Driving customer loyalty with artificial intelligence

It is common knowledge these days that the success or failure of a business is largely dependent on customer opinion. Customers’ endorsement or disapproval of a product or experience can be the ultimate difference maker in whether a business thrives or fails. And this has only become more pertinent, as technology has paved the way for an ‘always on’ customer. The rise of mobile devices, social media and the internet-enabled experiences has heightened customer expectations and businesses must be prepared to serve these customers according to their expectations to win their loyalty.

Given these high stakes, businesses need to make sure they invest in customer engagement technologies that will allow them to offer the level of service that breeds loyalty. This is no small task. However, the good news is that we’re seeing a new wave of technologies powered by artificial intelligence, such as chatbots and virtual assistants, that are changing the way businesses and customers interact and enabling these new levels of service. But as with any new technology, artificial intelligence must be implemented strategically to reap the full rewards.

Think like Alexa

AI is already pervading many areas of our lives, with large brands like Apple and Amazon launching their respective virtual assistants, Siri and Alexa. With the help of these assistants, we can pre-heat ovens from our offices, call people hands-free while driving, and turn the lights on without a flick of a switch. However, the key to people using these assistants isn’t solely the brand name, it’s the fact that these virtual assistants are easy to use and provide a seamless experience.

A recent study by Forrester Research found that 84% of customers prefer to engage with companies using automated platforms, compared to traditional call centres. But even though AI is a hot trend, businesses still need to focus on usability if they hope to convert this interest into commitment.

The hard truth is that the Alexa/Siri experience is what users are now used to and what they expect their AI experience to feel like. If yours is different to what users are used to, you might need to revisit your strategy.

Adopt a hybrid approach to automation

If people have a bad experience with a brand, they’re unlikely to keep it to themselves. A recent study from Dimensional Research revealed that 54 per cent of consumers would share their negative experience with more than five people. On the other hand, only 33 per cent would share good experiences with more than five people.

Businesses simply cannot afford to provide anything short of a great customer experience. AI technologies can help take the burden off existing human agents, allowing businesses to provide a streamlined, error-free customer service. For example, simple questions with set answers, such as “is a smaller size in stock?” can be answered by AI via any channel, instead of a customer having to waste time on hold to a human agent that may not have immediate access to stock levels.

However, there are occasions when problems are more complex, and best suited to human agents. For example, if a customer is already disgruntled and upset and the situation is becoming delicate. There are also some customers that generally prefer human interaction. Regardless of how low-maintenance the issue might be, it is always useful to have easy and elegant access to human agents from any channel. 

Be smart before you start

Although there is a whole array of reasons why businesses should think seriously about implementing AI within their customer support stack, it’s important they have a clear, well-thought-out strategy, before they press go. No one can say for sure what artificial intelligence will look like 5-10 years from now, but with proper planning, businesses can have a clear idea of how the technology can help fulfil their goals.

One thing that is certain -- AI is transforming the way businesses relate to customers. As long as they know the best places to deploy it and can find the right balance with human interaction, the possibilities are endless. Businesses that recognise this and integrate AI into their existing customer engagement strategy will be setting themselves up for success, not only today but also into the future.