
The Empathy ROI
Zurich Insurance's chief customer officer argues that business exchanges revolve just as much around connection as personal relationships
14 October 2025
In our personal lives, we build relationships based on trust, understanding, and genuine care. We don't measure friendships in conversion rates or automate conversations with loved ones.
In business though, we accept a different standard - one where efficiency often trumps connection, and this has created a challenging blind spot.
In an era defined by algorithms, we have become focussed on metrics of engagement and reach. But our latest global research in collaboration with Professor Jamil Zaki of Stanford University, surveying more than 11,000 consumers across the globe, reveals a startling truth: the most powerful driver of brand choice might be the one we measure the least.
When asked what matters most, a remarkable 79 per cent of consumers surveyed rated empathy as important when considering their interactions with a company. This outranked online reviews (73 per cent) and even recommendations from friends and family (64 per cent). Yet, there is a significant disconnect as 72 per cent feel that empathy evaporates the moment a contract is signed.
This isn't an accident.
It's the result of the push for digital transformation and marketing efficiency that has inadvertently reduced the human connection from our customer interactions. We’ve optimised the 'what' of the transaction at the expense of the 'how’. The result is almost half (43 per cent) of consumers surveyed have abandoned a brand due to a lack of empathy.
We have created a costly ‘empathy gap’.
This gap is not as a ‘soft skill’ issue, it’s a business imperative and that’s created a need to move beyond purely transactional metrics to focus on building genuine human connection. So, at Zurich, we invested in a Global Empathy Training Programme equipping them with the tools and cultural permission to be empathetic.
Since the programme's launch, 26 per cent of our global employees have completed nearly 46,000 hours of training. In little more than 18 months, our customer advocacy scores (TNPS) have risen by seven points. Our brand value grew by 35 per cent last year, making us the second fastest-growing insurance brand in the top 20. Perhaps most significantly, we are introducing Net Revenue Retention (NRR) into our strategy to directly connecting the financial impact of customer loyalty to our bottom line.
Bridging the empathy gap is an achievable goal. Here's a blueprint:
Champion empathy from the top: It must be a fundamental organisational value, not a superficial add-on. This creates a culture where employees feel empowered to connect more deeply with customers.
Upskill your people: Equip frontline teams with specific, proven techniques. This means moving beyond rigid scripts and empowering them to have real, unscripted conversations. 86 per cent of consumers surveyed believe employers have this responsibility, yet only 41 per cent think companies are actually doing it.
Harness AI with a human touch: While AI can drive efficiency, it cannot replace authentic connection. Our research shows 71 per cent of consumers surveyed believe AI is incapable of replicating human empathy. Use technology as a co-pilot to free up your people for the moments where human understanding matters most.
Measure what matters: Track improvements in customer advocacy, retention, and loyalty. What gets measured and rewarded endures, reinforcing the value of empathic interactions and proving its financial return.
The lesson for modern marketers is clear - while technology can optimise the consumer journey, it cannot replicate the destination: a feeling of being genuinely seen and understood. If the last decade was about mastering digital convenience, the next should be about restoring human connection at scale.
The brands that will win the future are those that recognise empathy not as nice to have, but as the core capability when building a resilient, loyal, and ultimately, more profitable customer base.
It's time to run our businesses with the same care we apply to our most valued personal relationships. After all, the most meaningful connections - in life and in business - are the ones that pay the richest dividends.
Conny Kalcher is chief customer officer at Zurich Insurance