How Outdated Processes Undermine Trust in AI-Driven CXs

While consumer trust in AI is growing, outdated forms, poor omnichannel experiences, and clumsy data intake processes are eroding confidence, especially in critical sectors like healthcare, banking, and insurance.

AI is making things easier, faster, and more personal. But when people are hit with clumsy forms or bounced between channels, all those promises start to feel empty.

In healthcare, banking, and insurance sectors, where trust matters most, these old-school processes don’t just slow things down. They quietly damage how much people believe in the tech meant to help them. 

That’s exactly what Smart Communications found in its 2025 Customer Experience Benchmark research. The survey of 3,000 consumers showed that while many are ready for AI in healthcare, banking, and insurance to improve their experiences, they are still frustrated by poor omnichannel service and outdated forms.

“Customers’ expectations are set by the best brands in retail, technology and eCommerce,” said Leigh Segall, CEO, Smart Communications. “When healthcare, banking and insurance organisations fail to meet these expectations, they risk losing customer loyalty and business.”

Satisfaction is Up, But Loyalty Risks Still Loom

In 2025, most consumers (62%) rated communications from these organisations as good or excellent, with significant improvements in each sector: satisfaction rates improved by 67% in banking, 46% in insurance, and 75% in healthcare. 

The survey also highlights the importance of customer communications in ensuring loyalty, driving referral business, and reducing customer churn. 

Nearly all respondents (84%) stated customer communications are important in their overall experience, and two-thirds (67%) would switch away from a company if communications didn’t meet their expectations. 

This year’s report highlights a warming of consumers’ overall attitudes towards AI, particularly when it comes to specific use cases. Half of all respondents would value AI being used to offer financial advice (46%), suggest insurance plan changes (51%), or make health recommendations (54%). 

Consumer confidence is strong, with less than a third of all respondents expressing hesitation over AI handling data securely (32%) or ethically (31%). People are also less likely to demand disclaimers of AI’s use in communications; only 37% stated its use should be called out, compared to 77% in 2024. 

However, increased comfort and trust do not mean increased confidence in quality. Only 13% believe that generative AI is better than humans at creating customer communications content, and nearly half (46%) stated humans should always check content suggested by generative AI. 

Inconsistent and Omnichannel Experiences Hurt Trust

While consumers’ improved attitudes towards AI offer encouragement, their feelings on omnichannel experiences should serve as a warning to organisations. Only half (54%) of consumers reported satisfaction with the quality of these experiences, while 60% said they would trust companies more if they offered a consistent omnichannel experience. 

The complexity of omnichannel communications was also reflected in the survey. Despite being the oldest age group surveyed, Silent Generation consumers (respondents between 79 and 97) were the most likely to prefer email communications (48%). 

Conversely, the youngest respondents – Generation Z – were the least likely to prefer email (39%). Bottom of the list for all generations was print, with just 12% of all respondents listing it as their preferred method of communication. 

Data intake remains a silent killer for CX. Two-thirds of all consumers (66%), including 73% of Millennials and 71% of Generation Zers, said they would end their interaction with a company if the data intake process were too difficult. 

The Trust Gap: How to Turn AI Readiness into Real Loyalty

To fix this problem, organisations should focus on speed and simplicity, which were ranked by 90% of all consumers as their priority when completing a form. Companies have an opportunity to transform the data intake process based on consumer preferences with guided, digital forms.

Nearly two-thirds of all respondents (63%) said they would prefer this process to a fillable PDF document, and 77% stated it’s important that companies offer some sort of digital data collection instead of manual processes that involve printing, scanning or mailing. 

“The data is clear: consumers are ready to see what AI can do,” said Leigh Segall. 

“Organisations have an opportunity to use this groundbreaking technology to create outstanding CXs that exceed consumer expectations. Our research shows them where to start, by orchestrating smarter omnichannel experiences.”

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