SINGAPORE: The recent report from Salesforce published by the Singapore Business Review reveals a significant decline in consumer trust in Singapore companies over the past year.
Nearly 74% of individuals have expressed less confidence in these firms compared to a year ago.
The primary driver of this scepticism appears to be concerns over how organizations manage sensitive customer information. According to the Salesforce survey, 61% of consumers believe companies are acting recklessly with their data, eroding trust and highlighting the need for stronger data protection practices.
Consumers demand seamless, efficient interactions
Beyond issues of trust, the survey also found that 75% of Singapore consumers want smoother, more seamless interactions with companies across all departments.
The growing preference for fewer touchpoints in the customer journey is evident, with 71% of respondents indicating they prefer fewer steps to complete their tasks.
This desire for simplicity and efficiency extends beyond trust concerns, underscoring the need for businesses to streamline their processes to meet customer expectations.
In addition, the report highlights the crucial role of customer service in shaping consumer loyalty. Over half of respondents (54%) say that poor customer service would prevent them from making repeat purchases, while 48% are deterred by inconveniences such as complicated purchase or return processes.
These findings point to a broader shift in consumer behaviour — customer satisfaction is not just about a good product but also about the ease and quality of the service provided.
AI-driven solutions
Interestingly, the report also reveals a growing acceptance of artificial intelligence (AI) as a solution to these challenges. Younger generations, particularly millennials and Gen Z, are more open to using AI for personalized content.
Over half of millennials (53%) and nearly half of Gen Zers (47%) are willing to engage with AI-driven agents, compared to just 36% of baby boomers. This shift reflects the increasing comfort of younger consumers with technology and their desire for tailored, efficient experiences.
Millennials, in particular, appear to have higher expectations, with 37% indicating that AI can significantly raise customer experience standards.
This finding points to an opportunity for businesses to leverage AI to address customer service pain points and improve overall satisfaction.
As younger consumers drive the demand for personalized, seamless service, organizations may need to invest more in AI-powered tools to stay competitive and meet evolving expectations.
As companies in Singapore navigate these challenges, the demand for transparency, efficiency, and innovation in customer service is clear.
Whether through better data protection or the integration of AI into the customer experience, businesses must act swiftly to regain consumer trust and meet the heightened expectations of today’s consumers.