How To Guide

How AI is Becoming a Go-To for Customer Service Functions

“Artificial intelligence will reach human levels by around 2029. Follow that out further to, say, 2045; we will have multiplied the intelligence, the human biological machine intelligence of our civilization a billion-fold.”

— Ray Kurzweil

This form of customer service is becoming the quickest and most effective pathway for businesses and other institutions to deliver personalized experiences and proactive delivery of customer support to drive customer engagement –customer engagement being the highest form of KPI to achieve a name in customer services. 

For instance, look at Nordstrom providing top-notch sales and after-sales support by utilizing past data on customers and purchasing. Leaders of Nordstrom have said that the key to leveraging Artificial Intelligence (AI) automation would in return lower the cost of operations, such as repetitive tasks done by employees, which will move over to automation, letting the employees deal with customers at a high-value providing a personalized experience for desirable results –such as gaining customer loyalty.

In another study, the research revealed a positive relationship between the use of Artificial Intelligence (AI) and Customer Experiences, driven by two main aspects of customer support- Customer Service and After-Sale Support. When implemented on the right level, using AI in customer services can influence how a team can engage customers further and serve them on a deeper, more personalized level to drive positive responses and bring out the most efficient results that directly affect the performance of a company. 

This can be explained well even further with an example of Optimum customer service, a service-based firm that employs the use of AI chatbots to deal with numerous chats and incoming support queries. As with AI, they can efficiently handle the basic needs of customers to find answers and move them onto the next step of human interaction if need be, reducing the time taken to deal with one customer and keeping all customers satisfied with smooth services. 

Learn about the three major ways in which AI is influencing and becoming the go-to option for customer service functions due to its immense benefits in the area.

  1. Faster Customer Support Workflow

With AI, customer service activities could be divided into smaller chunks. For example, having chatbots take on the initial phase, and then have knowledge systems to help customers, and if that does not work, move towards providing human assistance. It can streamline workflows and reduces costs associated with hiring employees for specific tasks, especially if you are a large organization such as having 500 employees or more. 

  1. Reduction In Response And Handling Times

With the workflows redesigned, AI will give you better customer response metrics. The faster pace will lead to bots handling more basic servicing and your employees working on major clients who always lean towards choosing other options if the current solution does not satisfy them. It will also reduce the average time taken to handle one customer and thus reduce costs by the hour when working to improve customer service efficiency. 

According to IBM, businesses across the world spent $1.3 trillion on 265 billion customer service calls each year. Chatbots can help businesses to cut costs and speed up the work to produce desirable results. It is also a round-the-clock 24-hour’s support that does not get tired but rather learns from each interaction. This helps to improve and further enhance customer support systems.

  1. Better Predictions Of Customer Behavior

With the workflow and handling times set, AI can use the real-time data it is collecting during customer service to create profiles of the customers, learn how they behave in certain scenarios and how to respond to them, and make other assessments such as their purchasing habits and personal preferences. When AI expands, its digital data set may even include singular data sets of customers across many different purchases and may even provide suggestions for buying. However, AI in customer service will improve everything to do with customer service. 

This will also lead to improve human interactions and make it a personalized clientele experience for the customers. This will enhance customer services and after-sales support and provide the optimum result that will work to retain customers in the long run. This will also help the support reps to analyze and present newer strategies for dealing with customers while spending less time on minor customer service issues.

  1. Personalized User Experiences

As the research has said, customers want the ability to solve customer problems themselves. AI can become a game changer in that matter. It will help provide the right information from huge databases to customers and recommend products or services to customers based on personal preferences and buying behavior. This will save much time and provide the customer with all-around help at any given time. To customers, this will be the next best thing as they can fix and resolve things while not having to spend unusual time and energy on these matters.

  1. Improved Customer Retention

Lastly, the main benefit of AI will be to predict and analyze to create experiences that will become a part of the customer’s life. Do you think smooth-sailing customer service becomes a memory? No, people will end up trying to find such experiences again, this will exist for as long as buying, and selling does, which means it is not ending any time soon. The use of AI will make functions transparent and communication open to all. 

This in return will improve how customers make buying decisions and will instill your business in the customer mind causing retention of the customers and increase in the loyalty base of the customers for your firm, improving word-of-mouth, and many other aspects of how customers interact with you and how you manage customer relations. This will directly influence performance, profits, and growth towards a better bright future for your business.

End Note

Customer service functions are handled well with the help of AI, which reduces costs, long-term expenses, and the cost of updating employees’ skills as AI will automatically progress to learn and implement new strategies. Meanwhile, the human force will be responsible for tasks that can be personalized, require a human touch, and require the expertise of human-based servicing for customer service. 

However, AI has the capability of delivering greater strategies across all business activities and thus –there is a huge room for AI to progress, expand, and engulf the many human tasks that can be rather shifted to AI so human resources are better utilized elsewhere.

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