10 min. reading

Transforming Customer Experience with Conversational AI and Automation

Does conversational artificial intelligence sound familiar to you, or do you still prefer to interact with human agents? Has the time come for us, customers, to engage in conversations with human-like AI customer support? Imagine a well-structured team where AI agents efficiently eliminate wait times, operate continuously without compromising performance, and prove more cost-effective than outsourcing. These agents deliver high-quality service while freeing up valuable time for human agents to focus on customers and more intricate cases. Discover how generative AI and AI process automation are already transforming customer experience enabling companies to improve service quality or achieve significant cost savings.

Matej Hantabal
Matej Hantabal
Director, Vox Sapiens
Transforming Customer Experience with Conversational AI and Automation
Source: Depositphotos

The Role of AI in Customer Experience

AI Call Agents at your service

Remember when chatbots first appeared? They were clunky, frustrating, and often left customers more irritated than assisted. Fast forward to today, and AI chatbots have seamlessly integrated into our online shopping experience, becoming so integrated that we barely notice them. They’ve evolved from rudimentary decision trees to sophisticated conversation partners capable of handling complex customer questions. Now, we’re witnessing an even bigger revolution in voice-based customer support.

After years of promising developments in natural language processing and speech recognition, AI calling agents have finally reached a level that makes them practically indistinguishable from human agents.

While traditional call centers struggle with long wait times and inconsistent service quality, AI calling agents provide a solution that transforms how online retailers interact with their customers.

Unlike their early chatbot predecessors, these AI agents can understand context, process natural speech patterns, and even detect emotional undertones in customer voices, making them capable of handling truly complex customer interactions.

Benefits of AI-Powered Automation

  • Personalization
  • Increased efficiency
  • Enhanced support availability

AI’s Effect: Transofming Customer Experience with Automation (CXA)

At its core, CXA uses artificial intelligence to automate customer touchpoints & streamline processes while maintaining—and more importantly, improving—the quality of service. For e-commerce businesses, this means being able to handle customer inquiries 24/7 without the limitations of human staffing.

Online marketplaces can now deploy AI agents and drop customer support call wait times to zero, with customers receiving immediate responses to their calls.

Always on Call

Unlike human agents who need breaks, sick days, and holidays, AI calling agents operate around the clock. This 24/7 availability means customers from different time zones can get support or faster resolutions whenever they need it. The consistency in service quality also eliminates the variability that comes with the human mood swings or fatigue – it’s like having the best day, every day.

No Call Left Behind

During peak shopping seasons like Black Friday or Christmas, e-commerce businesses traditionally struggle with support volume. AI calling agents can handle multiple conversations simultaneously, automatically scaling up or down based on demand.

Savings at Your Service

According to Deloitte, companies outsourcing customer service to countries with lower labor costs can achieve savings ranging from 40% to 60%. The issue is, however, the quality of the service.

Implementing AI calling agents can help bridge this gap by maintaining cost efficiency while ensuring consistent, high-quality interactions and real-time data integration. Furthermore, AI technology at scale can even be cheaper than the workforce in these low-cost labor markets.

Impact on Customer Satisfaction

Contrary to initial concerns about customer resistance to AI, data shows that customers often prefer AI interactions for certain types of support.

According to Zendesk, nearly 8 in 10 consumers say AI bots are helpful for simple issues. Customers appreciate the immediate responses and no waiting times.

Transforming Customer Experience with Conversational AI and Automation

Source: Zendesk Benchmark Data

The reliability and precision of information offered establish trust, as AI agents consistently provide high-quality responses to similar queries. Language barriers also become obsolete, as AI systems effortlessly transition between various languages to cater to a global customer base.

Perhaps most importantly, customers feel comfortable asking simple or repetitive questions, knowing they won’t face judgment or impatience from an AI agent.

Practical Applications of AI in CRM

  • Generative AI in service interactions
  • Smart ticket routing
  • Real-time agent assistance

The Human-AI Collaboration

An important aspect of AI calling systems is their ability to seamlessly hand off complex cases to human agents. The AI doesn’t just transfer the call; it provides the human agent with a conversation summary and relevant customer history.

This hybrid approach offers a unique combination of advantages and disadvantages. While AI systems efficiently manage the high volume of routine inquiries that would typically overwhelm human agents, customer service representatives can dedicate their time to solving more complex challenges.

This benefits customers on both ends of the spectrum: those with straightforward questions receive instant assistance without waiting in a queue, while clients facing complicated issues get the focused human attention they need, backed by AI-gathered context and insights.

🧐Let’s imagine a real-life scenario:

A customer calls about a delayed order at 3 AM. The AI call agent doesn’t just provide a generic response; it:

  • Accesses real-time order tracking
  • Explains the delay’s specific reason
  • Offers personalized compensation options
  • Communicates in the customer’s preferred language

What benefits do these modern AI call agents offer to us, e-commerce owners? Better sleep scores and mornings where we check dashboard metrics instead of missed calls and angry emails, and the ability to turn daily firefighting into strategic oversight.

Better sleep scores and mornings where we check dashboard metrics instead of missed calls and angry emails, and the ability to turn daily firefighting into strategic oversight.

Source: Deloitte Global Outsourcing Sourvey 2022 (% respondents)

Elevating Customer Satisfaction through AI

  • Streamlining workflows
  • Proactive problem resolution

Transforming Customer Experience: The Call of the Future

Today’s AI systems are not only automating tasks and streamlining processes, but they are also developing emotional intelligence. This allows them to recognize and respond appropriately to customer sentiment, adjusting their tone and approach based on subtle conversational cues.

By analyzing customer behavior and previous interactions, these systems can now predict potential issues before they arise. They can even proactively reach out to customers with solutions. Each customer interaction is personalized, considering individual preferences, past experiences, and communication patterns.

AI agents are progressing beyond reactive support to proactive problem resolution. They can identify and address potential issues before customers even need to make a call. Imagine your call agent advising clients on the best delivery schedule or real-time checking their order status during a call. This approach not only prevents problems but also builds customer trust and loyalty.

Challenges of Implementing AI

  • Data privacy and security concerns
  • Integration with existing systems
  • Change management and training

When implementing an AI solution of your choice into your company, especially if it’s more corporate than a startup, several challenges tend to arise.

A very common one is data security. Knowing where you are sending your data and how it’s being processed is important for getting the go-ahead when implementing it into a corporation or a more bureaucratic environment. A simple way to get these answers is to request compliance documents from your AI service provider. If they can’t provide them, avoid working with that provider.

Latest from the category Automation and AI

Do keep in mind that the ones you should be looking for vary based on your use case.

For example, when handling medical data, look for HIPAA compliance. AI vendors commonly use various providers, or sub-processors, so the compliance documents may contain the names of these entities as well, while their compliance and security standards are applied throughout the whole workflow and usage of the AI service or product.

A properly integrated AI workflow makes a night-and-day difference, and some AI vendors may not deliver the seamless experience and efficiency boost you expect—in fact, a sloppy and barely functioning AI integration usually causes more hassle than it solves.

Every vendor and AI tool will promise full integration; however, the reality is often quite different.

Generic solutions require extensive customization, lack user-friendly support, and can even misinterpret data and disrupt your workflows. Make sure to conduct thorough research and consider more than just attractive promises. The more generic the solution is, the cheaper it is, so if your goal is to find the lowest-priced vendor, you may be unpleasantly surprised by their utter lack of value in the long run.

Best Practices for AI Implementation

  • Setting clear objectives
  • Continuous monitoring and evaluation
  • Engaging stakeholders

How to Get Started with AI Calling Agents

The journey begins with an analysis of your current support operations. This means diving into your existing call patterns and observing parameters such as peak hours, common customer inquiries, and pain points in your current processMany businesses find it beneficial to initiate a pilot program, which enables them to experiment with a simplified version before transitioning to a more complex solution.n.

The next phase involves training your AI system with company-specific knowledge. This isn’t about feeding information into a database – it’s about teaching the AI to understand your brand voice, product details, and unique customer interaction patterns. AI systems can be configured to access your existing data sources and CMS, ensuring they have the most up-to-date information at their disposal.

Integration with your existing systems ensures that the AI calling system works seamlessly with your current CRM, order management,nt and customer service platforms. This integration typically takes a few days, with technical teams handling the setup process and configuring appropriate call flows.

Establishing clear escalation protocols means implementing triggers for when to transfer calls to human agents, which allows complex issues to receive appropriate attention. These protocols are refined over time based on performance data and customer feedback.

The beauty of this approach lies in its flexibility. Starting with a streamlined version allows businesses to familiarize themselves with the technology while maintaining the option to quickly switch to more sophisticated solutions as their needs evolve.

Transforming Customer Experience with Conversational AI and Automation

Source: McKinsey & Company

The Future of AI in Customer Experience

Emerging trends and predictions

We all recall the times when reaching out to customer support meant your day is about to get ruined. Long waiting times and limited availability were the defining characteristics of the industry.

A McKinsey Global Institute report’s numbers have revealed a compelling story in 2017. Companies reported they had lost nearly $62 billion annually due to poor customer service.

More critically, 68% of customers now expect personalized interactions that feel human, immediate, and relevant. Traditional support models are fundamentally flawed. Limited hours, language barriers, and inconsistent service are simply becoming unacceptable.

According to a more recent McKinsey survey from March 2024: “The availability of powerful generative AI (gen AI) tools, especially large language models (LLMs) that can parse and respond to unstructured text or speech, has opened new possibilities for technology in customer care.

More than 80 percent of respondents are already investing in gen AI or expect to do so in the coming months, with leaders highlighting a wide range of potential applications.”

Conclusion: Customer Interactions are Changing Forever

We’re witnessing a major shift in business communication due to the advancement of AI-powered systems. AI call agents are breaking down barriers of time, language, and complexity, creating a more connected, responsive, and satisfying shopping experience.

It means by far more than a technological upgrade—they represent a fundamental reimagining of customer engagement. By combining advanced technologies with human-centric design, these systems create more efficient and satisfying customer experiences.

Those who fail to innovate risk losing their competitive edge and missing out on opportunities. With a team of experts on board, the setup process becomes a smooth journey.

FAQ

Source: Depositphotos

Frequently Asked Question

What is an AI customer experience?

We consider AI customer experiences to be personalized interactions based on customer history that predict needs and handle inquiries across multiple channels, all without human input.

What is customer experience automation (CXA)?

CXA means deploying AI along with other technology to perform repetitive tasks and processes without human intervention across the entire customer journey.

What are the benefits of AI in customer service?

Implementing an AI system usually results in cost savings due to the automation they provide. Another important benefit is analytics. The AI always monitors customer interaction patterns and pain points – advanced systems will then provide suggestions for improvement.

How does AI affect customer satisfaction?

For several use cases, customers prefer AI over human agents, mainly due to the instant, judgment-free support AI agents provide. An important point to keep in mind, however, is that poorly implemented AI solutions that misunderstand customers or create frustrating loops will severely damage satisfaction scores.

What are the benefits of AI in customer support?

A feature everyone can benefit from is the reduction of response times, all the way down to virtually zero. Furthermore, both call and chat AI agents can quickly sort out simple queries while handing over the more complex ones to people, which means that your team can focus only on bigger tickets.

Share article
Matej Hantabal
Matej Hantabal
Director, Vox Sapiens

Matej is the Director and founder of Vox Sapiens, a provider of AI calling agents.

Vox Sapiens
This article is brought to you by

Vox Sapiens

Vox Sapiens is a premium AI call agent provider specializing in end-to-end automation solutions. We handle the entire setup, from the initial configuration to system integration, typically getting businesses up and running within days. Our AI agents come equipped with local phone numbers and can handle both inbound and outbound calls. Real-time performance tracking and analytics provide insights into your customer service operations. Our agents fully integrate and scale with your business needs. Our technology has been recognized for its ability to handle complex conversations without confusion, delivering consistent performance across various industries.

Similar articles
Challenges of Implementing AI Automation in E-commerce
11 min. reading

Challenges of Implementing AI Automation in E-commerce

You own an online store. When you wake up one day, all your customer queries are being answered automatically, your inventory is managed in a perfect balance, and your marketing campaigns are being run on autopilot. And it’s all thanks to AI. Sounds like a dream? It doesn’t have to be. But, as many business […]

Jiri Kral Jiri Kral
Content Manager, Smartsupp
Read article
How to Spot AI-written Content
3 min. reading

How to Spot AI-written Content

Recent advances in AI language models like ChatGPT, Bard and Claude have made it remarkably challenging to distinguish machine-written content from human work. This is particularly significant in e-commerce, where AI now routinely generates everything from product descriptions to customer service responses. While these tools can produce remarkably fluent text, careful analysis reveals subtle patterns […]

Read article
Bridge Now

Latest news right NOW

10+ unread

10+