Businesses in the Philippines are seeing real benefits from using artificial intelligence (AI) to improve customer engagement, but new findings suggest that building trust with consumers remains a challenge.
According to the 2025 State of Customer Engagement Report by customer engagement platform Twilio, 97% of Philippine companies say AI is already helping improve customer-facing operations, including support, marketing, and personalization. About 63% of these businesses report faster response times, and 57% see improved customer satisfaction.
“Filipino consumers have embraced brands that use AI, but there’s a major caveat: engagement must feel natural and be grounded in trust,” said Nicholas Kontopoulos, VP of Marketing for Asia Pacific & Japan at Twilio.
As AI use grows, local consumers are calling for more transparency. About 71% of Filipino consumers want clearer terms and conditions, and 68% want to be told when they are speaking with AI, the highest rate among Asia Pacific countries surveyed.
“This year’s report shows that while brands are taking engagement up a notch, technology alone isn’t the answer,” Kontopoulos said. “Filipino consumers are leading the region in calling for transparency, and the companies that step up will truly unlock the potential of AI and earn customer loyalty.”
The report, based on a global survey of more than 7,600 consumers and over 600 business leaders across 18 countries, found that 53% of brands now use AI for personalized experiences. Among those, half report increased customer spending. But 57% of businesses face security issues, while 47% struggle with data accuracy.
Trust remains a weak spot. Only 20% of Filipino consumers say they “absolutely” trust brands with their data, and 63% believe their data isn’t used in their best interest. Most want control over personalization and prefer to interact through their chosen channels, whether social media, email, text, or voice.
Despite the progress, 80% of Filipino consumers say it’s important that AI interactions feel human.
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