8 in 10 Singaporean businesses have evolved significantly in the past 4 years amidst emerging trends: report

Singapore – 8 in 10 companies in Singapore are transforming their business models in response to global megatrends such as generative AI and changing customer expectations, according to a report by customer platform HubSpot.

With this in mind, HubSpot’s research stated that a significant majority (81%) of Singaporean businesses said that they’ve evolved more in the past four years than the previous two decades due to these emerging trends – giving the highest level of disruption across all countries surveyed.

The report also said that Singaporean companies are the most likely globally to feel that their current growth tactics are becoming less effective (71%) and are also the most likely across all countries surveyed to agree that the introduction of AI has required them to reinvent (82%) their business.

The study also found out that Singaporean companies were struggling to meet demands for multi-channel content, with 82% sharing a need for tools to help remix content from one format or channel to another. Singapore is also the most likely across all countries surveyed by HubSpot to cite an increasing number of channels as a pain point (40%).

Furthermore, a separate HubSpot study revealed that 92% of Singapore companies agree that consumers find customer service interactions frustrating, and that 81% of Singapore companies consider customer service and customer success separate functions with distinct goals and responsibilities.

This hinders visibility and the flow of information across customer facing teams, impacting the ability to deliver impactful, personalised customer service. Common challenges faced by customer service teams in Singapore include extracting meaningful insights from customer data (49%), tracking KPIs (46%), ensuring alignment of customer service goals with overall business objectives (38%), as well as ensuring agents have access to accurate and relevant information (34%).

Aligning with Singapore’s strong national focus on AI, the study uncovered that nearly all (96%) local companies are using AI as part of the customer service process. To transform customer service into a more proactive function, about two thirds of (66%) CX teams in Singapore are implementing predictive analytics and AI-driven tools to better anticipate customer needs.

With all this in mind, HubSpot has announced the launch of the new Service Hub and Content Hub. These tools are designed to help local businesses deliver streamlined, personalised customer experiences, which 80% of local companies view as key to business growth. These solutions are part of HubSpot’s Spotlight, a bi-annual initiative where the company highlights its latest innovations to help SMEs win.

Talking about this, Kat Warboys, senior marketing director of APAC, HubSpot, said, “A combination of rising business costs, new technology and evolving customer expectations have impacted the effectiveness of conventional growth tactics among Singapore’s businesses, accelerating a need for reinvention. Our research shows that a majority of local businesses agree that personalised, impactful customer experiences, powered by AI and automation, will be vital to their growth in 2024.”

“Long term success will be determined by the ability of businesses to effectively engage with their audiences across multiple channels throughout the customer journey, and demonstrate value to customers to maximise retention,” she added.