10 Ways How AI Will Improve Customer Experience

There is no doubt about AI’s potential to transform customer experience. Already 70% of CX leaders see AI as a catalyst and a strategic need to improve customer experience, transforming the way how brands connect with modern-age customers. 

AI has new ways to elevate customer experiences, leaving the previous CX operations outdated. Explore AI in customer experience.

If you are in a customer-centric business where you have to connect with your potential customers, it is high time you understand how AI can make a difference.

This is why, many businesses are learning, experimenting, and adopting advanced AI to improve their customer’s journey for better engagement, leads, and conversions. 

Our industry experts have claimed that these 10 ways can help any business to offer more personalized and engaging experiences.

What is an AI for Customer Experience?

AI in customer experience refers to using AI technology like AI chatbots, assistants, AI customer service chatbots, machine learning, and digital agents to automate workflows, personalize interactions, and proactive approaches, and deliver fast responses. 

Thus, businesses are on the onset of developing AI-powered customer support systems that can help them resolve customer’s problems in no time and be there every time. 

10 Ways AI Can Elevate Your Customer’s Experiences

Here is how artificial intelligence customer experience can enhance customer engagement and allow CX teams to be productive and operate efficiently. 

1. Consistent customer service experiences at scale

Leveraging Generative AI for customer experience helps businesses handle a large number of requests and queries at the same time, without impacting the quality. It ensures that all customers are attended to well and get a response quickly. 

Businesses can use AI to prepare agents who analyze historical data to provide personalized interactions to each customer. AI helps identify and label customers’ intent, preferences, issues, and sentiments to understand their needs. 

Not only this, businesses can integrate bots across multiple channels of communication like email, social media, messaging apps, and more to stay consistent.

Bots can save the services team’s time and efforts in managing growing customer requests, especially during the holiday season when sales are at their peak. 

Also read- Cost to Build an AI Customer Service Chatbot?

2. Fast, 24×7 Support

Customers expect fast and 24×7 availability from their brands, whether it is human-assisted or AI customer assistant. Customers only prioritize brands that are able to offer them this availability.

About 82% of customers say that they would opt for chatbot service rather than waiting for a human agent to help them. 

AI can help businesses deliver this availability. With conversational AI, businesses can offer human-like interactions at any time without losing any leads.

These chatbots are available at any time, improving customer support, and conversion rates, and solving customer’s issues instantly. 

Even your CX team can create prompt replies based on the conversions and customer issues. Adding an AI in customer service chatbot helps teams achieve faster first response time, and reduces handle time and wait time. 

3. Onboarding CX Teams Effortlessly

AI can help quickly train new customer service agents. It can act as a virtual assistant, giving real-time tips and feedback during their training.

For example, AI can suggest how to adjust the tone of their responses—making them more friendly or formal. It can also show examples of past support tickets, so agents can see how others handled similar issues.

4. Leads to an Efficient and Productive Team 

AI for customer service agents to work faster and more efficiently by simplifying their tasks. AI-powered chatbots handle basic requests, and automation takes care of repetitive tasks.

This lightens the load for agents, allowing them to focus on more important or complex issues.

AI also helps route customer inquiries more accurately. It can analyze conversations to understand things like customer sentiment, language, and intent, which reduces the need for tickets to be escalated.

Additionally, skills-based routing ensures tickets are sent to the right agent based on their expertise, availability, and the priority of the issue.

Gianna Maderis, a Principal Customer Experience Manager at Zendesk, explains how AI boosts efficiency: “Automated triage is something any business can benefit from. We’ve saved 220 hours per month by eliminating manual triage.”

5. Hyper-personalized Customer Interactions

Hyperpersonalization is not the future trend anymore, it is the present. If businesses fail to engage their customers and connect with them personally, they tend to fall apart.

To achieve this, businesses must leverage AI as a personal assistant for each customer, helping agents understand their past interactions and preferences. This makes it easier for agents to meet their specific needs.

For example, Grove Collaborative, a sustainable e-commerce brand, uses AI to give agents insights that help them offer more personalized service.

Rather than replacing human interaction, AI supports agents by providing the context they need to deliver quicker and more customized experiences for each customer.

6. Predict Customer’s needs and issues

AI works on data. It can analyze historical data, behaviors, and sentiments of customers to predict their needs and identify potential concerns.

It helps businesses to be proactive and take strategic actions to improve customer satisfaction and build brand loyalty. Almost 70% of businesses feed AI with internal knowledge and past support conversations for real-time updates.

For example, fashion retailer Motel Rocks uses AI to improve their customer service by automatically sorting messages and analyzing the customer’s tone.

The AI can identify the customer’s intent and emotional state, helping agents understand the issue and prioritize responses more efficiently.

The AI also adds a simple emoji to show the overall sentiment—ranging from negative to very positive—giving agents a quick visual cue to prepare for the conversation.

Also read- AI in Retail: Use Cases that Drive Business Innovation

7. AI-driven Quality Assurance

In traditional customer service, quality is usually judged by humans. However, AI-powered quality assurance can automatically assess agent performance, analyze customer emotions, and highlight areas where agents may need coaching based on data from customer interactions.

This helps businesses spot patterns, fix problems early, and customize training to ensure agents consistently provide great customer service.

8. Analyze customer’s data seamlessly

AI tools help customer support teams track and analyze data, like customer sentiment, to spot signs of potential churn and address issues right away.

Using predictive analytics and natural language processing (NLP), AI examines thousands of keywords from customer interactions.

It can then provide recommendations and send alerts to help monitor sentiment and predict when issues might escalate or when customers may leave.

Sentiment analysis also lets you review customer feedback to understand how they feel about their experience with your brand. This helps identify potential problems so your team can take action to prevent churn.

9. Reduce Support operational cost

Using AI in customer experience can help reduce costs by automating simple tasks, allowing customers to handle some issues through self-service, and cutting down on the need for extra tools, training, or staff.

AI is great at automating tasks, recommending content, and predicting customer needs. Investing in AI during tough economic times helps teams manage more customer inquiries and provide quick, personalized service without increasing costs.

10. Streamline workforce management

Many customer experience leaders want to increase their budgets for better tools to manage agents. One way they’re doing this is by using AI in workforce management.

AI tools can automate tasks, provide useful data, and help managers plan staffing needs ahead of time.

For example, AI-powered forecasting can predict staffing requirements based on past data and customer behavior, so you know how many agents you need and where to assign them.

Automated scheduling saves time, and real-time tracking lets you monitor agent activity and ensure they are meeting their goals.

Also read- 13 Ways Businesses Can Implement AI in Customer Service

By 2025, 34% of businesses will leverage AI chatbots for improved customer experiences and streamline their journey. Today, about 60% of B2B and 42% of B2C companies use chatbot software.

Several businesses are already using AI across their support workflows. 

Real-world Examples of AI for Customer Support

Here are some brands that are taking their customer support to another level using AI.

1. Delta Airlines 

It is known for excellent customer service, and it’s using generative AI in its “Ask Delta” chatbot to improve the passenger experience. It helps customers check in, track bags, and find flights.

The AI-powered chatbot responds quickly with detailed answers, reducing 20% call center volume and dependency on human agents.

2. Heathrow Airport

Heathrow Airport, being the most operational airport handles around 1,300 flights and over 100,000 passengers a day. With mostly international passengers, they got a lot of queries. 

Heathrow integrated AI-powered systems into their customer service operations to answer service queries and automatically summarize cases, making the process more efficient.

3. Expedia

Expedia has added ChatGPT to its mobile app. With this new feature, travelers can chat with an AI bot to get recommendations, explore activities, and find travel help.

It has improved their customer’s experiences while reducing waiting time and providing them with information in real-time.

4. H&M

H&M has integrated generative AI to help shoppers streamline their shopping journey.

On their website, the AI chatbot responds 70% faster than human agents, improving customer service. They have an integrated AI-powered voice assistant in their mobile app allowing customers to search for products easily.

The chatbot also attends to customer’s common questions and helps them with orders, reducing the workload for H&M’s customer service team.

Today, businesses of all sizes can benefit from AI customer chatbot technology. 

Chatbots are currently saving businesses around $20 million in costs, and this number will keep growing as more companies use them. This makes sense, as chatbots can cut customer support costs by up to 30%.

When you consider the global AI chatbot market is expected to reach $1.34 billion in 2024, the potential is huge. The average return on investment (ROI) for chatbots is about 1,275%, just from savings on support costs.

AI customer chatbot benefits are not limited to just one industry. If you want to get started with your AI assistant, connect with experts who understand your business needs and integrate AI-powered customer support wherever necessary.

How Can OnGraph AI Experts Help Your Business Improve Customer’s Experience?

Offering intelligent and human-like interactions to customers has become the need of the hour. AI is setting the stage for businesses to deliver personalized experiences while improving conversions.

If your leads are not converting and losing potential customers- it is time that you integrate AI magic into your workflow.

At OnGraph, we aim to turn your dreams into realistic ideas. With our white-label AI customer chatbot, you can easily kickstart your customer interactions at scale without missing any leads.

From optimizing workflows to delivering in-depth customer insights- you are set to build loyal relationships that convert.

Connect with our experts and explore your business proposition.