Twilio report: Trust crucial for Australian consumer loyalty

Brand trust and effective communication are crucial factors influencing consumer engagement with businesses, as highlighted in Twilio's 2024 Consumer Preferences Report.

The report draws on a global survey involving 3,900 respondents, including 300 from Australia. It delves into consumer communication preferences, the impact of branded communication on trust, and how businesses' response times affect consumer experiences.

In Australia, trust plays a key role in consumer interactions with brands. Twilio's findings indicate that 68% of Australian consumers are likely to discontinue interaction with a brand they do not trust.

To address this need for trust, businesses are encouraged to make their communications easily recognisable and secure. A significant 74% of Australian consumers expressed increased trust in communications from brands that include a verification badge, while 65% found branded text messages to bolster trust.

Robert Woolfrey, Vice President, APJ, Communications at Twilio, remarked, "As Australian consumers navigate the cost of living pressures and declining trust towards the conduct of brands, it is more important than ever for businesses to actively demonstrate their trustworthiness and reliability. With tools like branded communications at their fingertips, Australian businesses now have the unprecedented opportunity to build trust, strengthen brand recognition and deliver personalised experiences at scale. As richer communication channels emerge, the opportunities for deeper customer engagement will only grow."

Twilio has expanded its communication tools by introducing Rich Communication Services (RCS) messaging via its Programmable Messaging and Verify APIs, aiming to enhance brand identity and foster customer trust.

Brands are now expected to prioritise compliance, transparency, and security in their communications. Trust-building measures that have received positive responses from Australian consumers include two-factor authentication (2FA) for secure account access (62%) and rapid response times (63%). Utilizing a recognisable phone number also emerged as a trust booster, according to 53% of respondents.

Connecting with consumers on their preferred channels is also identified as a significant factor in maintaining customer relationships. Although 94% of Australian consumers expect brands to engage with them through their preferred channels, only 66% reported that businesses meet this expectation. Popular channels include email (87%), text messaging (SMS/MMS) (59%), and social messaging apps like Facebook Messenger and Instagram (35%).

Delay in communication responses could lead to consumer dissatisfaction, with 31% of Australians expecting brands to respond within an hour. However, only 42% felt that brands adequately meet these expectations. Prolonged response times have resulted in 59% of consumers opting for different brands. In contrast, 47% of brands prioritising quick communication saw increased customer retention.

Effective customer communication, as demonstrated, enhances engagement, fosters conversions, and fortifies relationships throughout the customer journey. As consumer expectations evolve, Twilio continues to focus on equipping businesses with necessary communication tools.