, less of a priority.' On this news, the price of Organon stock declined roughly 27%, from $12.93 per share on April 30, 2025, to $9.45 per share on May 1, 2025. Click here if you suffered losses: What Can You Do? If you invested in Organon you may have legal options and are encouraged to submit your information to the firm. All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses. Submit your information by visiting: Or contact:Ross Shikowitz [email protected] 212-789-3619
Business Upturn
an hour ago
- Business Upturn
RDDT FRAUD ALERT: Reddit, Inc. Investors are Reminded of Ongoing Securities Fraud Class Action — Contact BFA Law by August 18 Legal Deadline (NYSE:RDDT)
NEW YORK, June 22, 2025 (GLOBE NEWSWIRE) — Leading securities law firm Bleichmar Fonti & Auld LLP announces that a lawsuit has been filed against Reddit, Inc. (NYSE: RDDT) and certain of the Company's senior executives for potential violations of the federal securities laws. If you invested in Reddit, you are encouraged to obtain additional information by visiting: Investors have until August 18, 2025, to ask the Court to be appointed to lead the case. The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Reddit securities. The case is pending in the U.S. District Court for the Northern District of California and is captioned Tamraz, Jr. v. Reddit, Inc., at al. , No. 25-cv-05144. Why was Reddit Sued for Securities Fraud? Reddit owns and operates the eponymous social news aggregation, forum, and social media platform. Reddit receives a significant portion of its user traffic from individuals seeking answers to questions using Google Search. The complaint alleges that Reddit misrepresented and downplayed the impact that Google's use of Artificial Intelligence ('AI') technology in Google's search results had on Reddit's user growth. In truth, Google's use of AI dented Reddit's user growth by eliminating the need for individuals to visit and click through to Reddit to get answers to their questions. Rather, the answers appeared through Google's AI search results. The Stock Declines as the Truth is Revealed On May 1, 2025, Reddit reported a significant slowdown in daily active user growth. On this news, the price of Reddit stock declined $4.96 per share, or more than 4%, from $118.79 per share on May 1, 2025, to $113.83 per share on May 2, 2025. Then, on May 21, 2025, Wall Street analyst Baird cut its Reddit stock price target over concerns that Google's AI capabilities are stifling Reddit's user growth. On this news, the price of Reddit stock fell $9.79 per share, or over 9%, from $105.64 per share on May 20, 2025, to $95.85 per share on May 21, 2025. Click here for more information: What Can You Do? If you invested in Reddit you may have legal options and are encouraged to submit your information to the firm. All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses. Submit your information by visiting: Or contact:Ross Shikowitz [email protected] 212-789-3619
Business Upturn
an hour ago
- Business Upturn
CIVI FRAUD ALERT: Civitas Resources, Inc. Investors are Reminded of Ongoing Securities Fraud Class Action — Contact BFA Law by July 1 Legal Deadline (NYSE:CIVI)
NEW YORK, June 22, 2025 (GLOBE NEWSWIRE) — Leading securities law firm Bleichmar Fonti & Auld LLP announces that a lawsuit has been filed against Civitas Resources, Inc. (NYSE: CIVI) and certain of the Company's senior executives for potential violations of the federal securities laws. If you invested in Civitas you are encouraged to obtain additional information by visiting Investors have until July 1, 2025, to ask the Court to be appointed to lead the case. The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Civitas securities. The case is pending in the U.S. District Court for the District of New Jersey and is captioned Lin v. Civitas Resources., et al. , No. 25-cv-03791. Why was Civitas Sued for Securities Fraud? Civitas is an oil and gas exploration and production company with its key assets located in the Denver-Julesburg Basin in Colorado and the Permian Basin in Texas and New Mexico. The complaint alleges that Civitas stated that both basins had 'enhanced recovery potential' and that it had 'driven production ahead of plans,' while touting 'enhanced margins through reduced operating costs' and insisting that 'costs are below expectations.' In truth, the Company's oil production peaked in 2024, and increasing production would require Civitas to spend significant capital to acquire additional land, driving up costs. The Stock Declines as the Truth is Revealed On February 24, 2025, Civitas announced disappointing Q4 and full year 2024 results, and reduced its oil production guidance. The Company explained that oil production had peaked and it would need to spend hundreds of millions of dollars to acquire thousands of acres of new land to produce more oil. Civitas also announced that it was implementing a 10% reduction in its workforce to 'solidify the Company's low-cost structure.' On the same day, Civitas announced the immediate firings of its Chief Operating Officer and Chief Transformation Officer. On this news, the price of Civitas stock declined more than 18%, from a closing price of $49.30 per share on February 24, 2025, to $40.35 per share on February 25, 2025. Click here if you suffered losses: What Can You Do? If you invested in Civitas you may have legal options and are encouraged to submit your information to the firm. All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses. Submit your information by visiting: Or contact:Ross Shikowitz [email protected] 212-789-3619
