CX strategies in the Asia-Pacific (APAC) region are evolving on a continual basis. One of the key drivers of this constant reshaping is the dynamic nature of consumer behavior.
Solid evidence of this can be found in the results of our research into the Global State of CX, which revealed significant shifts in consumer expectations and demands in the Asia-Pacific region.
Earlier this year, we asked our network of customer experience practitioners across the APAC region to tell us which three customer behaviors are influencing their CX strategy the most. In this article, we explore what they told us.
1. Customers want convenience
Our survey revealed customers’ demand for convenience to be the top driver of significant changes in regional CX strategies, highlighted by 60 percent of survey respondents.
Examples of companies responding to this demand include Grab and GoJek, which have pioneered the super-app model, integrating various services such as ride-hailing, food delivery and digital payments into a single platform.
Similarly, e-commerce giants like Tokopedia and Shopee in Indonesia have capitalized on the trend by offering features such as same-day delivery and user-friendly mobile interfaces, making online shopping more accessible and efficient for consumers. This focus on convenience is increasingly valuable in securing competitive advantage within a region where consumers prioritize quick and hassle-free access to products and services.
RELATED CONTENT: 5 CX trends changing the roles
of APAC practitioners
2. They also expect instant service and delivery
Consumers in the APAC region have developed high expectations for instant service and delivery, a trend that was accelerated during the Covid-19 pandemic: this year as many as 44 percent of respondents said their approach to CX was influenced by this demand.
To meet these expectations, companies have made substantial investments in logistics and technology. JD.com in China, for example, utilizes advanced robotics and a vast network of warehouses to ensure same-day delivery in major cities. In Australia, Woolworths’ online shopping service offers a ‘Delivery Now’ service, promising delivery within two hours, to cater for the need for immediate fulfillment of orders.
These innovations reflect a broader trend in the region where businesses are leveraging technology to optimize their supply chains and improve delivery times.
Additionally, the use of portable payment devices in physical stores – such as Swiss sportswear brand On’s flagship outlet in Tokyo – has reduced wait times and enhanced the overall shopping experience, making it more convenient for customers to make purchases quickly and efficiently.
RELATED CONTENT: Lorna Jane’s mission to provide
a seamless customer journey
3. Customers are aware of how AI works/uses their data
As consumer awareness of artificial intelligence (AI) grows, as many as 33 percent of our practitioner network said this is influencing work.
As a result, an increasing number of APAC businesses are becoming aware of the importance of adopting ethical AI practices and improving communication about data security measures to maintain customer trust. This shift towards responsible AI usage is becoming a key component of customer engagement strategies, as informed consumers expect businesses to adopt AI while handling their data with care and transparency.
Companies like Alibaba have been transparent about their AI-driven recommendation engines and chatbots that enhance the shopping experience on platforms like Tmall and Taobao.
Similarly, Grab provides clear explanations of its AI functionalities for ride allocation and customer support, which has helped to foster strong stakeholder relationships.
RELATED CONTENT: The rise of the multi-brand loyalty program
in the APAC region
4. Customers also using AI for their service and sales interactions
The integration of AI into customer service and sales interactions has gained significant momentum in the APAC region and 33 percent of practitioners said this has influenced their approach to CX.
Samsung, for example, uses AI-powered chatbots and virtual assistants to handle customer inquiries and provide support across its product lines, with the intention of significantly improving response times and customer satisfaction. AirAsia has implemented an AI-driven chatbot named Ada, which handles flight bookings, inquiries and customer service, enhancing the efficiency of their operations and providing quick solutions to customer issues.
These AI applications not only streamline processes but can also offer personalized experiences, allowing businesses to better understand and meet customer needs.
As AI technology continues to evolve, more companies in the region will be expected by customers to adopt similar solutions to enhance their service and sales interactions. This will give them the dual benefits of improved operational efficiency and the ability to deliver superior customer experiences.
RELATED CONTENT: The top 20 CX leaders in financial services
5. Demand for data/communications security
The increasing reliance on digital platforms has heightened the demand for data and communications security among APAC consumers and 29 percent are influenced by this customer demand.
Financial institutions like DBS Bank in Singapore and ICICI Bank in India have responded by implementing advanced cybersecurity measures to protect customer data.
DBS Bank, for example, uses sophisticated encryption technologies and multi-factor authentication to secure online transactions and communications, addressing the rising concerns about data privacy and cyber threats. Similarly, ICICI Bank has enhanced its security protocols to ensure robust protection of customer information.
This focus on data security is critical in APAC and beyond, as consumers – quite rightly – become more vigilant about how their information is handled. Companies should prioritize strong cybersecurity measures and transparent communication about data protection practices to maintain customer trust and also comply with any relevant regulatory standards.
As data breaches and cyber threats become more sophisticated, robust data security strategies are essential for safeguarding customer information and ensuring the integrity of digital interactions, as well as building all-important consumer trust.
RELATED CONTENT: Five insights on the state of CX in 2024
6. Use of social media for product/service research
Social media has become a pivotal tool for consumers in the APAC region, with the most popular platforms frequently used for researching products and services prior to purchase. Our research found 29 percent of respondents see this as one of their top-three customer behavior trends.
Platforms like Facebook, Instagram and TikTok are widely used for this purpose and, in turn, companies are increasingly leveraging these platforms to engage customers.
This engagement helps consumers make informed decisions and enhances brand visibility. Lazada, for instance, uses live-streaming events where influencers review products and interact with viewers in real-time, making it an effective tool for product discovery and customer engagement.
These customer strategies are crucial for reaching digitally savvy consumers who rely on social media platforms as their first port of call. By integrating social media into their CX strategies, businesses can effectively connect with potential customers, build brand loyalty and drive sales in a highly competitive market.