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Conversational AI a Powerful Tool for Improving CX Outcomes
Conversational AI is an important tool with the potential to transform customer service (CX) technology. When deployed properly, it may be used to improve customer satisfaction, boost brand loyalty and cement customer interactions. If used improperly, however, it has the potential to frustrate and alienate customers.
Conversational AI acts as an intelligent virtual assistant (IVA) that can learn and adapt over time to address the changing needs of an extensive and diverse customer base. It enables customers to have natural conversations with a bot, instead of simply answering yes or no questions.
According to a recent whitepaper from IVA company Interactions, 18 percent of companies currently use this technology to assist with CX, while an additional 23 percent are exploring its use. The main drivers for deployment are cost reduction, customer retention and increased customer spending.
Successful deployment of conversational AI is dependent on a number of factors. Technology design is a key factor requiring a holistic understanding of a business, its industry and its customers in order to best implement the technology. It should also be seamlessly integrated into back-end systems to ensure the most successful and personalized customer experience. Technology partners are another important factor, and those partners need to have a deep understanding of the industry they are working with to properly address customers' needs.
The main benefit of conversational AI is more customers may be supported through self-service. This ultimately helps human agents, who are freed up to handle more complex queries and tasks. The technology can also augment human agents, providing quick and thorough background on customer history as well as other data throughout an entire customer interaction.
The Interactions whitepaper revealed that businesses that implemented IVA ultimately experienced greater year-on-year revenue in addition to increased customer profit margins. The key to success was proper research, implementation, deployment and right choice of technology partner.
Edited by Luke Bellos