With artificial intelligence becoming increasingly more common across mainstream consumer-facing activity, people are now familiar with machines playing a significant role in the way they interact with the brands they buy from.
However, with more awareness comes higher expectations as to how that technology is used. This has left many brands walking a fine line between using Artificial Intelligence (AI) and machine learning to build even better customer experiences, without compromising the human element and trust they have taken so long to build with their consumers.
Verizon Business recently released findings from its Human Connection survey conducted by Longitude, which seeks to uncover the consumer attitudes towards AI, and unearth ways for brands to overcome the common challenges associated with its implementation.
With responses from more than 5,600 consumers globally, the data shows that while the option to interact with a human is still essential, blended interactions — offering both AI and human support — are as or more satisfying to consumers than human-only interactions when it comes to customer service.
Let’s look at the key findings in more detail:
#1 Customers are embracing automation
Consumers aren’t ignorant of the automated techniques brands use in their customer experience activities. Indeed, according to the research, over half (56%) say they’re comfortable with fully automated interactions, provided the company demonstrates a good understanding of their individual preferences and needs.
Encouragingly, only 16% cited unease regarding automated interactions, while almost half (47%) were more positive about automated experiences than they were two years ago. A good example of this growing acceptance is the rise of chatbots. With the pandemic restricting physical movement, many customers were forced online to interact with brands, meaning the quality of automated services like chatbots improved as more people used them to solve basic and transactional queries.
After all, chatbots work off machine learning algorithms. It’s a self-fulfilling cycle: the more customers use them, the more data is collected, and the more accurate and effective the chatbot becomes. Ultimately, this results in a better experience for the customer as the chatbot becomes better at solving more complicated issues, quicker.
#2 Brands beware of losing the human touch
Despite customers becoming more accepting of automation, the human connection is still paramount to building a well-rounded, long-lasting customer relationship. The data shows that while 78% of respondents say a blend of tech and human-facing communication is better than human-only, they still want the option to deal with a human representative if required.
This is where a balance must be struck between human and machine, and businesses must carefully determine which areas should be exclusively owned by which party, and which areas should feature a blend of both approaches.
For example, when it comes to customer service, artificial intelligence (AI) and automation can deliver the basic message and facts – providing a surface-level and immediate solution if possible. The human steps in when the issue becomes more complicated or requires more subtle or emotive handling.
#3 Use of AI must be transparent
While many consumers are technologically-savvy and recognise that artificial intelligence will likely play some role in the relationship and interactions they have with a brand, they want to know when exactly it’s being used.
The research revealed almost two-thirds (65%) of people say it’s important to disclose when a business is using AI as part of a customer interaction – a number that’s equally important across all age categories.
Fortunately, many companies are aware of this need for AI transparency, with over half (53%) of consumers saying they’ve been given the option of declining the use of AI over the past 12 months. Those brands who overlook this vital step could risk losing valuable business, with four in 10 customers saying they’d limit their interaction with a brand should this option not be made available.
#4 To trust machines, people must first trust your use of data
Many businesses are currently re-examining their third-party data strategies to mitigate the future demise of the third-party cookies. For years, brands have been using them to track website visitors, improve the user experience, and collect data that helps brands target ads to the right audiences.
Consumers have never been fully on-board with businesses liberally using data obtained from third parties via these cookies. Our research shows that the use of third-party data is often the primary reason consumers cease their involvement with a brand, ranking ahead of ‘inability to chat live with a customer sales/service rep’ and ‘using inaccurate customer information’.
Third-party cookie depreciation, coupled with that serious risk of eroding customer trust, has led many businesses to invest more heavily in first- and zero-party data strategies, which often provide a more transparent and communicative foundation for building better customer relationships.
The future – a perfect balance between human and AI
Ultimately, the key to creating a better customer experience and building valuable trust between the two parties is to balance the use of machines and humans. Depending on the scenario, a human or machine could either take sole control of the customer interaction, or other instances may require a blend of both.
Regardless of which approach suits which situation, here are three things brands should keep in mind when using AI.
1. Clarity: Make it easy for the customer to switch to human-led support, should the machine fail to provide a sufficient solution. This could come in the form of a ‘Click the button to speak to a human’ feature during a chatbot experience.
2. Transparency: Be upfront when using AI during a customer interaction. From a consumer perspective, it can be extremely frustrating trying to guess whether you’re interacting with a human or a machine. They may not boycott you altogether, but they’re unlikely to invest more in the relationship if you try to pull the wool over their eyes.
3. Trust: Transparency forms one aspect of building trust, but it doesn’t paint the whole picture. Trust also comes from consumer faith in the ethical sourcing and use of their personal data, as well as its protection. Be honest, open, and communicative with how you use your customers’ data, and begin preparing for a world where third-party data won’t reign supreme.
