Tag Archives: customer service

AI in Customer Service: How Chatbots are Transforming Customer Experience?

Reading Time: 3 minutes

Artificial Intelligence is dramatically changing business, and chatbots. Fueled by AI, are becoming a viable customer service channel. The best ones deliver a customer experience (CX) in which customers cannot tell if they are communicating with a human or a computer. AI has come a long way in recognizing the content – and context – of customers’ requests and questions.

Even well known Google put it’s hands on this topic !

Typically, customer service chatbots answer questions based on key words. The most basic systems are actually document retrieval systems. Sometimes this is frustrating. Think of the times you may have asked “Siri” or “Alexa” a question and received the wrong answer. The computer recognizes key words but may not recognize the context in which they are being used. In other words, the computer doesn’t recognize the way people naturally speak. This causes the customer great frustration. However, these systems (including Siri and Alexa) have come a long way and continue to improve.

Here are four ways AI and chatbots are creating a major impact in the customer service and CX world:

1.  The chatbot never sleeps: Customer service is all about convenience, which includes 24/7 customer support. A cost-efficient, yet powerful way to provide basic support is through the never-sleeping chatbot.

2. The chatbot won’t make you wait: The concept of on-hold music is a friction point in customer service. With chatbots, you no longer have to wait for the next agent.

3. Personalizing the customer experience: Chatbots excel at collecting customer data from support interactions. After all, it’s the computer that’s doing the work. The advantage is that live support agents can use this information to personalize their interactions with customers.

4. Chatbots make friends and build relationships: Most companies wish their agents had more time to make outbound, proactive contact with their customers. Chatbots are there to help, and in some ways, they are revolutionizing the way brands stay in touch with their customers.

*On Microsoft’s chanel on YouTube we can find an interesting video about the most famous cafe at the moment*

Also we should emphasise…

  • Enhanced self-service capabilities: AI-powered chatbots can provide customers with quick access to relevant information and resources, enabling them to resolve their queries or issues independently. This self-service aspect saves time for both customers and support agents, while empowering customers to find solutions on their own.
  • Multilingual support: AI chatbots are capable of interacting with customers in multiple languages, enabling businesses to cater to a global customer base without requiring a large team of multilingual support agents. This helps companies expand their reach and provide personalized experiences to customers in different regions.
  • Seamless integration with other platforms: AI chatbots can seamlessly integrate with various communication channels, including websites, messaging apps, social media platforms, and even voice assistants. This level of versatility allows businesses to engage with customers on platforms they prefer, making it easier for customers to reach out for support or inquire about products/services.
  • Continuous learning and improvement: AI-powered chatbots have the ability to learn from each interaction and improve over time by analyzing data. They can understand patterns, customer preferences, and frequently asked questions, enabling them to refine their responses and deliver more accurate and relevant information to customers.
  • Cost-effectiveness and scalability: Implementing AI chatbots can offer cost savings for businesses, as they eliminate the need for a large support team to handle repetitive queries. Chatbots can handle a high volume of inquiries simultaneously, ensuring quick responses and reducing the chances of customer frustration. This scalability makes them ideal for businesses with growing customer bases or seasonal spikes in customer service demands.

THE END

In conclusion, AI and chatbots are transforming customer service by for example providing 24/7 support, eliminating wait times, personalizing experiences, and enabling proactive customer engagement. As these technologies continue to evolve, businesses can benefit from enhanced self-service capabilities, multilingual support, seamless integration, continuous learning, cost-effectiveness, and growing empathy. By embracing AI and chatbots, companies can elevate their customer service and deliver exceptional support to their valued customers.

Sources:

https://deepai.org/chat

https://www.forbes.com/sites/shephyken/2017/07/15/ai-and-chatbots-are-transforming-the-customer-experience/?sh=4d7691ed41f7

https://www.youtube.com/

Own experience.

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AI customer service: The future of customer support

Reading Time: 4 minutes

Introduction

Artificial intelligence (AI) is rapidly transforming many industries, and customer service is no exception. AI-powered chatbots and virtual assistants are becoming increasingly sophisticated, and they are now able to handle a wide range of customer inquiries.

AI customer service offers a number of benefits for both businesses and customers. For businesses, AI can help to reduce costs, improve efficiency, and scale customer support operations. As for today 36% of businesses use a chatbot to generate more leads [1]. For customers, AI can provide 24/7 support, resolve issues more quickly, and personalize the customer experience. Ubisend survey stated that 48% of customers don’t care whether they get their information from bots or call centers.[2]

Use cases for AI customer service

AI customer service can be used in a variety of ways, including:

  • Answering customer questions: AI chatbots can be used to answer common customer questions about products, services, and policies. This can free up human agents to focus on more complex issues.
  • Resolving customer issues: AI can also be used to resolve customer issues, such as resetting passwords, troubleshooting technical problems, and processing returns.
  • Personalizing the customer experience: AI can be used to personalize the customer experience by recommending products and services based on the customer’s past purchase history and interests.

Benefits of AI customer service

AI customer service offers a number of benefits for both businesses and customers, including:

  • Reduced costs: AI can help to reduce customer service costs by automating tasks that would otherwise be performed by human agents. Cutting labor costs by reducing the reliance on human intervention leads to as much as 30% decline in customer support service fees[3].
  • Improved efficiency: AI can help to improve customer service efficiency by resolving issues more quickly and accurately. A study found that 62% of consumers would talk to a chatbot than wait for a human agent[4]
  • Scaled support: AI can help businesses to scale their customer support operations by providing 24/7 support and handling a high volume of inquiries.
  • 24/7 support: AI chatbots and virtual assistants can provide customer support 24 hours a day, 7 days a week. This is especially beneficial for businesses that operate in multiple time zones or that have customers who live in different parts of the world. 
  • Faster issue resolution: AI can help to resolve customer issues more quickly by automating tasks and providing access to a vast knowledge base. 
  • Personalized experience: AI can be used to personalize the customer experience by recommending products and services based on the customer’s past purchase history and interests. According to chatbot.com 74% of internet users prefer using chatbots when looking for answers to simple questions[5]

While AI customer service offers a number of benefits, there are also some drawbacks to consider:

  • Lack of human touch: AI chatbots and virtual assistants may not be able to provide the same level of personalized and empathetic customer service that a human agent can.
  • Language and context understanding: AI systems can sometimes struggle to understand complex language structures or the context of certain queries. This can lead to misinterpretations and unsatisfactory responses.
  • Bias: AI systems can be biased, reflecting the biases of the data they are trained on. This can lead to unfair treatment of certain customers.
  • Job displacement: AI customer service could lead to job displacement, as some tasks currently performed by human agents are automated.

Here are some specific examples of how businesses are using AI to improve customer service:

  • Amazon: Amazon uses AI to power its Alexa virtual assistant, which allows customers to ask questions, place orders, and manage their accounts using only their voice.
  • Netflix: Netflix uses AI to recommend movies and TV shows to its customers based on their viewing history.
  • Spotify: Spotify uses AI to create personalized playlists for its users.
  • Zendesk: Zendesk offers AI-powered chatbots that can answer customer questions and resolve issues.
  • Salesforce: Salesforce offers AI-powered customer relationship management (CRM) software that can help businesses track and manage customer interactions.

If you are considering using AI to improve your customer service, there are a few things you should keep in mind:

  • Start small: Don’t try to implement AI solutions for all of your customer service needs at once. Start by identifying a specific area where AI can make a big impact, such as answering frequently asked questions or routing customer inquiries.
  • Choose the right AI solution: There are many different AI solutions available, so it is important to choose one that is right for your business. Consider your budget, your customer needs, and your existing customer service infrastructure.
  • Integrate AI with your existing systems: Make sure that your AI solution is integrated with your existing customer service systems, such as your CRM and help desk software. This will ensure that AI is able to access the data it needs to provide the best possible customer service.
  • Get feedback from your customers: Once you have implemented AI solutions, it is important to get feedback from your customers to see how they are working. This feedback will help you to identify areas where you can improve.

Conclusion

AI customer service is the future of customer support. By automating tasks, improving efficiency, and scaling support operations, AI can help businesses to reduce costs, improve customer satisfaction, and grow their business.

If you are not already using AI in your customer service operation, now is the time to start. There are a number of AI solutions available, and there is sure to be one that is right for your business.

[1] https://outgrow.co/blog/vital-chatbot-statistics

[2] https://www.forbes.com/sites/forbesbusinesscouncil/2023/05/15/robo-travel-how-ai-is-changing-the-industry/?sh=60020c071a30

[3] https://www.ibm.com/downloads/cas/GQDGPZJE#:~:text=Chatbots%20can%20also%20handle%2080,%2C%20public%20holidays%2C%20or%20illness.

[4] https://colorlib.com/wp/chatbot-statistics/

[5] https://www.chatbot.com/blog/improve-customer-support-with-facebook-chatbots/

Made with google bard

Some of the prompts I used:

„Please write techblog about ai customer service”, „please give me 5 different statistics from 5 different sources” and “include these to this blog post so it sounds naturally”

Image generated with dalle 3

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Self-service from Apple

Reading Time: 2 minutes

‘We need to have more open ‘right to repair’ when it comes to Apple products’

Immediate mobile and smartphone repair

Not long time ago, supporters of the movement ‘right to repair’ became openly irritated with the fact that Apple strictly controls the repairment procedures over their gadgets. As a response to this pressure, in November 2021, Apple announced launching this service for users that would like to try and fix devices on their own.

This novelty was not perfect at the beginning, the guidelines were not clear and detailed enough as well as some repairments were just destroying various features of the iPhone, for instance, replacing the display on an iPhone 13 was disabling Face ID, later on, this was fixed by the company. Moreover, not long time after this, Apple allowed its users to install different browsers and email apps from those that were set as the default ones. All those chages made Apple products even more user friendly.

What is more, the company not only allowed its customers to use their guidelines and videos to repair gadgets, but also, they started selling all possible details needed for the repairment as well as tools, directly to the customers.

However, only in December 2022, it was announced that Apple expanding their self-repair service over UK along with other seven European countries. This was made after the pressure from the members of the movement mentioned above.

Is everything as good as it seems to be?

The answer is no. Once the repairment is not provided by Apple, and it goes wrong, the warranty becomes invalid.

Along with this Apple has received tons of complains about the difficultness of the repairments, which became the disaster.

Which conclusion can be made out of this?

We should allow people to do what they are good at. The person who works, for example in finance and has small knowledge, not talking about deep one, in technologies or repairment works, should allow professional do their job, and vice versa. Such attempts of totally unskilled people to save money on repairments and bring them even more spending even to the point of buy a new gadgets

To read more: https://www.bbc.com/news/technology-63866869

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Social Media in State of the Art Customer Service (Customer Service Trends)

Reading Time: 6 minutesThere it was; I could not access my email account anymore due to “unusual activity”. Recovering password etc. did not work either. My last option, calling the AOL customer service, which is unfortunately based in the US. Apart from the big time difference between the USA and my location at the time, the not existent Customer Service for accounts created in Germany, as well as the fact that the customer service on the phone just could not solve my problem; I was sure that I will never get access to my email account ever again.

After a little bit of browsing on AOL’s help pages. I found the companies twitter account. I actually never tried to solve my problems with products via social media, but it looked like it was my last shot at gaining access to my AOL account.

The big surprise, where the phone contact failed, the guy behind the AOL customer service twitter account was actually able to resolve my problem within 10 minutes. We exchanged 7 DM messages and that was it! Considering the fact that twitter also limits the number of characters, it was a very effective chat.

Being happy that I could solve my problem like that, I decided to look a bit deeper into social media customer service, also on the background of a project I’m working on currently. So is the future of customer service social media? I think yes – and – no! It will certainly become a part and one of the multiple channels we will be able to use. The phone is still the predominant customer service contact channel and in years to come it will remain almost untouched. Nevertheless, various new channels pop up and Social media might gain some “market share” from email based customer service for example. Online applications that allow customers to help themselves with a large amount of smaller problems, will become standard procedure and reduce the amount of actual customer contact with a customer service agent.

Customer service has to be proactive, but is social media the most proactive tool we can use? In my opinion it is and will definitely be one of the elements of proactive customer service. Simply because customers will demand that social media customer service is available, whether they use it or not. In a b2c environment this seems totally rational. In b2b, Social media based customer service has not established itself – yet. However, there are already a few voices out there that announce the rising importance of social media, even in a b2b environment. There are significant differences between b2b and b2c customer service, especially when it comes to social media, in general it can be a much more powerful tool in b2b! Social media in b2b is a perfect platform to exchange ideas and discuss problems with customers on eye level and transparent. It is just giving your customer another channel to make his or her voice heard and have rational discussions. In b2b it is much more unlikely that a customer will hurt your brand with overly emotional expressions of dissatisfaction in public, like you see it in b2c. E.g. LinkedIn is a good platform to exchange ideas with customers in closed or open groups.
Even today there is still a bit of rebellion in companies towards implementing a social media strategy effectively, however it was same with email and web pages and a lot of other things that seem essential today. There will always be early adopters and people afraid of change. Which one of them are you?

Here a summary of a few trends in customer service, not only social media, that are likely to shape customer service in the years to come.

 

Trends in Customer Service

Customer Service has gone through significant changes and development in the past few years and has become a lot more customercentric than it used to be. The focus shifted from being a cost centre to actually becoming a part of the organizations competitive strategy and creates sustainable competitive advantage. Especially in the logistics sector, sound customer service can be the deciding factor when choosing between different service providers.

Proactive Service

A proactive approach to customer service has turned out to be one of the most effective measures to improve the customers experience within a company and overall improve customer loyalty. Rather than reacting to customers problems, actively looking and preventing problems before they appear is key. Constant communication with customers improves the overall relationship. In practice, this means to alert customers of possible problems, advice and recommend better solutions and support the customer in their field of business. Being helpful, once a difficult situation arises.

Web tools and applications

This trend is very much connected to the above mentioned, as it is one way of seeking proactive communication with the customer. The webpage of an organization is nowadays usually on the front line of customer service, being the first stop most customers take when trying to get in touch with a company. Therefore it is crucial that the web presence is customercentric and in the best case already offers solutions to the most common problems or requests by customers.

A company’s website is, after word of mouth, the most important channel consumers use when prospecting. (Accenture, 2013)

Social Media

While already having established its place in the B2C business, social media is now also finding its way into the B2B world. It allows direct and fast communication and allows an organization to give itself a human touch. The main difference here is that social media in a B2B context is much more of a 2 way communication platform, compared to social media in B2C. Social media and professional platforms like LinkedIn can be utilized to open a discussion with customers and industry experts in order to address common issues or problems. In addition, the interaction in a B2B environment can be a lot more open as professionals are a lot less likely to contribute with unconstructive negative feedback, compared to an “angry customer” in B2C.

Furthermore, it is expected that in the next years to come, social media will evolve and become a much more significant part of the B2B business world as it already is among the market leaders.

Multi channel

Customer contact by phone is still by far the most used and preferred way of communication in terms of customer service

, followed by email and live chats. Nevertheless, the trend is going toward offering various channels of communication and shifting between the contact channels. E.g. Customer service may start on the phone, but the request will be solved by email.

Big Data

As customer service utilizes more and more technologies, various channels of communication and is shifting towards web-based applications, companies have a lot more data available. They key here is to utilize the gained data and use it to gain new insights into customer preferences, behavior and needs. Understanding the customer has become a lot easier, once the data is properly analyzed and evaluated. Not only the customer service itself, but different organizational functions like sales will benefit greatly from the new insights into the customer and maintaining a good customer relationship is that much easier when so much information is. Possibilities to respond faster and much more customized to the customer needs arise.

Combine Sales, Customer Service and Marketing functions

One of the major trends that will reshape entire organizational structure is the combination of sales and customer services, as well as Marketing. With growing emphasis on customer relationships, especially in b2b, the combination of the functions make sense. It reflects the necessity of the repeated effort to not only gain business once, but also continue to close deals with the same customer over a longer period of time. This development also reflects the customer centricity that will be required in the future. A combination of the different functions helps to deliver an end-to-end solution to the customer and keeps up the interaction between business and customer. A crucial rule and a point to start is to assign a central person that combines all the different departments: A Sales and Customer Service Manager for example. This will already help to maintain a more consistent service and overall customer service performance.

 

accenture1

Accenture, 2013

 

Interesting figure, demonstrating the cultural differences associated to good customer service and customer relationships in the world.

Think I am making this all up? Think again: Forbes: Reasons you need to be using social media as your customer service portal

 

Zendesk as one of the leading Web based customer service management tools providers also provides you with a nice guide to improve your social media customer service strategy Zendesk: Customer Service through social media

 

Find an interesting Accenture report on the the “Consumer Pulse” and customer service here:

Accenture-Global-Consumer Pulse Research Study 2013 Key Findings

 

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