Are chatbots dead?

When chatbots first made their debut in the customer service space, the expectations were high. For example, in the contact center, this tech was painted as a cure-all for high call volumes, limited availability, runaway labor costs and poor customer experience (CX). But in reality, it fell short of those expectations. This deficiency is due in large part to the shortcomings of scripted call flows that trap callers in endless loops that leave them begging to speak to a representative or worse—hanging up. 

Customer expectations are always rising, but at the same time, measures to cut costs are increasing as well. Customer support teams now face mounting pressure to do more with less, and outdated chatbots fall short. However, sophisticated tech tools are emerging as a solution that can actually accomplish what was promised of chatbots. Generative AI-powered contact centers enable faster resolutions, higher satisfaction, and stronger human-agent collaboration.  

CX in the contact center 

Before we dig into AI’s potential to transform CX in the contact center, it’s important to understand the underlying frustrations with legacy chatbots, also known as Interactive Voice Response (IVR) systems. These are the robotic-sounding, “Press one for more options” bots that are nearly universally despised. Between faulty voice recognition (“Sorry, could you repeat that?”) that forces callers to reiterate their problems ad nauseam and mazes of menus full of unhelpful options, these IVR systems consistently generate frustrations and leave callers requesting human help. 

Once the caller does reach a live agent, they are already annoyed. Though they have not yet even named their issue, let alone resolved it, their experience so far has been a bad one. This negatively impacts customer satisfaction scores while also subjecting the live agent to potentially hostile, disrespectful behavior. Antiquated chatbots create a lose-lose situation for all involved. 

On the other hand, contact centers powered by Generative AI can offer a completely different experience for both callers and human agents. First of all, GenAI has 24/7 availability, so your customer service capabilities will no longer be limited to just business hours. If someone calls with a question at midnight, GenAI can promptly pick it up. 

GenAI can also be trained on organization-specific information to provide accurate, up-to-date responses to many frequently asked questions. If the AI can’t answer the question, it knows to route the call to a human who can offer assistance for more complex matters. This is the beauty of AI in the contact center—since it can dramatically reduce the call volume that human agents have to deal with, they have more time to dedicate to sensitive or complicated matters that require a human touch. AI in the contact center isn’t about replacing people with technology but rather about empowering people with the tools they need to do their jobs more efficiently and effectively.   

GenAI in the contact center really shines when it comes to enhancing human agents’ capabilities: 

• Shorter wait times and quicker call routing mean less caller frustration, improving customer satisfaction scores and experiences. This also means that the callers’ human agents have to deal with are less flustered and more likely to be respectful and kind. 

• GenAI can simulate calls based on historical data, so human agents’ training is more effective because it stems from actual experiences. 

• Updated, accurate AI allows human agents to more quickly and consistently provide satisfactory resolutions to issues. 

• Because GenAI can automate sensitive processes, customer data privacy is enhanced because the opportunity for human error is removed from the equation. 

• Language barriers become a thing of the past with AI, allowing for more conversations with more customers to get to more resolutions faster and more easily. 

When human agents work in tandem with AI, their work experiences are better because customers’ experiences are better. 

The future of CX 

AI-powered agents in the contact center are paving the way for an exciting future where support goes beyond just reactive assistance to personalized interactions at scale. These systems will remember customers and their preferences, understand conversational nuances and adapt as needed. If a customer gets upset during a call, real-time sentiment analysis will trigger an adjustment in the AI’s conversational approach and strategy. Context matters, and this sophisticated tech that “gets” it is poised to take customer service to the next level. 

Truly agentic AI is another aspect of next-generation call centers that will up service quality and satisfaction. Agentic AI will offer proactive solutions and next-step recommendations to further solidify the collaborative approach of humans and AI in the contact center. 

Contact centers will struggle to win if they continue to rely on outdated, scripted chatbots and overwhelmed human agents. Striking the right balance between helpful technology and a uniquely human touch will be the key to winning in the long run. People provide the value, the tech just enhances their capabilities to boost efficiency and effectiveness to delight customers and drive sustained success.