Twilio has unveiled new research indicating a significant disconnect between Asia Pacific (APAC) consumers and brands over AI interactions. The 2026 Customer Insights Series highlights that 70% of consumers have abandoned AI-powered customer service interactions because the AI failed to recognise them or recall previous interactions, with 5% severing ties with the brand entirely.
The report reveals that whilst 84% of APAC brands believe their AI systems effectively recognise returning customers, the reality for consumers is starkly different. Many find themselves starting anew with each interaction, leading to frustration and dissatisfaction. This issue, termed ‘AI amnesia’, is exacerbated when AI systems hand off to human agents, as 65% of consumers report needing to repeat information during these transitions.
Robert Woolfrey, Vice President, Asia Pacific & Japan at Twilio, emphasised the importance of context in AI interactions, stating, “AI is only as helpful as the context you feed it. By connecting customer data, brands can evolve from basic chatbots to smart assistants that remember every individual.”
The study also highlights a trust gap, with 70% of consumers wanting AI agents to identify themselves at the start of interactions, yet only 22% of businesses comply. As AI adoption grows, businesses are urged to prioritise transparency and control, with many already implementing features to build trust, such as explainability cues and easy access to human agents.
Looking forward, APAC business leaders anticipate AI agents will handle 65% of customer service interactions by 2027, up from 52% today. As AI-to-AI engagement becomes more prevalent, the focus will be on delivering context-aware and transparent experiences to earn consumer trust in an AI-driven future.
