Last month, India-based customer engagement and retention consulting firm WebEngage officially announced its expansion in Jakarta, Indonesia, as part of its broader Asia Pacific (APAC) expansion strategy.

The firm sees tremendous opportunities in the region to revolutionise how businesses engage with their customers by offering a comprehensive suite of tools to empower marketers to create personalised and effective campaigns.

According to Hetarth Patel, VP of Growth Markets (MEA, Americas, APAC), businesses, particularly in Indonesia, embrace digital-first strategies and increasingly prioritise customer engagement and retention.

“The growing internet penetration and mobile-first economy present a strong foundation for us to help brands unlock the full potential of their customer data through personalised, AI-powered engagement solutions,” he told e27 in an exclusive interview.

In this interview, Patel shares more details about the region’s opportunities, regional strategies, and long-term goals and the role of AI in enhancing customer engagement.

What specific opportunities or challenges do you see in Indonesia and the broader Asia Pacific market?

According to an IDC report, Generative AI investments in Asia Pacific are projected to reach US$110 billion in the next four years, with AI-powered insights and solutions expected to transform the future of business.

The growing internet penetration and mobile-first economy in APAC present a strong foundation for us to help brands unlock the full potential of their customer data through personalised, AI-powered engagement solutions.

However, the market’s diversity also brings unique challenges. Each country in the region has its own cultural nuances, consumer behaviour, and levels of digital maturity. This requires a localised approach to crafting engagement strategies that resonate with different audiences.

Additionally, while the digital transformation is accelerating, many businesses still face barriers to adopting advanced technologies like AI for personalisation. We aim to bridge this gap by offering tailored, insights-driven solutions that drive real business outcomes, helping brands navigate these complexities while achieving meaningful customer connections.

Indonesia has been identified as a key market for WebEngage. What unique customer engagement trends are you observing in Indonesia compared to other countries in Southeast Asia?

Indonesia is a vibrant, fast-evolving market, and we’re seeing unique customer engagement trends here that set it apart from other Southeast Asian countries.

One key trend is the mobile-first approach. With Indonesia’s high smartphone penetration and a predominantly young, tech-savvy population, businesses prioritise mobile as the primary channel for customer engagement. This drives the need for highly personalised, real-time interactions via mobile apps, SMS, WhatsApp Messaging, and other social platforms.

Another trend is the increasing focus on hyper-localisation. Indonesian consumers respond well to content and experiences that resonate with their specific cultural and regional contexts, and brands are tailoring their messaging accordingly.

Additionally, there’s a strong emphasis on building loyalty programmes and retention strategies as businesses recognise the long-term value of repeat customers in an increasingly competitive digital landscape.

Compared to other Southeast Asian markets, Indonesian businesses tend to be more cautious in adopting emerging technologies like AI-driven engagement and automation. While there is strong interest in improving customer engagement, many businesses in Indonesia are still navigating the early stages of digital transformation, which means they prioritise proven strategies over experimentation.

This presents an opportunity for WebEngage to guide businesses toward leveraging world-class CDP and AI-powered engagement strategies. Our approach focuses on building trust by delivering measurable results through personalised engagement strategies, helping brands gradually incorporate Gen-AI and automation to build meaningful customer experiences.

With AI investments in the Asia Pacific expected to grow significantly, how do you see generative AI transforming customer engagement and retention in this region?

AI and automation are rapidly becoming the cornerstone of customer engagement strategies in the region, and this influence is only set to deepen in the coming years. We’re witnessing a shift from simply automating routine processes to utilising AI for more advanced, predictive customer insights. WebEngage has enabled brands to understand their customers deeper, enabling personalised engagement that feels more authentic and relevant.

We believe AI will evolve to become even more predictive, helping businesses anticipate customer behaviour. Imagine being able to identify a customer who’s likely to churn before they’ve even thought about it—that’s the future of AI-driven engagement. This shift from reactive to proactive engagement will be key in retaining customers and fostering long-term loyalty.

Automation will play a critical role in enabling these hyper-personalised interactions at scale. It ensures that businesses can deliver the right message at the right time to the right customer without requiring constant manual intervention, allowing for a consistent and seamless customer experience across touchpoints.

What role do you envision generative AI playing in bridging the gap for businesses struggling to create hyper-personalised content?

Generative AI is a game-changer for businesses on a mission to create hyper-personalised content at scale. One of the biggest challenges many companies face is crafting deeply relevant messaging for each customer without overwhelming their resources. This is where generative AI steps in—it enables brands to automatically generate personalised content based on customer behaviour, preferences, and real-time data insights.

For businesses, the ability to use AI to create tailored messaging for each customer journey transforms the entire engagement process. It helps brands bridge the gap between knowing their customers and delivering content that truly resonates with them. Whether it’s personalised recommendations, targeted offers, or dynamic website experiences, generative AI enables consistently delivering the right message at the right time, driving engagement and retention at scale.

It’s about empowering businesses to deliver the kind of personalised, high-impact experiences that were once unattainable due to the limitations of manual processes. With generative AI, companies can meet customer expectations more effectively, driving deeper engagement and loyalty and ultimately enhancing customer lifetime value. This transformation allows businesses to cultivate lasting customer relationships and achieve sustainable growth.

How do you see WebEngage’s role evolving in customer engagement as businesses increasingly adopt AI and automation in APAC?

What are WebEngage’s long-term strategies for innovation to meet the unique needs of the APAC market, especially as digital transformation accelerates?

Our long-term innovation strategy in the APAC market is centred on a deep commitment to addressing the dynamic region and evolving consumer expectations. As digital transformation accelerates, we must enhance our offerings to deliver exceptional value and relevance.

Our strategy involves enabling businesses to harness WebEngage’s full-stack retention platform powered by cutting-edge AI solutions to create hyper-personalised engagement solutions that resonate with diverse audiences across the region. We understand that the APAC market is not monolithic; each country has its unique cultural nuances and customer behaviours. Therefore, our approach is to provide adaptable solutions that cater to these variations.