Contact syncing with Apple Watch 8 series

How can I get all of my contacts to sync onto Apple Watch? Watch is already paired with iPhone so I would assume everything should have already synced by now. I did ensure my iCloud settings did have messages and contacts turned on. I also tried to “reset sync” on Apple Watch app. As well as tried to reset and unpair/restart both watch and iPhone. I am still only getting about 12 contacts instead of all my contacts. When messages come through it only shows the phone number and not the contact name. How can I fix this issue? Thanks in advance.