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Nearly half find AI helpful for customer service: study

Fri, 1st Nov 2024

Nearly half of consumers report finding AI chatbots helpful for customer service, according to a study by Forethought.

The study revealed that 48% of consumers believe AI chatbots have improved the helpfulness of customer service experiences. Deon Nicholas, President and Executive Chairman of Forethought, stated, "Using AI for CX is a lot harder than most assume it will be, and companies are finally starting to get it right. However, there's still a lot of work to be done. Most companies that say they have 'AI agents' today use simple bots. There's a significant opportunity to differentiate and improve customer satisfaction by transitioning to truly agentic AI that can take action, make nuanced decisions, and troubleshoot."

The research highlights an opportunity in reducing wait times, as it found that half of consumers are only willing to wait up to nine minutes for a response from customer support. Delays could lead to adverse outcomes for brands, with 23% of consumers willing to cancel or return orders, 21% deciding not to conduct business again, and 18% potentially leaving critical reviews online.

The study found that 82% of consumers feel it is at least somewhat easy to identify whether they are interacting with an AI or a human, with 90% of Gen Z respondents agreeing. Furthermore, 89% believe that companies should disclose when an agent is AI-operated.

Despite growing familiarity, many consumers still prefer the option to speak to a human. "Right now, many people distrust bots, and they don't believe they can resolve their issues," Nicholas noted. "As more companies evolve to more advanced agentic AI, we'll see more customers willing to give AI a chance to swing before they look to escalate to a human agent. This will free human agents' time to focus on the most complex and important issues while improving customer satisfaction overall."

Nicholas also emphasised the need for companies to be transparent regarding AI agents and assure consumers that bots are often beneficial. He noted that 95% of consumers think that empathy from customer service agents would likely lead to better assistance, highlighting the necessity for a balance between empathy and efficiency in AI-driven customer service.

According to the study, a major consumer frustration is the need to repeatedly communicate information already provided to another agent or automated system. Another concern is having to interact with multiple representatives before an issue is resolved. For younger demographics like Gen Z and Millennials, having to resolve issues via phone is notably frustrating.

Nicholas remarked, "As AI gets better, it's going to solve many of these issues. In the future, we'll have seamless handoffs from one AI agent to another, from an AI agent to a human agent, from chat to email, and from text to voice. Eventually, we'll get to a place where the consumer might not even need to wait as issues are resolved - thanks to AI, it can all happen asynchronously behind the scenes."

The study involved surveys of more than 1,000 US adults, providing insights into current consumer attitudes towards AI in customer service. Deeper insights and discussions can be explored through Forethought's communication channels.

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