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4 WAYS CONVERSATIONAL AI IS IMPROVING THE CUSTOMER EXPERIENCE

By Scott Clark | Aug 19, 2021

CHANNEL: Customer Experience



PHOTO: Adobe

Conversational AI, along with natural language processing (NLP), automatic
speech recognition (ASR), advanced dialog management, and machine learning (ML),
are changing the way humans relate and communicate with machines. Conversational
AI and its associated technologies enable humans to have conversations with
machines in much the same manner as they do with one another. 

A recent report from Markets and Markets revealed that the global conversational
AI market size is expected to grow from $4.2 billion in 2019 to $15.7 billion by
2024. The evolution of AI over the last decade has produced applications that
are capable of convincing a person that they are having a conversation with
another human, aka the Turing Test. It’s not just the “human” level of
interactions that makes conversational AI so important, but rather the ability
for the AI app to make informed decisions based on the actionable insights it
has gathered from data. This article will look at the ways that conversational
AI is improving the customer experience.


CONVERSATIONAL AI IS NOT RULE-BASED OR SCRIPTED

Traditional chatbots were based on a set of rules, much like traditional
programming techniques. “If this, then that, else this” was essentially how they
worked. If the customer asked what time store hours were, the chatbot would
respond by looking through its rules, finding the appropriate rule, and
responding with the scripted reply. By using keywords it gleaned from the
customer’s text, it was able to match it with keywords in its memory, go through
its rules  and select the proper response (i.e. the customer mentioned “store
hours” so the appropriate response will include the hours of operation). 

This was fine for simple queries, but since the chatbot was not truly
understanding the whole conversation, the communication between the customer and
the chatbot was limited in scope. Conversational AI is not limited to using
keywords and scripts — it is able to have a complete conversation through either
text or voice. Additionally, it has the ability to provide real-time
translations, facilitating a conversation in the customer’s own language.
According to Michael Ringman, CIO of TELUS International, a global customer
experience digital solution provider, conversational AI enables brands to
communicate with their customers globally. “Customers want to interact with
brands in their native language and embedding chatbots with real-time
translation capabilities allows customers to do just that,” said Ringman.
“Beyond translation, these bots can also intelligently pick up on the context of
conversations in order to ask for clarifications as needed, and then search for
the most relevant answers from a substantial knowledge database.”



Through the use of associated technologies, conversational AI is able to
determine the nuances of speech that humans inflect to describe how they are
feeling, and respond accordingly. “For instance, many of today’s chatbots are
equipped with NLP and can detect customer frustration by their choice of words
to then automatically and seamlessly route callers to the appropriate human
support to get resolved,” said Ringman.

Related Article: How Conversational AI Works and What It Does


CONVERSATIONAL AI FACILITATES HYPER-PERSONALIZATION

Conversational AI and ML have been integrated into many CRM platforms and
customer data platforms (CDP). CRM platforms including C2CRM, Salesforce
Einstein, and Zoho have integrated AI providing functionality that includes
real-time decisioning, predictive analysis, and conversational assistants, which
help sales teams more easily understand and engage customers. 

CDPs including Amperity, BlueConic, Adobe’s Real-Time CDP, and ActionIQ have
also integrated AI into traditional CDP elements, with the goal of unifying
customer data and providing real-time functionality and decisoning for
marketers. Conversational AI has enabled marketers to gain a deeper
understanding of what their customers want, how they are feeling, and what they
are likely to do.

Additionally, these AI-enhanced platforms and the real-time decisioning and
predictive analysis they facilitate enable them to take the “next best” action
that is personalized specifically to each customer based on the current
interaction, purchase and browser history, past customer service inquiries, and
demographics. 

Ross Daniels, chief marketing officer at Calabrio, a customer experience
intelligence company, thinks many brands are focused on the time and cost
savings that AI and automation can provide, however the potential returns for
improving the customer experience are even bigger and more meaningful for both
brands and customers. "From providing near real-time feedback on customer and
employee insights and stress predictors to voice-of-the-customer innovations,
AI-driven analytics can quickly analyze the sentiment of customer interactions
equipping contact centers with the visibility they need to help optimize the
customer experience," Daniels explained.

The seamless, hyper-personalized experiences that conversational AI can provide
across all channels may make all the difference to customers in a post-vaccine
world, and AI-enhanced call centers where AI is being used to provide human
agents with intelligent, real-time decisioning based on historical and
behavioral data are being used to create the “next best” action in the customer
journey.

Eric Jang, CEO of Deepbrain AI, an AI-enhanced blockchain-based computing
platform provider, spoke with CMSWire about the use of conversational AI and
real-time video synthesis. Unlike most conversational AI applications, Deepbrain
AI uses real-time video synthesis, which enables interactive conversations with
customers along with an accurate sync of lips and mouth, which creates an
enhanced user experience through immediate responses. “Conversational AI and
thousands of pre-recorded lines (such customer’s names and provided details) can
be utilized in real-time, which makes the interaction feel like a personal
conversation,” said Jang. 

Related Article: What’s Next for Conversational AI?


CONVERSATIONAL AI ENHANCES CONVERSATIONAL MARKETING

Conversational marketing is based around one-on-one real-time omnichannel
interactions, and enables brands to build customer relationships and improve the
customer experience through effective communication and personalization.

Conversational AI chatbots are able to enhance conversational marketing by using
one of the customer’s most preferred channels — chat. They are able to automate
the data gathering process, provide information about products and services, and
help to turn leads into customers. Additionally, conversational AI chatbots are
able to interact with customers 24/7/365, which helps to build trust and brand
loyalty, as well as enhance engagement. That said, conversational marketing is
not limited to chatbots, but rather, conversational AI is just one tool in the
conversational marketer’s toolbox. 

“'Conversational AI Humans' enhance conversational marketing because they’re
more trusted than static chatbots, so customers engage with them,” said Jang. 
“They can also respond in real-time and adapt the information depending on the
conversation. AI humans can also integrate with existing solutions like chatbot,
speech synthesis and video synthesis technologies for a full customer
interaction experience.”

Related Article: Conversational AI Needs Conversation Design 


CONVERSATIONAL AI ENHANCES THE EMPLOYEE EXPERIENCE

According to Devin Pickell, growth marketer at Nextiva, by using chatbots to put
data and tools in the hands of employees when they can be most effective,
conversational AI chatbots are able to vastly improve the ease with which
employees can handle customer service calls, which vastly improves the overall
customer experience. “Most chatbots are able to answer typical questions
customers ask and tap into a customer’s prior purchasing history in order to
provide personalized customer service,” Pickell said. "It's hard to land on a
SaaS website today without seeing a chatbot pop up and greet you. Chatbots play
an increasingly important role in customer service, support and sales." Pickell
reflected that 95% of customer interactions are expected to take place via an AI
chatbot or live chat by 2025. Additionally, a Gartner report indicated that by
2022, 70% of white-collar employees will interact daily with conversational
platforms.

Chatbots do not eliminate the requirement for human interactions and must be
balanced with the ability to recognize when to refer a customer to a live
service representative for additional details or more complicated inquiries.
Chatbots are able to provide a personalized response to basic inquiries such as
providing customers with a tracking number or letting them know when an order
shipped, leaving customer service representatives to tackle more serious issues.

Related Article: Designing Effective Conversational AI


CONVERSATIONAL AI MAKES THE BEST USE OF CUSTOMER DATA

Chris Bergh, CEO of DataKitchen, Inc., a DataOps consultancy and platform
provider that manages analytics creation and operations, shared his thoughts on
the use of conversational AI and DataOps to tame the data beast. “When companies
interact with customers, they need a unified view of all interactions and data
related to that customer. This means integrating all of the various operational
systems that collect customer data as well as any third party data feeds. The
problem is that none of these enterprise systems talk to each other,” explained
Bergh. 

“Customer data in different databases can be difficult to match and combine on
the fly.” Bergh said that by using DataOps, marketers are better able to
leverage all the data that is coming in. “DataOps provides the methodology,
architecture, and workflow automation that can break down data silos. DataOps
helps you take control of your analytic database across the board, making
integration of newer data channels like conversational AI easier to leverage,"
he said.

AI is capable of taming the beast that massive amounts of data has become. “Add
AI to the equation and the amount of data that comes pouring in is like a fire
hose. Speech and automated conversational technology are arguably the most
critical, efficient, and fastest-growing data acquisition channels for
marketers,” said Bergh.


FINAL THOUGHTS

In the post-pandemic world we are slowly emerging into, conversational AI is
able to provide the hyper-personalized experiences that customers expect. Since
conversational AI is not scripted or rule-based, it is able to facilitate actual
conversations with customers, which tremendously enhances conversational
marketing.

Conversational AI is also able to provide customer details to service
representatives in real-time so they can more effectively and efficiently handle
larger, more complicated issues, improving both the customer and employee
experience.

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 * Worksnaps
   
   Thanks for the informative write-up, Scott! BYOD in the workplace really has
   tons of benefits to the company and employees alike. Definitely sharing!
   
   How to Support BYOD in the Remote and Hybrid Workplace · 1 hour ago

 * johngriffin0928
   
   Excellent points.
   
   We've Forgotten the Most Important Part of Personalization · 3 days ago

 * Worksnaps
   
   Great tips, Laura! Doing all these goes to show that you care for your
   employees and their well-being and success.
   
   3 Ways to Put More Control in the Hands of Your Remote Employees · 4 days ago

 * scottfasser
   
   Great insight. I totally agree that organizations need to treat digital as
   part of their core DNA (ALL organizations) vs a "project" to complete.
   Digital capabilities will only accelerate so having...
   
   Forget Digital Transformation – Just Become Digital · 6 days ago

 * dlavenda
   
   I agree. My point is that there a lot of technology options out there. We as
   managers need to direct people to use them in a way that is both productive
   AND humane. The idea that technology can be...
   
   Can Asynchronous Collaboration Survive Our Always-On Workplaces? · 1 week ago

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 * Worksnaps
   
   Thanks for the informative write-up, Scott! BYOD in the workplace really has
   tons of benefits to the company and employees alike. Definitely sharing!
   
   How to Support BYOD in the Remote and Hybrid Workplace · 1 hour ago

 * johngriffin0928
   
   Excellent points.
   
   We've Forgotten the Most Important Part of Personalization · 3 days ago

 * Worksnaps
   
   Great tips, Laura! Doing all these goes to show that you care for your
   employees and their well-being and success.
   
   3 Ways to Put More Control in the Hands of Your Remote Employees · 4 days ago

 * scottfasser
   
   Great insight. I totally agree that organizations need to treat digital as
   part of their core DNA (ALL organizations) vs a "project" to complete.
   Digital capabilities will only accelerate so having...
   
   Forget Digital Transformation – Just Become Digital · 6 days ago

 * dlavenda
   
   I agree. My point is that there a lot of technology options out there. We as
   managers need to direct people to use them in a way that is both productive
   AND humane. The idea that technology can be...
   
   Can Asynchronous Collaboration Survive Our Always-On Workplaces? · 1 week ago

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