AI is redefining the possibilities of CX

With no one-size-fits-all approach to AI implementation, customer service agents’ evolving roles are a key part of the conversation

Since the arrival of chatbots decades ago, the customer service industry has been in a state of constant evolution. 

The early generations of chatbots were rudimentary compared with today’s technology. But even these simple tools could handle customer inquiries and deliver significant results. As the artificial intelligence (AI) powering chatbots improved, the efficiency gains increased with it. 

But now, evolution is becoming revolution: AI is powering the biggest change in the history of the industry. Fifty percent of customer service contacts in the North American banking, telecommunications and utility sectors are now machine-assisted.¹ Companies employing AI are seeing improvements to both the quantity and the quality of customer service interactions–whether these are with a machine or a human. Amid all of this change, companies are learning that there is not a one-size-fits-all approach to AI implementation.

Take inquiries handled by machines. According to Adrian McDermott, chief technology officer at Zendesk, AI enables automated tools to tailor responses to a customer’s needs in ways that have never been possible before, and this, in turn, is making service smoother and faster.

For companies, this level of personalisation is crucial. Zendesk’s 2023 CX Trends research shows the stark consequences for customer retention and revenue if these interactions are unsatisfactory. 

In its survey of 3,700 global customers, the company found that more than half would switch to a competitor after just one bad experience, and nearly three-quarters would find an alternative after two bad experiences.²

Watch the video to learn more about how AI is powering one of the biggest changes in the history of customer service.

The impact on interactions between customers and customer service agents is even more dramatic: AI is not only improving performance, but making it possible to deliver specialised results that go beyond simple troubleshooting. 

AI is leading to big productivity gains among agents. As automated tools take on more routine, straightforward queries, humans are free to focus on complex ones. There will inevitably be occasions when machines are not up to the task, and a person needs to step in to deal with an inquiry. 

“I think humans ultimately like to talk to humans,” Mr McDermott says, “especially when they're in a crisis or they have an emergency.”

As inquiries roll in, automated tools can push them to an agent with the right expertise. Then, by interpreting the customer’s needs in real time, AI tools can funnel information to the agent. As these tools proactively select information on behalf of the agent, they give the agent the ability to bring more attention and greater empathy to their work.

Generative AI—a model that can summarise vast amounts of data, including help centre articles and other resources—is a particularly helpful tool. By making it easier to find the information they need,  agents can solve complicated inquiries more quickly and thoughtfully.  

This increased automation allows agents to go from content creators to content supervisors focused on removing friction from the customer journey.

Generative AI also gives customer service teams the opportunity to hone their skills and play to their strengths. Kate Leggett, vice president and principal analyst at Forrester Research, who writes about customer service trends and best practices, references a tax preparation software company that aims for a more personalised experience.

“As we at Zendesk work on democratising this technology to give access to customer service leaders, we're also going to help them think about how they can model better, and more differentiated, and enriched and lovely customer journeys that customers are looking for,” McDermott says.