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June 1, 2023

AI in customer service: 10 ways artificial intelligence can improve customer experience

How do companies make sure customers receive timely, simple support at a time of growing customer expectations and waning customer loyalty? Artificial intelligence AI in customer service has the answer. According to the study, in terms of the main investment areas for 2023, 28% of the investment companies planned to invest in Artificial Intelligence (AI). Using artificial intelligence for customer service in your company is a certain method to save time and money. If you're like the majority of company owners, and you're always looking for fresh, creative methods to improve your business, AI is your solution.

In this blog post, we’ll explore 10 ways AI in customer service can help your business grow. So read on to see how AI can help, whether you're trying to cut expenses, boost productivity, or just provide customers with a better experience.

This article includes:

  • What is AI in customer service?
  • Benefits of AI in customer service
  • 10 ways artificial intelligence can improve customer service experience
  • Conclusion

So let's get started.

What is AI in customer service?

An artificial intelligence (AI) system that communicates with customers on behalf of a business is known as customer service. The AI system may imitate a human conversation using natural language processing and is trained to respond to customer requests and inquiries. Customer self-service tools and chatbots for customer support are examples of AI.

However, AI enhances customer satisfaction and loyalty by automating repetitive tasks, providing accurate responses, and offering personalized recommendations.

Benefits of AI in customer service

Using AI in customer service has a number of advantages that can increase operational effectiveness and the overall customer experience. Here are several key benefits:

1. Enhanced customer support workflows

Nearly every step of the customer experience may be simplified with the help of AI. You can respond to usual questions from new customers quickly with chatbots. However, AI in customer service enables you to optimize internal operations so that you may maximize customer support engagements. 

 2. Reduced response and handle times

AI can provide you with higher customer response metrics with enhanced workflows. Artificial intelligence (AI)-powered tools, such as chatbots or virtual agents, may respond to customer questions right away, cutting down on wait times and boosting responsiveness. Since customers no longer have to wait for a human agent to become available, problems are resolved more quickly, and customer satisfaction is increased.

The outcome? Because you manage incoming requests more quickly, your average handle time will decrease.

3. More accurate customer behavior predictions

AI makes predictions using real-time data. It implies that you may use AI to predict how your customers will act based on their past purchasing patterns, current purchasing behaviors, and personal preferences.

You can spot trends and proactively improve the customer experience with the help of predictive AI. 

In addition, AI may offer useful and exact predictions by combining real-time information into decision-making processes, allowing companies to react quickly and achieve their goals.

10 ways artificial intelligence can improve customer service experience

Look at the top 10 ways artificial intelligence can improve the customer service experience.

1. Chatbot-based customer support

Currently, customer service agents must respond to a lot of calls from customers every day. Reducing the average resolution time for every customer is another difficulty they must overcome. In order to overcome both of these issues, chatbots are crucial. 

Additionally, chatbots are designed to understand a customer's issue and then offer troubleshooting advice to fix it. As a result of immediate, automated, and always-on replies, both your agents and your customers save time. By answering a lot of customer questions accurately and with human-like behavior, they can assist with reducing the load on human agents.

2. Personalized customer experiences

According to McKinsey research, 71% of customers expect personalization. AI  in customer service has a significant potential to help customers more effectively find relevant information. Artificial intelligence assists in analyzing customer data and important metrics and making product or service recommendations to customers based on their browsing and purchasing habits. 

Huge data sets may be analyzed by AI in customer service, which can also be used to determine location and weather information and offer relevant content to customers. Businesses may concentrate on unique buying habits and gain a deeper knowledge of each customer by developing customer personas. They are then able to deliver customers relevant material via the appropriate channels and at the appropriate time. Customers may therefore solve issues without contacting customer support. However, the customer experience is improved, and there are more prospects for cross-selling and upselling.

3. Offer 24/7 customer support with AI-driven self-service

AI in customer service is able to work around the clock, assisting customers whenever they need it, even beyond regular business hours. While customers are learning about your product or service, you may quickly help them and answer their problems with AI-driven self-service solutions (like chatbots).

Chatbots using AI enable users to find solutions on their own. Live provide you with a bot that speaks your language, understands dialects and street talk. It also recognizes context and follows up questions while handling multi-line messages, offensive language handling, and if needed, seamless transfer to a human agent is also available.

In order to help support teams manage their ticket backlog, AI-powered chatbots provide customers the ability to fix problems on their own, even if it's outside business hours. Bots can answer basic questions, giving employees more time to deal with difficult problems. This results in quicker outcomes and a better customer experience.

4. Provide quicker resolutions

Another significant way of AI in customer service is its ability to provide quick resolutions to customer inquiries and issues. Customers will benefit when you employ AI to enhance their experience with faster first-response times, lower handling times, and shorter wait periods. AI chatbots and interactive voice response (IVR) technologies enable quick, seamless decisions.

Businesses may provide quick and frictionless responses with the use of AI chatbots and IVR technologies, increasing customer satisfaction and cutting down on support wait times. These technologies simplify the customer service process, offer self-service choices, and guarantee 24-hour availability, producing effective and easy customer service experiences.

5. Keep track of conversation history for seamless interactions

A key element of AI-powered customer service that enables seamless interactions between customers and support agents is conversation history tracking. Use AI-powered bots to keep your customers satisfied. These bots can look back on previous customer interactions to gather all the necessary context for hassle-free support.

Imagine a customer contacts you via your website's chatbot and offers their name, order number, and date of purchase. The customer doesn't have to repeat themselves the next time they ask a question because the data is already kept and available, whether they use the same chatbot or a different platform. As a result, everyone saves time, the transaction is fluid, and customers receive a fully omnichannel experience.

However, artificial intelligence (AI)-driven customer service platforms provide personalized support to streamline conversations, and provide employees with useful information. As a result, customer satisfaction and loyalty are increased because it guarantees that customers receive effective and consistent help throughout their interactions with the company.

call center automation ASEE Live

6. Lower operating costs

AI reduces the workload on customer support teams by automating repetitive and regular operations, enabling businesses to make the most efficient use of their resources. This can result in cost savings by eliminating the need for additional employees or allowing current agents to concentrate on more complex or strategic customer issues.

The fact that AI may reduce your budget is therefore not a secret.

7. Analyze customer data to predict and avoid churn

An effective use of AI in customer service is to analyze customer data to predict and avoid churn. Businesses can obtain insights into customer behavior and take preventative steps to retain customers by utilizing advanced analytics and machine learning approaches.

Additionally, how does this improve customer service? NPS surveys are a good way to gather qualitative feedback, and you can use AI to evaluate the feedback and tag your comments.

Use sentiment analysis to better understand how customers feel about their interactions with your brand and any potential problems so that your agents may take immediate action to reduce churn.

8. Customer sentiment analysis of customer feedback and surveys

You can now determine a customer's sentiments toward their customer support ticket request using artificial intelligence. AI in customer service may be able to tell whether the customer is happy, sad, angry, or neutral and then direct the proper agents to address these issues. Businesses can learn more about the feelings and sentiments of their customers by using a variety of natural language processing (NLP) strategies and machine learning algorithms.

Customer sentiment analysis finds the elements of the customer experience that have the biggest emotional impact.

9. Multilingual support

For your business to grow and to maintain a positive customer experience, it is crucial to be multilingually available. The ability to produce information in various languages is a feature of many AI chatbots and conversational tools. This is especially useful if your company operates business internationally. 

Before the message reaches the support team, the AI can identify the customer's language and translate it. Alternatively, you may use it to automatically launch a response that adheres to the language used in the original query.

Related article: Improve customer experience with multilingual customer support

10. Reduce employee burnout

Businesses may improve workflows, automate repetitive tasks, and give intelligent support to agents by using AI technologies. The workload of agents may be reduced with AI in customer service. Chatbots are capable of handling straightforward questions by providing an immediate response or directing users to pertinent knowledge-base articles. IVR systems, as an alternative, can respond to customer inquiries over the phone with pre-recorded responses.

Support agents no longer have to spend many hours of their day on the phone or in chat rooms responding to the same questions repeatedly. Due to this, agents have more time to deal with complicated tickets and take breaks throughout the day.

Conclusion

In the years to come, AI will keep pushing the boundaries of what is possible in customer service.  And the more they accomplish, the more important they become to your company. 

You can boost engagement and loyalty by using AI to provide customers with personalized recommendations and experiences. AI-powered chatbots can offer 24/7 immediate support, reducing the need for human customer service agents and cutting costs. In order to boost customer satisfaction and retention, predictive analytics can help you forecast customer needs and preferences. Customers, especially those with limitations or who prefer a more natural way of interacting with technology, can benefit from quick and accessible support from voice assistants. Lastly, sentiment analysis may give you insightful information about customer feedback and reviews, assisting you in determining where improvements can be made.

In addition, AI enhances customer experience, competitive edge, loyalty, sales, and growth through personalized, seamless experiences.

We've got your back if you're prepared to start using AI to improve the customer experience. With a number of AI-powered features, we're simplifying life for customers and support employees. Don't hesitate to get in touch with us today if you want to learn more about how the Live product family can help you to boost your global customer experience strategy. 

Learn more about how the Live product family can help you support and improve your customer experience strategy.

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