Bringing the customer back to the customer experience

We’ve all experienced bad customer service. I tried to resolve a billing issue when I ordered some camping gear online. After hours on hold, I was told everything was fixed and I would receive a follow-up email within 24 hours. Days passed and nothing happened. When I called back to confirm, there was no record of my past conversation and I had to start the process all over again. How can a company claim to offer “exceptional” service when customers are stuck in this cycle of frustration? Customer experience (CX) has become a critical measure of brand success. Despite having access to advanced tools, many companies still do not succeed.

According to Twilio’s 2024 State of Customer Engagement Report (SOCER), 84% of businesses believe they offer “good” or “excellent” customer engagement, but only 54% of consumers agree. The disconnect is evident while companies think they are excelling, their customers often feel left out.

Many brands overwhelm customers with irrelevant ads, inconsistent messaging and impersonal interactions. To improve CX, companies must leverage real-time data and AI-powered tools to deliver seamless, personalized experiences that meet modern customer expectations.

Why does the CX feel disconnected

Today’s customers interact with brands across multiple channels – social media, apps, websites, in-store and more. They expect interactions to be easy and seamless. However, this is where many brands falter. Forrester’s 2024 US Customer Experience Index noted that while emotion remains the key factor for delivering high levels of CX performance, US brands are struggling to emotionally connect with customers.

“What customers want is a brand that recognizes their unique needs and anticipates them in ways that make life easier and more enjoyable,” says Chris Koehler, CMO of Twilio. Twilio offers businesses a Customer Engagement Platform (CEP) that enables personalized interactions. He adds, “Imagine a brand that proactively checks when you have problems with a product or notifies you of potential service issues before they ruin your day. These thoughtful moments foster trust, create loyalty, and provide relief instead of frustration.”

Without this level of connection, brands risk alienating their customers. Social media complaints go unanswered, follow-up emails lack context, and chatbots fail to escalate issues to human agents seamlessly. Such loopholes don’t just annoy customers—they drive them away.

While automation can improve efficiency, the human touch remains essential to building trust and loyalty. A recent survey by Prosper Insights & Analytics reveals that consumers increasingly demand human interaction in customer service: 86.4% prefer to engage with a live person for banking, 88.5% for healthcare and 81.9% for related concerns. the journey. To meet rising consumer expectations and foster lasting relationships, brands must strike the right balance between automation and personalized, human-centered service.

The need for customization goes beyond convenience—it’s a business imperative. Twilio’s SOCER confirms this, revealing that:

• 61% of consumers would stop using a brand that fails to deliver personalized experiences.
• 40% of customers actively seek alternatives when brands fail to personalize in real time.
• 31% admit they switched to a competitor because of a lack of personalization.

Successful CX strategies require a blend of human interaction and technology-powered personalization. When brands use technology to understand and anticipate customer needs while delivering authentic and empathetic experiences, they bridge the gap between data-driven insights and emotional connection—earning trust, loyalty, and long-term customer satisfaction.

The power of unified customer data

Great CX starts with a clear understanding of the customer. This starts with merging data from every interaction – online or offline – into a single, comprehensive profile.

“When you connect the dots across customer touchpoints, you’re not just creating a better experience, you’re showing customers that they matter,” says Koehler. “It’s about anticipating their needs and delivering experiences that feel thoughtful and relevant. When brands achieve this, they transform routine transactions into moments of connection that drive loyalty and long-term relationships.”

Fender, the guitar manufacturer, is known for instruments, amplifiers and digital innovations like the Fender Play music lessons app. By harnessing the power of unified customer data, Fender transformed its digital experiences to increase engagement and personalization. Fender created a more tailored learning experience for users of its apps by consolidating customer knowledge into a single platform—resulting in a 29% reduction in churn and a 5% increase in active paying users. This approach also enabled Fender to deliver better communications, such as personalized emails informed by user progress and preferences. These efforts fostered greater loyalty, improved customer satisfaction and increased lifetime value.

Customers don’t think in “channels”. They expect seamless and unified interactions across platforms—whether browsing an app, engaging a live agent, or receiving marketing emails. Customer Data Platforms (CDPs) make this possible by consolidating data into a central hub. This integration enables consistent messaging across channels and operational efficiencies, such as unified inventory management.

For example, if a customer abandons an online cart, a CDP can trigger a personalized email follow-up and ensure sales associates are prepared for in-store interactions. Companies track metrics like Net Promoter Score (NPS), Customer Effort Score (CES) and Customer Lifetime Value (CLV) as they reflect this complete customer journey – not just isolated touch points – these are critical for success.

How AI drives CX

Artificial intelligence has emerged as a critical enabler of smarter and more efficient CX, allowing businesses to scale personalization and engagement in unprecedented ways. Using predictive analytics, machine learning and automation, brands can:

1. Anticipate customer needs and provide tailored recommendations.
2. Streamline operations by automating routine queries.
3. Enhance human connections where sensitivity and nuance are required.

For example, AI-powered chatbots can manage simple tasks — like tracking orders — while agents handle more sensitive issues that require a human touch. This balance ensures that every customer receives meaningful support.

AI-driven tools like CDPs and customer engagement platforms (CEPs) can bridge data silos, with 47% of brands planning to integrate AI into their CDPs or CEPs by 2025 to improve data interoperability and customer engagement. However, as organizations adopt these technologies, they must address a growing concern: customer privacy.

Trust is the foundation of customer loyalty, and organizations that implement AI with privacy and security as core priorities are better positioned to build and maintain it. This focus is essential because according to a recent survey by Prosper Insights & Analytics, nearly 87% of respondents expressed concerns about their privacy being violated by AI. These concerns highlight the importance of transparency and ethical AI practices in fostering trust.

In addition to building trust, AI offers practical advantages that increase service quality, especially during times of increased demand. Automated workflows and actionable insights allow businesses to efficiently manage peak periods without sacrificing quality of care. By balancing automation with human connection and prioritizing responsible data practices, AI empowers brands to deliver exceptional experiences at scale.

Looking Ahead: A Return to Customer Focus

To truly improve the customer experience, brands must focus on creating personalized, seamless interactions by unifying customer data and using AI to predict needs. While technology is essential to efficiency, human connection remains essential to building trust and loyalty. Brands must balance automation with empathy to create meaningful and personalized experiences. Additionally, prioritizing privacy and transparency in the use of AI is essential to maintaining customer trust. In today’s competitive marketplace, companies that effectively combine technology and the human touch will foster deeper relationships, stand out from the crowd, and drive long-term success.