5 customer data developments changing CX in APAC

The Asia-Pacific (APAC) region is witnessing a transformation in customer experience strategies as companies harness the power of customer data and advanced analytics.

With rapid digital adoption and evolving consumer expectations, organizations are deploying AI-driven tools to personalize interactions, optimize in-store and digital touchpoints, and gain a unified view of customer behavior. This shift is not just about adopting new technologies; it’s about leveraging data to unlock actionable insights and align CX strategies with consumer demand.

From personalization to enhanced decision-making and robust data governance, these trends are enabling APAC companies to remain competitive and meet the rising expectations of a digitally savvy customer base.

In addition, businesses are increasingly using data to map out the entire customer journey, identify key touchpoints and deliver more tailored, responsive experiences that build stronger relationships and drive brand loyalty.

However, doing this requires data to be accurate, unified and actionable – and according to our research into the Global State of CX this year, this work presents a huge challenge to practitioners, particularly if they work in companies that operate through legacy IT systems.

Here, we explore five key customer data trends shaping the future of CX in the region and showcase the businesses that are successfully embracing the power of the data they hold.

1. Personalization through AI and advanced analytics

AI-driven personalization is reshaping CX in the APAC region, enabling businesses to deliver tailored interactions that enhance engagement and loyalty.

For example, Pet Lovers Centre in Singapore uses AI-powered agents via Zendesk to manage high volumes of customer queries, providing quick resolutions and analyzing customer feedback to identify emerging trends​. This integration has enabled the company to refine its product offerings and marketing strategies based on real-time data.

According to IDC, 70 percent of APAC organizations are investigating AI for use cases such as knowledge management, with a view to enhancing customer journeys. Additionally, companies in the region are integrating AI with other technologies like chatbots, making it possible to automate routine tasks while maintaining a human touch.

The financial sector in China also leverages AI to personalize customer interactions. Generative AI tools are used for sentiment analysis and intent detection, improving the relevance and accuracy of responses.

Other sectors, such as retail and telecommunications, are adopting similar use cases. Brands are increasingly adopting AI to create dynamic, data-informed interactions that are specific to each customer’s preferences, leading to higher customer satisfaction and improved business outcomes​.

2. End-to-End journey optimization with data-driven insights

APAC businesses are focusing on refining the entire customer journey by using data-driven insights to enhance engagement. When CX Network researched the state of journey management in August 2024, we found 74 percent of surveyed organizations analyze data from customer surveys and feedback forms to gain insights into customer interactions, and therefore refine journeys and experiences.

This approach is helping companies across the region optimize touchpoints, ensuring smoother transitions between channels and more effective targeting. As a result, brands can experience a significant reduction in customer churn through improved journey mapping and campaigns that address specific pain points​.

By analyzing contact center data and social media interactions, for example, companies can pinpoint the root causes of customer dissatisfaction and develop targeted strategies to resolve them​. This approach not only improves service quality but also strengthens brand loyalty.

3. Unified customer view for seamless omnichannel experiences

APAC companies are making strides in creating a holistic view of the customer to deliver consistent experiences across various platforms. The seamless integration offered by omnichannel platforms can be pivotal in delivering consistent and cohesive customer journeys across multiple platforms.

By breaking down data silos, businesses can create a single source of truth that enables more personalized interactions across different channels. A unified customer view is essential for precise targeting and informed decision-making, particularly in sectors like retail and financial services, where customers interact through multiple touchpoints.

Dominik Olejko, a senior CX executive who has worked for brands such as IKEA, H&M and Decathlon says that to avoid bias, practitioners should ensure the data they are working with are diverse, representative and large enough to give an accurate portrayal of a situation.

“If the system does not have the relevant information it will come up with an answer that sounds super smart – and for you it might be very relevant – but it might not be true or it might not be representative enough.” In short, AI will always generate an answer, but the quality of the data it has used to reach the answer will dictate its accuracy.

Olejko says the “biggest winners” when it comes to using AI effectively, are not the organizations with the most data, but the ones that have the most organized data and have strong data governance policies in place. “When it comes to data organization and utilization, the arrival of AI shows us the winners [and losers] in the market. As they say, when the tide goes out you see who has been swimming naked.”

At the simplest level, Olejko says practitioners should maintain clear versioning to help manage updates and ensure data sets are fresh and accurate and all those in CX “need to understand how to talk to AI”. He says: “If you do not know what kind of questions should be asked, you can’t work with AI properly.”

Finally, data sources feeding into AI systems must be audited and updated regularly.

4. Enhanced decision-making through customer sentiment analysis

Sentiment analysis is playing a critical role in decision-making for APAC businesses. This is especially crucial in markets such as Singapore and Australia, where consumer expectations are high.

Advanced AI applications are enabling businesses to understand behavioral intent, allowing them to adapt their products and services in line with customer emotions and preferences. This is proving particularly effective in sectors like retail and hospitality, where real-time sentiment data can improve customer service interactions and boost loyalty.

These AI tools enable businesses to sift through large volumes of unstructured data, such as reviews and social media comments, to gain a deeper understanding of customer emotions. This capability helps companies proactively address issues and adapt their products or services accordingly.

5. Data governance and strategy for scalability and compliance

Robust data governance frameworks are essential for ensuring scalability and compliance as businesses in APAC increasingly rely on AI for CX initiatives.

Data privacy and security are becoming central considerations for CX leaders. As many as 84 percent and 93 percent of respondents in Singapore and Malaysia respectively acknowledging their responsibility to protect customer information​, according to Zendesk’s annual Customer Experience (CX) Trends Report, with the overall figure for the APAC region averaging 82 percent.

To address these concerns, companies are developing comprehensive data governance strategies that include clear policies on data usage, storage and sharing. This is especially essential in a business landscape that is increasingly regulated when it comes to customer information.

In Australia, the government has launched the Data and Digital Government Strategy, which aims to deliver a unified approach to data management across its public services by 2030. This strategy includes initiatives that focus on ensuring data privacy, security, and compliance while using data to create connected, efficient public services​.

By implementing robust data governance strategies that align with local regulations and international standards, APAC companies can ensure the scalability of their AI initiatives while safeguarding customer trust.

Advanced and robust

Overall, these trends demonstrate the critical role AI and data insights play in shaping customer experiences in the APAC region. By investing in advanced analytics and robust data governance, companies can deliver more personalized, efficient, and compliant experiences that not only meet but exceed customer expectations in a competitive marketplace.

Quick links

5 things to know about the state of CX in APAC in 2024

The five-year growth outlook for 11 key communication channels in APAC

5 CX trends changing the role of practitioners in APAC