The Pros & Cons OF AI-Powered Customer Service
July 16, 2024
Rapid developments in AI have led to more AI chatbots greeting customers when they visit online stores – mimicking the experience of a store clerk at a brick-and-mortar retailer. The technology continues to grow, and with it, the potential to revolutionize customer service. According to surveys conducted by eMarketer, 37% of e-commerce marketers worldwide already use AI customer service, and the trend looks set to grow.
While AI offers numerous exciting benefits for the future of customer service, there are also several challenges that e-commerce sellers should be aware of as they integrate AI into their customer service strategy to ensure their businesses never lose their human touch.
The AI Customer Service Edge
Shoppers expect a lot from brands, which can quickly lead to burnout and high turnover among customer service staff. In fact, the job is regularly considered one of the top 10 most stressful jobs by industry analysts.
Though AI is expected to revolutionize customer service, it isn’t expected to outright replace workers. Automating information channels to customers with AI is expected to make the job a lot easier in the long run. Instead of dealing with repetitive low-level queries, such as checking password changes and product order statuses, people can focus on creative strategy, building empathy, and relationships with their customer base.
The concept of AI customer service isn’t new. Most people are familiar with automated customer service phone calls. But now that AI can participate in sophisticated conversation – even at an existential level – the ceiling for addressing customer queries has risen significantly. Surveys from eMarketer indicate that 86% of adult consumers worldwide actually want to interact with AI when shopping.
Because of these prospects, eMarketer surveys reveal that 29% of e-commerce businesses worldwide are considering AI-powered customer service.
Careful Integration of AI
According to surveys from Ultimate, 47% of Gen Z shoppers indicate that they will walk away from a brand after just one bad experience. Customer service agents may burnout and occasionally fumble an interaction with a customer, but AI also presents risks.
Humans crave empathy, and AI will never be able to deliver an emotional connection like a person can. Real brand loyalty and long-term success will likely come from combining the speed and efficiency offered by AI with ensuring you never lose the irreplaceable power of personal touch with your customers.
Even with the present challenges, the prospects of integrating AI into customer service remain exciting, especially as the technology continues to develop. For e-commerce businesses with limited budgets, utilizing AI in customer service may be a low-cost means of providing 24/7 support to your consumer base, helping you dedicate the limited time of your staff to higher-level tasks.