Customer Engagement Can Drive Revenue Growth and Support Financial Goals

Twilio Releases Research on Personalization, Data Privacy and Trust

Customer engagement research

Even with challenging economic conditions, new Twilio research shows that companies that invested in customer engagement reaped rewards, with 80% meeting financial goals. Data from Twilio’s fourth annual State of Customer Engagement Report reveals that investment in digital customer engagement increased brands’ revenue by 90% on average, up from 70% last year.

Amid the now heavily repeated theme of companies needing to do more with less this upcoming year, customer engagement platforms that can support real-time personalization will be important as consumers spend on average 21% more on brands that personalize, and 86% of respondents report personalized experiences increase their loyalty to brands. It is not something companies can afford to let languish, as 66% of consumers claim they will stop using a brand if their experience is not personalized.

“In this macroeconomic climate, every business is looking to do more with less budget,” says Joyce Kim, chief marketing officer at Twilio. “This research reflects what we’re hearing across our customer base, which is that when brands use first-hand data to personalize engagement with customers, it saves companies meaningful marketing spend and increases lifetime value. For brands facing growing headwinds, this means ROI today.”

The survey is based on data from more than 4,700 B2C leaders in different business sectors around the world, plus a parallel survey of over 6,000 global consumers. There is also data from Twilio’s own customer engagement platform, including Twilio Segment.

Related article: Twilio-Qualtrics Integration Supports Enriched Customer Profiles

Other points of interest include:

  • Six out of 10 companies report that investment in digital customer engagement improved their ability to meet changing customer needs.
  • 51% of consumers report being frustrated with their interactions over the past year, rising from 46% the year before.
  • Nearly one-third of consumers always or often reject cookies on websites, while nearly two-thirds (65%) of consumers would prefer brands use only first-party data to personalize their experiences. Meanwhile, eighty-one percent of brands are still reliant on third-party data.
  • 95% of consumers want more control over their customer data, placing top priority on “identity data.” Four in 10 consumers say they have stopped doing business with a brand after their expectations for trust and privacy were not met.

Those companies identified by Twilio as engagement leaders, meaning they have the most mature use of personalization and first-party data as well as high level of digital engagement, had higher revenue growth compared to those who have less advanced customer engagement strategies. Customer retention statistics and customer conversion rates were also more favorable in comparison to companies with less advanced strategies.

Delivering relevant content, product offers, and support resources can improve targeting and reduce costs involved with traditional sales and marketing. Leveraging experience technologies and solutions is an important strategy for managing economic downturns. If chosen and implemented well, personalization & optimization technologies can result in deeper loyalty, higher retention, and more seamless customer acquisition.

Author Information

As a detail-oriented researcher, Sherril is expert at discovering, gathering and compiling industry and market data to create clear, actionable market and competitive intelligence. With deep experience in market analysis and segmentation she is a consummate collaborator with strong communication skills adept at supporting and forming relationships with cross-functional teams in all levels of organizations.

She brings more than 20 years of experience in technology research and marketing; prior to her current role, she was a Research Analyst at Omdia, authoring market and ecosystem reports on Artificial Intelligence, Robotics, and User Interface technologies. Sherril was previously Manager of Market Research at Intrado Life and Safety, providing competitive analysis and intelligence, business development support, and analyst relations.

Sherril holds a Master of Business Administration in Marketing from University of Colorado, Boulder and a Bachelor of Arts in Psychology from Rutgers University.

SHARE:

Latest Insights:

Oracle Database@AWS Launches in Virginia and Oregon With More Regions on the Way, Bringing Exadata and Autonomous Database Capabilities to AWS Customers
Brad Shimmin, VP and Practice Lead at Futurum, shares his insights on Oracle Database@AWS, which brings Oracle’s Exadata and Autonomous Database services directly to AWS data centers with AI and zero-ETL capabilities.
Dell and CoreWeave Partner To Deploy NVIDIA GB300 NVL72 Systems, Signaling the Upcoming Ramp-up of GB300 in Q4 2025
Ray Wang, Research Director at Futurum, shares insights on Dell’s early deployment of NVIDIA GB300 NVL72 systems with CoreWeave. The launch sets a new standard in rack-scale performance for AI reasoning and cloud infrastructure.
Ruba Borno and Karan Batta delve into the innovative Oracle Database@AWS offering, exploring its impact on accelerating cloud migrations for enterprise workloads.

Latest Research:

In our latest Market Brief, From Data Chaos to AI Clarity: Activating AI Through High-Quality Enterprise Data, published in partnership with IBM, Futurum explores the core challenges enterprises face in deploying AI and presents a blueprint for overcoming them through smarter data strategies and tools.
In our latest market study, Scaling Smarter: How Google Cloud Marketplace Is Reshaping Partner Sales and GTM Strategy, Futurum uncovers the strategies and results from top-performing ISVs and channel partners leveraging the Google Cloud Marketplace as a transformational sales platform.
In our latest market brief, Unlocking the Future of Hybrid Cloud with Red Hat OpenShift Virtualization, developed in partnership with Red Hat, The Futurum Group outlines the evolving virtualization landscape, the economic and operational drivers behind infrastructure modernization, and the technical innovations powering OpenShift’s hybrid cloud strategy.

Book a Demo

Thank you, we received your request, a member of our team will be in contact with you.