Australian consumer trust in companies is at a record low, and yet younger Australian consumers are among the most enthusiastic globally about the use of autonomous AI agents in their shopping experiences. That’s according to the latest Australian data from Salesforce’s State of the AI Connected Customer research that has revealed just how local consumers are reacting to AI.
While three-quarters of Australian consumers say they trust companies less than they did a year ago, a further sixty-nine per cent believe that advances in AI make trust even more important.
With AI agents on the rise, the findings point to real opportunities for companies to win back consumers with trustworthy AI agents this holiday season. In Australia, this opportunity is greatest with Gen Zers: 44 per cent of local Gen Z consumers say they’d be comfortable having an agent shop for them. This was the third-highest response across all the countries surveyed, with only Gen Zers in Ireland and Norway more comfortable.
Faced with a challenging holiday shopping season and sinking consumer trust, brands can’t afford to get AI wrong – especially as more than $200 billion in global online sales will be influenced by AI this holiday season. AI agents, or intelligent software that understands and responds to customer inquiries without human intervention can help companies drive higher margins and keep consumers buying by delivering incredible customer service. From alleviating clunky purchase experiences to difficult return processes, there’s an agent for that. But to build trusted customer relationships, brands need trusted AI agents that are grounded in transparency and the right data.
Some of the other key findings of the AI Connected Customer research include:
Australian consumers trust less, expect more
Australian consumer trust is at its lowest point in eight years, and advances in AI make earning that trust more critical than ever; sixty-seven per cent of those surveyed said that they feel companies are reckless with customer data
It’s not just about trust, as local consumers also expect best-in-class experiences.
- 78 per cent of Australian consumers expect consistent interactions across departments
- While 70 per cent of consumers prefer using fewer touch points to get information or complete a task
While better deals are a top driver for consumers to switch to a new brand, customer service experience, convenience, and consistent product or service quality drive more long-term brand loyalty.
- 50 per cent of Australian consumers say poor customer service experience will stop them from making a repeat purchase from a company or brand
- 41 per cent of local consumers who were surveyed say that inconvenience, such as a difficult return process or clunky purchase experience, will cause brands to lose them
Australia’s younger consumers are most open to AI agents
The research shows Gen Zers and millennials are more willing than older generations across Australia to use AI agents to improve their customer experience by creating more personalised or useful content.
Younger generations, in particular, hold companies to a higher standard when it comes to adapting to and anticipating their needs:
- 53 per cent of Gen Zers and 52 per cent of Australian millennials say AI raises the bar for customer experiences
- That’s compared to just 25 per cent of baby boomers.
Gen Z and millennial consumers are more likely than older generations to consider the benefits provided by agents.
Transparency is key to building consumer confidence in the AI agent era
Despite the promise of young shoppers, many consumers haven’t made up their minds on AI yet. More than a third of Australian consumers are neutral about AI’s impact on their personal or professional lives.
In fact, many local consumers feel a mix of suspicion (47 per cent) and curiosity (42 per cent) about the future of AI—revealing a ripe opportunity for companies to help consumers see and understand the benefits of AI agents.
- 39 per cent of Australian consumers would work with an AI agent instead of a person to avoid repeating themselves
- 35 per cent of consumers – even more among Gen Z (48 per cent) and millennials (45 per cent) – would work with an AI agent instead of a person for faster service
- More than a quarter (29 per cent) of consumers — even more among Gen Z (41 per cent) and millennials (38 per cent) – would share their personal information with an AI agent so it can better anticipate their needs
To build confidence in the agent experience, businesses need to bridge the trust gap through more transparency.
- 79 per cent of consumers want to know if they’re communicating with an AI agent
- 59 per cent are more likely to use an AI agent if there’s a clear escalation path
- 54 per cent are more likely to use an AI agent if its logic is clearly explained
“This year we will see a clear gap between the AI haves and have-nots. Consumers have had enough of disjointed experiences across channels and touchpoints, and the brands who are embracing Agents and AI are going to be the likely winners in this years shopping season,” said Kev Doyle, regional vice president – Data Cloud & AI (ANZ & ASEAN).
“Many of our customers prefer to have a digital experience first, whether that is in customer support or as part of their purchasing consideration. Across every facet of that journey, we want the experience to be a positive one,” said Rudi Khoury, chief digital officer, Fisher & Paykel Appliances.
“Our focus at Fisher & Paykel is to meet these customer expectations head-on in a trusted way. We want to give them an experience where they can use our agents to get the support they need – quickly, easily, and accurately.
“For us, it’s about giving our customers the best experience that meets them where they are, and continuing to deliver improvements that make every interaction with us simple.”
Data is from a double-blind survey of 15,015 consumers conducted between 26th July – 16th August 2024, including more than 1000 from Australia. The figures have been weighted and are representative of all Australia, Brazil, Canada, Denmark, Finland, France, Germany, India, Ireland, Italy, Japan, Netherlands, Norway, Singapore, Spain, Sweden, UK, and US adults (aged 18+).