Warren Hawkins, MD, Euphoria Telecom.

Generative AI has recently taken centre stage as a transformative tool for businesses, particularly in customer service. Often, discussions around AI in this space focus on overcoming customer service challenges. However, instead of using AI to keep customers at arm’s length, businesses should leverage it to forge closer connections.

Customer service and communication are already leading applications for generative AI. According to The SA Generative AI Roadmap, 96.7% of businesses are either using, planning to use, or considering AI chatbots. Among those already employing AI, 55.6% report positive or very positive outcomes.

The allure of AI is evident: it provides faster, more cost-effective responses to simple inquiries, operates 24/7, and offers multilingual support. Yet, integrating AI thoughtfully is crucial. Successful businesses understand that innovation should enhance the customer journey, not limit it.

Surprisingly, the Zendesk CX Trends Report reveals that 41% of customer experience leaders plan to increase their phone support budgets this year. This underscores a key point: AI, even in a digital-first strategy, shouldn’t do everything. Innovations like AI should balance quick solutions with opportunities for customers to connect with the brand.

AI excels in managing high volumes of simple queries efficiently. However, efficiency does not trump empathy, especially in complex cases. When a customer feels wronged, a chatbot exchange is unlikely to restore trust. It’s in these moments that customers seek human connection, wanting their concerns heard and addressed.

For instance, a busy executive might prefer interacting with a chatbot for quick information rather than calling a call centre, whereas someone with more time might enjoy the personal interaction a phone call provides. Tailoring customer service strategies to meet diverse customer needs is vital, rather than creating internal processes merely for convenience.

If a customer resorts to a phone call after failing to get help through digital channels, the stakes are high. Businesses must ensure their teams are equipped to handle these critical interactions effectively. As AI handles simpler tasks, human agents will tackle more complex and emotional calls, necessitating advanced training in product knowledge and communication skills.

Customers calling for help should not face poor call quality, long wait times, or multiple transfers. Data and analytics play a crucial role here, offering insights into service experiences from wait times to transfer counts before resolving requests.

Rather than replacing customer service, AI can significantly enhance it. Deloitte research shows that companies with robust personalisation strategies are 48% more likely to exceed revenue goals and 71% more likely to report improved customer loyalty. AI’s ability to swiftly analyse data to identify preferences and past interactions provides a personalisation edge that can delight customers.

While the future may be AI-driven, customers remain human, with unique preferences and quirks that AI can never fully understand. Balancing AI efficiency with human empathy is essential to meet customer needs and foster business growth.