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The new global survey spoke to 18,000 consumers across 13 countries ( including 1,000 in the UAE ). Some 85 % of UAE consumers – 11 percentage points higher than the global average – said they are less loyal to brands than they were two years ago .

In a dive into the factors determining loyalty , ServiceNow found cost to be the biggest driver , with 40 % of UAE consumers telling researchers that they are less willing to stay loyal to brands because they shop around for the cheapest option . In another finding , 73 % of respondents reported spending more this year compared to 12 months ago and 54 % of these higher spenders attributed their behavior to rising costs . Not surprisingly , when UAE consumers were asked what they would like to see brands prioritising over the next 12 months , the top answer ( 42 %) was price reductions .

Another driver of declining brand loyalty is that UAE consumers place a high premium on customer service . Ninety-one percent said they were likely to switch brands following a poor customer experience and 23 % of UAE consumers said they are less loyal to brands than they were two years ago because they have had disappointing experiences with companies .

“ Brands in the UAE need to be at the top of their game ,” Ali Kaddoura , Country Manager – UAE at ServiceNow , said . “ And while cost is important , brands must pay attention to other aspects that can set them apart from competitors who are just a click or swipe away from the modern consumer . Service must include exceptional streamlined experiences , both human and automated , at every touchpoint along the customer journey .”

The research also uncovered some very interesting insights as it relates to the role of AI in customer service . While most companies are racing to invest in more automated channels like chatbots , 77 % of UAE consumers said they wouldn ’ t engage with a brand using AI , for at least some services , with 32 % citing the lack of personalisation and 20 % saying they don ’ t trust the answer they will get .

The findings also showed a preference for human-to-human interaction among UAE consumers . Fifty-eight percent said they ’ d like to see all brands offer full 24 / 7 customer service and 52 % said they ’ d like to see a return to human-based customer service to minimise automated routes , in the next year .

These findings are in stark contrast to employee sentiment on AI , which is overwhelmingly positive , based on a separate ServiceNow research study from just this past December . In that study , almost three-quarters ( 74 %) of UAE employees – 26 percentage points higher than the EMEA average – saw AI as the biggest opportunity for the future of the workforce , especially due to its capacity to boost productivity . x

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