The generative AI revolution is upon us. In the past couple of years, Large Language Models (LLMs) like ChatGPT have totally changed how many of us think about artificial intelligence. And one of the hottest markets for AI has been customer service. A 2020 study by McKinsey estimated that AI could deliver up to $1 trillion of yearly value each year, and customer service represents a large portion of this value.

So in this blog, we’re going to be taking a look at the ways that AI is currently transforming the customer experience (CX) – and how it may continue to do so in the future.

How Artificial Intelligence Is Enhancing The Customer Experience Today

The AI revolution isn’t around the corner – it’s already here. Major CX companies like ZenDesk, HubSpot, and Qualtrics are already implementing AI and LLMs into their products. 60% of CX leaders expect AI to have a “transformative” or “significant” impact on the customer experience in the next 2-5 years. 

According to that same study, more than 63% of retail organizations are already using AI to enhance their customer service team’s capabilities. How? Here are some of the most common ways that AI is being used to provide a better customer experience today.

• Answering FAQs – Navigating through knowledge bases and FAQs can be confusing. AI-based chatbots are excellent at providing basic information about products, policies, and services – allowing customers to ask simple questions like “What is your return policy?” and get an answer within moments.

• Resolving basic issues – AI-powered chatbots also can help retailers resolve basic issues. Many retailers are using AI to make uncomplicated returns, help users troubleshoot software problems, and handle other mundane tasks that otherwise would require a live customer service agent.

• Triage and support routing – Sometimes, AI models may not be able to handle complex questions or issues. But even when a live customer support agent is needed, AI can help triage each customer. AI models can analyze customer sentiment, understand their problem, and route the customer to the right representative. This reduces waiting times and the need to transfer customers to multiple support agents or departments. 

• Extended support hours – Unlike your customer service team, AI models don’t need to sleep! Conversational AI tools allow retailers to accept chat messages even after their support hours – and provide human-like interactions even when your support agents are off the clock.

• Speeding up overall service – Generally speaking, AI models can answer simple questions faster than human customer support agents, even with the use of templates. With AI, companies can quickly answer common issues and get customers on their way – reducing frustrations related to long hold times or extensive chat sessions.

Understanding The Future Of AI And The Customer Experience

Artificial intelligence tools are already so powerful that it’s hard to believe that we’re in the early days of AI adoption. So, what does the future look like for AI and CX? Let’s use a travel agency as an example of how AI may transform customer experiences in the future.

• Proactive service – Because they can easily capture and analyze large amounts of data, AI models are powerful for predicting the future behavior of customers. With AI tools, this agency may be able to automatically reach out to customers around the time when they would typically take a vacation. This type of proactive service will help improve the overall customer experience – 89% of customers find proactive customer support to be a “pleasant surprise” or “positive experience.” 

• Real-time personalization – Not only can AI models automatically reach out to a past customer, but they can also use data models to personalize their experience automatically. An AI model can take tons of data into account to generate recommendations – past destinations, demographics, the time of past trips, the expected length of a trip, and much more. Then, it could create an entire itinerary including destinations, activities, experiences, dining recommendations, and even airlines and hotels based on this data.

• Full CX automation – Eventually, AI models will likely be able to handle even the most complex elements of customer service – in our travel agency example, this could include booking hotels and activities, resolving billing issues, and much more. With how quickly AI is advancing, it’s not unreasonable to assume that the vast majority of CX could be handled without any human intervention at all.

AI Won’t Fully Replace Human Customer Support Teams Any Time Soon 

AI is here, and it’s not going away. But does this mean that human support teams are going to become unnecessary? The short answer is “probably not.” Even with advances in AI technology, there are some things that only humans can deal with.

When it comes to resolving complex problems, properly escalating customer issues, and providing truly empathetic support, you can’t beat the human touch. According to a study by Cogito, 53% of customers prefer a human agent for “complex customer service questions or issues.

Also, today’s customers expect cross-platform support – 75% of customers use multiple contact methods to talk to customer service reps, including phone, chat, email, helpdesk forms, and more. AI is not yet suitable for all of these things – call centers, for example.

So while AI is sure to help the CX industry in many ways, it’s important not to lose focus on the human element of conversations and interactions. The importance and value of AI to customer experience may grow, your customers will always be human – and you need to keep this in mind while you come up with your approach to AI and CX.

Incept Results Offers CX Solutions With A Human Touch

At Incept Results, we offer a wide range of CX solutions for businesses of all sizes. From call centers to chat, email, and social media support, we offer the human touch your business needs to thrill customers – all without going over budget. Looking to replace or expand your customer support team? Contact us online for a consultation or give us a call at (330) 649-8000 to see how we can help your business grow and thrive.