Why conversational AI is important? How do Customer Experience and Conversational AI go hand in hand?
1. Why conversational AI is important?
By building a data-sharing network, the Internet of Things (IoT) enables machine-to-machine communication. Conversational AI is critical for data interpretation of machine-to-machine communication. Also, crucial information was communicated to the guy through discussion. To put it another way, Conversational AI serves as a middleman. It allows man and machine to converse without the need for physical assistance[1].
2. How do Customer Experience and Conversational AI go hand in hand?
In the last decade, consumer behaviour has changed dramatically. All sectors may now embrace digital transformation on a large scale due to technological advancements. Advertising budgets have been taken away by the Customer Experience Officer. Customers are no longer interested in which celebrities are endorsing the items. They expect the best possible experience at all times, both online and offline[2].
What makes a Good Customer Experience?
To begin, let’s define CX (Customer Experience). The company interacts with customers in a variety of ways. Customer experience (CX) is the sum of a customer’s feelings about the company “during” and “after” contact with oneself. CX applies to new consumers as well as existing customers. Every contact is a chance for your brand to improve or degrade the customer’s perception of you. Keep in mind that one negative experience may ruin ten excellent ones[3].
Know your audience
This is the most crucial aspect of developing the CX strategy. It’s necessary to understand who the consumers are. One must understand everything about them, including how they act, what inspires them, and what irritates them. It’s not as simple as it appears because customer behaviour is always changing[4].
Going above and beyond
To develop enjoyable client experiences, one must look beyond the status quo. Every stage of the purchasing process must be continually re-evaluated and, if required, raised. Taking that one extra step that goes above and beyond the customer’s expectations can improve customer experience and loyalty[5].
Hyper-Personalized Approach
The days of seeing one area as a single market are long gone. Businesses may now build solutions that speak to each client in their chosen mode of communication, thanks to technological advancements. Building a consumer relationship has never been more challenging. When companies speak to customers in a more personal way, the customer experience improves[6]. Customers should feel as though they’re speaking with another human being when they interact with brands.
[1] https://sci-hub.se/10.1016/j.intmar.2020.04.001
[2] https://sci-hub.se/10.1108/jsm-01-2019-0043
[3] https://opus.fhv.at/frontdoor/deliver/index/docId/3646/file/BilgeriNadine_MasterThesis.pdf
[4] https://sci-hub.se/10.1016/s0969-4765(20)30111-9
[5] https://sci-hub.se/10.1007/s11747-020-00753-z
[6] https://sci-hub.se/10.1016/j.jretconser.2020.102176
This is the most crucial aspect of developing the CX strategy. It’s necessary to understand who the consumers are. One must understand everything about them, including how they act, what inspires them, and what irritates them. It’s not as simple as it appears because customer behaviour is always changing[1].
Going above and beyond
To develop enjoyable client experiences, one must look beyond the status quo. Every stage of the purchasing process must be continually re-evaluated and, if required, raised. Taking that one extra step that goes above and beyond the customer’s expectations can improve customer experience and loyalty[2].
Hyper-Personalized Approach
The days of seeing one area as a single market are long gone. Businesses may now build solutions that speak to each client in their chosen mode of communication, thanks to technological advancements. Building a consumer relationship has never been more challenging. When companies speak to customers in a more personal way, the customer experience improves[3]. Customers should feel as though they’re speaking with another human being when they interact with brands.
[1] https://sci-hub.se/10.1016/s0969-4765(20)30111-9
[2] https://sci-hub.se/10.1007/s11747-020-00753-z
[3] https://sci-hub.se/10.1016/j.jretconser.2020.102176
Figure1. https://www.grazitti.com/blog/conversational-ai-the-future-of-customer-experience/
3. How Conversational AI helps Improve Customer Experience
Conversational AI is being used by companies in a variety of industries. CXOs are in charge of providing customers with a best-in-class experience and overseeing the whole client lifecycle. Let’s look at how Conversational AI adds value to a CXO:
Cost Reduction
Conversational AI systems offer a wide range of applications. Customer support is one of the most popular use cases. Unlike traditional AI assistants, a chatbot can answer questions faster and more effectively, be available 24*7 , and communicate with consumers in their preferred language. A chatbot designed to handle large numbers of enquiries would always save money[1].
Employee & Customer Engagement
Employees are a company’s most valuable asset. Customers who are happy are happy workers. Many HR procedures may be streamlined and employee engagement can be improved using conversational AI technologies. This improves employee happiness, which has a favourable impact on CX[2].
A smart Conversational AI system may help with customer engagement initiatives in addition to answering customer support inquiries. This enables you to develop a lasting relationship with your consumers that extends beyond a purchase.
Purchase Experience
When’s the last time stepped into a store and no one was there to serve you? Or maybe you spent hours online looking for a product but couldn’t find enough information? All of these are signs of poor customer service. It’s difficult to attract people to your company’s environment, and failing to convert visitors into customers is harmful to your company’s growth[3].
Customer Support
The customer support chatbot may be used across many media, allowing companies to build an platform for customer experience. AI-powered chatbots can provide service 24 hours a day, seven days a week, which means there’s always someone (kind of) to answer customers’ inquiries at any time! This is a lot less expensive than hiring live agents that work rotating shifts. If a customer assistance inquiry is difficult or beyond the scope of the chatbot, a smooth procedure to forward the query to a live agent based on their skill sets and current workload is available[4].
Conversational Commerce
Conversational commerce has changed the way people shop online. Brands have come to grasp the actual potential of messaging platforms over time. Some of the world’s most well-known businesses are using conversational AI to aid customers with their purchases. This is an excellent opportunity to save money on sales agent recruiting and training. A sophisticated conversational commerce platform can provide better customer care than a sales representative[5].
[1] https://sci-hub.se/10.1007/s11747-020-00749-9
[2] https://www.theseus.fi/bitstream/handle/10024/349243/ThesisIBM.SimoBenchhiba.pdf?sequence=2
[3] https://awrel.com/assets/images/Awrel-WP1.10.pdf
[4] https://sci-hub.se/10.1109/icrito48877.2020.9197825
[5] https://biblio.ugent.be/publication/8688684/file/8707551
