With more people using the Internet than ever before, consumers now have more choices when it comes to the products they buy or the services they use. This means that they are more likely to experiment with new services and they may be less loyal to established brands.
For companies, it means that they should do everything possible to lure more customers and retain existing ones. Here, good customer service can give you the competitive advantage you need to stand out from the crowd. And it’s simple. When you stand out from the crowd, you increase the possibility of generating more revenue and ensuring future success.
But here’s the thing. No matter how good your customer service is, there’s always room for improvement. As a result, you need to consider the right tools, technologies, and strategies to improve.
In this post, we’ll look at why good customer service is so important and how to maximise customer service with AI.
Why is Good Customer Service so Important?
Good customer service is a vital part of delivering stellar customer experiences, from a customer’s first interaction with you, right through to making a purchase and beyond.
With that in mind, some reasons why it’s so important includes:
- Customer retention. It’s simple, satisfied customers are returning customers. In other words, when customers have a good experience with your company, they’re more likely to return and remain loyal.
- Increases customer lifetime value. Because customers are more loyal and more likely to return as described above, you’re more likely to increase the customer lifetime value (CLTV).
- Increases referrals. When your customers are satisfied, they’re more likely to refer their friends, family, and colleagues to you. And because they’ve been referred by someone they trust, they’re more likely to buy.
- Builds your reputation. When you excel in the customer service department, you’ll improve your reputation. In turn, this leads to more growth and higher revenue.
- Reduces marketing spend. When you’ve built a strong reputation and get more referrals, you’re able to reduce your marketing spend. This is simply because your satisfied customers spread the word for you and create awareness about your products or services.
Ultimately, good customer service, apart from allowing you to get more customers and retain existing ones, but the main thing is it gives you a competitive advantage. In simple terms, it lets you stand out from the crowd. And it allows you to generate more revenue. In fact, 84% of organisations that improve their customer service, increase their revenue.
Below, we are going to look at how AI and customer service could help you stay ahead of your competitors.
What is AI?
At its core, artificial intelligence or AI is when computers or machines mimic human intelligence to perform tasks autonomously. It does this by learning through data and, the more the data it gets, the more accurate and efficient these systems become at performing these tasks.
A perfect example of AI in action is the recommendation systems many online streaming services use. By using your viewing history these systems can then make accurate recommendations on what you’re most likely to enjoy watching.
Why Should You Combine Customer Service With AI?
Now that you know why good customer service and the importance of AI. You probably want to know what the benefits of AI are when you combine the two. Simply put, when you do, you’ll be able to streamline your customer service operations, make them far more efficient, and empower your agents to be more productive.
Let’s take a closer look at how it enables you to do this.
For one, consider for a moment that customer service agents can realistically only deal with one customer query at a time. With AI, you’ll give your agents the ability to deal with more and, in the process, you’ll improve the customer experience.
What Is The Most Known AI Used For Customer Service?
Here, chatbots are a perfect example of how AI can help you with this. They can be the first port-of-call for any customer who experiences an issue. Typically, they’ll give customers the information and guidance they need to solve their problems. However, if an issue is too complex for the chatbot to solve, a human agent can take over and solve the customer’s problem.
Not only does this allow you to resolve customer issues more efficiently, but also saves time and manpower, so your agents can be more productive and ensure that complex issues are dealt with better. Overall, the customer journey is vastly improved.
Apart from this, because AI can automate most human tasks, you’re able to implement self-service channels that allow your customers to resolve issues, get information, and manage their accounts around the clock without needing to speak to an agent. You could, for example, implement AI systems on various social media and messaging platforms, and even answer customer emails.
In this way, your customers have all the tools and information they need at their fingertips at any time, which, in turn, ensures excellent customer experiences.
But What About Human Interaction?
The question is, should AI replace human customer service agents completely? Well, not exactly. For more basic customer service tasks that require little human interaction, AI will work perfectly. However, for more complex or highly emotional cases, they simply won’t do. Here, human agents will still be necessary. AI will, therefore, rather complement existing customer service teams than replace them.
It’s for this reason that many companies decide to combine AI with traditional customer services processes. It allows agents more efficient and productive.
As a result, this helps them to build stronger relationships with those customers with more efficiency. But still adds that human touch where necessary to keep their customers loyal.
What the Future Holds
What does the future for the use of AI in customer service? Well, AI is becoming an increasingly vital part of most modern CRM systems and Verification’s software. In fact, according to Gartner, in 2021, 15% of all customer service interactions will be completely dealt with by AI.
And this number is expected to increase significantly in the coming years, especially if you consider that 62% of consumers don’t mind interacting with a chatbot. Couple that with the fact that consumers want information faster than ever before, and it’s understandable why companies that interact with customers plan to implement AI-based customer service solutions by 2022.
As technology advances, AI will also be able to deal with more complicated and demanding customer service cases. In turn, this will lead to more widespread use of AI. In fact, McKinsey expects that, by 2030, 70% of companies will have adopted some form of AI in their customer services processes.
The Bottom Line
For companies, good customer service has always been vital in ensuring customer satisfaction, and, by implication, their success. Now, in the current climate, it’s more important than ever. As a result, companies need to implement the right tools and strategies to ensure stellar customer experiences.
Here, AI provides an effective solution that allows companies to streamline their customer service processes and make them more efficient and make their agents more productive.
At Checkboard, we’ve done extensive research to discover what makes great customer service and experience great, and we’ve combined the best practices in AI with simplicity, intuitiveness, ease of use, and speed. To find out more about our platform, and how it can help you keep your customers loyal, visit our website www.checkboard.com for more details.