Marketing leaders are under pressure to deliver hyper-personalised, seamless customer engagement – yet many brands are still falling short, according to Twilio’s latest State of Customer Engagement Report.
The research, which surveyed over 1,000 consumers and 600+ business leaders across 18 countries, has found a striking gap between brands’ self-perception of being ‘customer-obsessed’ and customer’s reality.
New Digital Age spoke with Chris Koehler, CMO of Twilio, to find out more…
Tell me about your role as Twilio’s CMO – what sort of thing takes up most of your attention?
A key element of my role involves connecting the dots between marketing, sales, product, and customer service teams. Organisations are able to work at their best when these departments can share data and insights with each other in real time. Tapping into this data to be able to pivot, personalise, and pause when necessary is a real asset. Having worked across various roles and departments in my career has given me valuable insight on how these different departments work, and how they need to be aligned on priorities to work towards the same goals. Sharing insights across functions is a great place to start.
AI is naturally front and centre in my mind, too. It will give us abilities we can only imagine today, so we need to future-proof ourselves to become AI-first marketers. This is something myself and our new Senior Director of Marketing Innovation are prioritising. For example, in the not-so-distant future, we’ll benefit from instant, dynamic segmentation that adapts in real time, predictive lead scoring that identifies opportunities before competitors spot them, and campaigns that continually self-optimise for maximum relevance. With this in mind, we need to challenge existing best practices and reimagine what our roles could be, while ensuring responsible scaling that considers privacy, security, and compliance.
However, it’s important to remember that AI is an assistant, it’s not a replacement for marketers. AI doesn’t have the creative spark that human beings have. It can create a starting point for campaigns and audiences; be used in content creation, design, brainstorming; and enable marketers to do better work – not more work with less people.
Finally, attending customer meetings around the world is also a big priority of mine. This is how I hear first-hand how Twilio can better support them, and then bring those insights back to HQ. This, in part, is how we disrupt the status quo and bring bold ideas to the table.
Why did Twilio commission the recent State of Customer Engagement Report?
Now in its sixth year, Twilio’s State of Customer Engagement Report offers a global lens on the shifting relationship between brands and consumers. Commissioned to uncover how emerging trends are reshaping customer loyalty and interaction, the report explores the transformative roles of AI, personalisation, and trust – and how businesses are adapting in response.
For example, we found that AI is delivering clear ROI – 96% of companies report improvements in customer-facing operations and 75% see increased spend from personalisation – but too many consumers claim that brands still don’t understand them. It’s this disconnect that we want to understand, and help businesses close.
How is AI underpinning a shift from personalisation to individualisation?
AI plays a pivotal role in accelerating the shift from broad personalisation to true individualisation, where experiences are uniquely tailored to each customer. While personalisation relies on assumptions, individualisation leverages contextual data – both explicit (what customers say) and implicit (how they behave) – to create deeply relevant interactions.
Despite the wealth of data businesses have access to, only 45% of customers feel seen and heard by the brands they engage with. AI can change that by unlocking richer, more meaningful engagements. Instead of guessing, marketers can use AI to build dynamic profiles based on behavioural signals and direct feedback – responding not to assumptions, but to what the customers actually tell us.
The real opportunity with AI lies in its ability to adapt in real time, turning insights into action at scale. At Twilio alone, we’ve seen a 75% reduction in the time needed to send a highly personalised email campaign using Generative AI capabilities. But this marketing isn’t just faster – it’s exponentially smarter and more intuitive. Marketers can run countless individually tailored marketing campaigns, moving beyond generic marketing messaging to connect with each customer in a way that truly resonates.
It’s all about context – understanding not just who someone is, but what they need in the moment. That’s the future of customer experience, and AI is making it possible.
What does the shift from third-party to zero-party data mean for trust and consent?
It marks a critical turning point in how brands build trust with their customers. For too long, marketers have relied on third-party data – information gathered from third parties without direct consent – which can feel invasive and even “creepy” to consumers. When a brand knows something about you that you didn’t explicitly share, it casts doubt and undermines trust.
Zero-party data, by contrast, is data that customers willingly and proactively provide. It’s rooted in consent and transparency. With the rise of Customer Data Platforms (CDPs), marketers now have the tools to capture and act on this data responsibly, creating rich profiles that reflect what customers want us to know about them.
But trust isn’t just about collecting data – it’s about using it well. If a customer shares information and it doesn’t lead to a better experience, they’re left wondering: why did I bother? That’s why it’s essential for brands to not only respect privacy and consent but also to deliver value in return. When customers see that their data is being used to improve their experience, trust and loyalty grows. And that’s the foundation of lasting relationships.
You believe that CMOs and other executives need to get back in touch with real customer needs through direct interaction – why do you feel that way and what do you mean by “direct interaction”?
Too often, executives talk about being customer-obsessed without actually engaging with customers themselves. That disconnect can lead to missed opportunities and misaligned strategies. Direct interaction means stepping out of the boardroom and into real conversations – asking customers what’s working, what’s not, and what they wish we’d do differently.
At Twilio, we make this a priority. Whether it’s hosting events like our SIGNAL customer conference or traveling globally to meet hundreds of customers each year, we believe in hearing feedback firsthand. One of the most powerful questions our CEO often asks is, “What can we do better?” It’s simple, but it opens the door to honest, actionable insights. This year so far, I’ve met customers in various industries across the world – from retailers and banks to utilities and telecommunications brands. Each customer’s needs are different, and Twilio engages with them directly to address their individual pain points and opportunities.
When leaders engage directly, they gain an unfiltered view of the customer experience. It helps us build better products, forge stronger, open partnerships, and ultimately become more empathetic and effective leaders.
