Table of contents
Perihan
Content Marketing Specialists
Marketing
8 min read
  -  Published on:
May 31, 2023
  -  Updated on:
Jul 23, 2024

12 Benefits of AI in Customer Service to Guide Your Business

From home to hospitals and from finance to security, we see the practices of artificial intelligence, and there is more to come.

As a developing field, artificial intelligence has the most potential and common impact on customer service in businesses.

Since it eases the workload and chat flow primarily, it is possible to mention lots of benefits when it comes to AI in customer service

a digital hand pointing out the digital world

Our main aim is to provide the necessary information about how AI can help you with your customer service and open a few doors for you.

12 Hidden Benefits of AI in Customer Service

Here the question is, “What are the benefits of AI in customer service?” waiting to be answered.

And we have discovered and examined 12 advantages of AI in detail. 

That is how we will be able to share the secrets of how you can improve your customer service with the help of AI.

We are sure that you may be familiar with some of them, but sharing the facts along with the hidden benefits might help you shape your thoughts and judgments.

Let’s see what AI can do for you! AI…

1. Controls Data and Chat Histories

people checking the rates and tables on the paper

Before putting AI fully in charge, you need some responsibilities to discharge, such as providing the related data about your customers and your product or service.

We expect AI to do the job for us, but you need to support it with the related materials beforehand. 

For example, necessary articles, inevitable features of your product, and customer information need to be supplied for AI to process data analysis.

After the data analysis, AI will be able to control data and chat histories to shape your customer service and its terms.

This way, you will be more able to track the oncoming data and make them more reachable to use.

2. Segments Customers

Not all customers are the same, of course. Besides, not all of their problems are the same or quite easy to cope with. Here comes AI to help you segment them

We mean they need to be categorized in terms of their status and the reason for their issues.

For this process, your current customer service mindset works, and AI needs to know your machinery if there are any previous actions in this field. 

As an example, do you have a ticket system for your customers? Or do you support your customers based on their pricing plans and have a priority to do that?

These kinds of questions can shape the way your AI is in customer service because it means an important action to give importance.

3. Saves Time

You know what they say, “Time is money.” Yes, it is, especially in business.

a watch with unclear numbers generated with AI tool

Most of the businesses are having a race against the clock along with their competitors. For this reason, AI is the savior and the favorite soldier.

Whether you have a small customer base or a large one, you can’t lend a hand to everyone at the same time. Even your customers have the expectation of 24/7 availability; we wish you luck.

We recommend AI more than anyone because you can buy your time in this case.

Also, we need to highlight keeping track of your key performance indicators (KPI) for your customer service, and AI is effective in managing the average handling time (AHT).

With AI, you will be hitting two birds with one stone by responding to your customers all the time and adjusting your AHT for your business statistics.

4. Presents Personalized Experience and Support

This will be your catchy moment when you start using AI. You do not need to go back to your chat histories over and over again, or you do not have to detect the problems and find the help documentation from your archives.

If what matter is customer experience (CX), then you need to do it with delicacy and attention. So, when we consider all the customers like the business interest, personalization is not a wish but a requirement.

We want the easiest and the most practical solution for optimizing customer service, and AI seems to have it all. 

In addition to these points, by personalizing the CX, you can have a guideline to shape the steps of your product management journey.

Giving an ear to what your customers’ personal problems are will help you support you in the service and product personalization process. 

5. Manages the Changes  

a pair of hands controlling the information

We convey information and data of the necessary materials to AI, and it adapts automatically to machine learning (ML) by putting the information through the process.

At the end of this scenario, AI has what is needed and demanded to help customers. However, that is not all.

This adaptation process will have enlightening outputs, like;

  • Knowing the average handling time of a customer’s problem,
  • Analyzing and guiding the customers with data analysis,
  • Dealing with the changing situations or moods of the customers with sentiment analysis,
  • Noticing the missing parts of the product or service with the chats,
  • Following the customers’ journey in all channels, whether you use multichannel or omnichannel support.

By considering these outputs and thinking about what they can change, it will be much easier to imagine how AI can help you.

6. Saves Costs and Money

Sparing the budget, making the right investment decisions, and distributing the money to the related fields for the related works.

a roll of money with a padlock

When we look at the most effective benefit of using AI for your customer service, you will automate the tasks for AI to relate them to customers, and you can free your employees for a much more important task. 

Besides, you will not have extra automation and pay for it since AI will be following the process.

Concurrently with this point, your employees can work on acquiring more customers with your guides, demos, support system, and their details. 

Regarding these facts, you are spending money effectively and as it is supposed to be when the matter is using AI. 

7. Helps You Catch Up-to-Date Information

You would not want to miss any details that might be related to your business and efforts, right? We totally get it!

And yes, AI helps you catch the latest trends and information, but no, this is not unbelievable.

a hand touching the screen and the world to connect

Just be sure that you will not be wasting your time or your employees’ time learning the latest innovations since machine learning will do it for you.

Nevertheless, you will not be spending your money either to reach details and recent research. 

With the help of AI, you can deal with other details rather than improving the customer service part.

8. Offers Innovative Ways of Support

It seems that all the authority of customer service is on AI, but you are still in charge of anything, and you can make it more helpful with this feature.

What if we told you that AI could detect problems beforehand to solve them effectively for you, and you do not need to worry about the detection of potential problems?

As a result of entering the related data, the AI, which works with natural language processing (NLP), can feel and recognize the oncoming issues. It will help you with the precaution as well.

a mannequin collecting money and standing next to them

It is essential to mention that based on the research, providing proactive AI support to your customers will help increase in conversion rate by up to 15%.

This is because you will be preparing your solutions, and the only thing for AI will be to focus on another point. 

As a reminder, we do not expect to have problems with any product or service; however, it is always best to take precautions against all.

9. Follows Performance Seamlessly

Artificial Intelligence will not only showcase the importance of customer service but also point out the improvement in the performance of the business.

The matter is not always about acquiring new customers, but it is also about retaining existing customers and maintaining the sustainability and consistency of your business performance. 

Following the process of solving the problem, the AI will be taking care of the oncoming issues and the problems that you find the solution to before they happen.

This optimization will affect the management of your product, too, since the products also contain overtones of customer feedback and their reactions to the development process.

Therefore, you will be getting recommendations from your AI from the responses of your customers and their pain points through their user onboarding and experiences. 

10. Makes Customer Sentiment Analysis for NPS

Talking about customer feedback and user experience, we need to talk about collecting and gathering net promoter scores (NPS) from your customers.

Among the features and benefits of AI, it is more than welcome to mention customer sentiment analysis, which is a total mind-blowing and impressive detail of AI. 

Customer sentiment analysis recognizes the conversation with the customers and detects what their opinions are towards the brand, tool, and experience. 

By getting learning from the root, AI will be able to share the NPS with you without having to ask your customers or request them to rate their experience per se.

Still, that can be all good to advise your customers about their experience, but your AI will be providing you the details with the reasons after the conversation is done and the problem is solved.

So far here, you understand, all right. If you wonder how it can be possible, we can answer this question with the combination of the customer service mindset, machine learning, and natural language processing.

Enjoy your feedback and make use of it for the well-being of your product wisely.

11. Provides Multilingual Support

bright lights that connect a root

This can be one of the most predictable ones, but that point is a blessing for most businesses. 

Even though your product or service has one language, it can serve many nations, and this needs some resources.

At this point, AI’s providing translation among languages can save you from a serious workload, and you can focus on different points. 

Moreover, your customers will be delighted to see that they have the option to find solutions in their own language, and we confess that this is a move to increase customer loyalty.

12. Helps You Spare Time for Sophisticated Problems

a man dealing with his computer and writing codes

If you are a developing business, there is always room for improvement, and you always need to be ready for this. 

And though you have a team, you may not be able to catch everything at the same time.

Therefore, by the power of AI, you have the power ;)

Complex problems at a business may appear and need more time to solve, and we can feel you when you want to be at 5 places at the same time. Still, since it does not seem so probable for now, AI can maintain your loyal relationship with your customers.

By deciding on the use of AI in customer service, you can focus on more complex problems that need to be solved with an urgent attempt comfortably.

That is how you will be able to follow both your customer relations and general business actions.

How AI Improves the Customer Relations 

You may feel that is all to cover about AI and customer service; however, AI shows up with critical points of a business.

Therefore, we need to point out that AI has special experimental outcomes, and they need to be observed to increase the impact of use.

As we have pointed out the importance of NLP, your customer service will be ready to bloom if you decide to make use of artificial intelligence.

# By Adding Value

Firstly, we know what customer support means to a business, and it may break all the rules if customer service does not work as it is supposed to. 

a white robot looking at the camera directly

As a precaution and innovation to this point, AI will not only support your customer but also grows your revenue as well. Since many businesses are fond of automating business processes to save time and focus on development, knowing that AI will contribute more can help.

According to Zowie’s analysis, there is a possible 47% growth with AI customer service in terms of the average order value (AOV) of a company.

Besides, it is important not to forget the customer retention provided by the power of AI because there will be customers whose problems are solved seamlessly.

Therefore, we can say AI enriches customer service and business.

# By Distributing the Tasks

Another point is that AI only works to make things easier for you, and as far as you can think of, it can nail work management down as well.

Customer service tasks that you need to arrange to be completed and all the probable improvements for this field can be handled by AI.

It can organize, distribute, and keep track of the related processes. 

Thus, it is much more straightforward to work with AI and with the help of AI.

# By Personalizing Customers’ Journey

By this far, you must have paid attention to the significance of the personalization of customers’ journeys. However, it is necessary to point out that the main audience is people here.

< customer-journey-map.jpg alt= “men in a meeting building the strategy on a whiteboard with stick notes

Offering a good service is as much important as retaining and acquiring customers.

So, AI’s one of the most remarkable features is its personalization. Because it gains chat histories and makes customer sentiment analyses, you will be able to observe the impact of personalization on customer service.

# By Providing Chatbot Support

To be clearer than ever, we do not mention classic and useless chatbots here because they disturb customers rather than help them.

The classical chatbots may give impractical answers to the customers, but we emphasize the AI chatbots, which can customize and adjusts the answers properly. 

If you want, AI chatbots will give you time, saves your effort, or helps you reach the right solution based on your needs and situations.

By doing so, you can develop a sense of loyalty to your customers as well since they know their care.

Conclusion

All in all, we have unveiled the hidden benefits of AI in customer service, and these are the first phases of AI's impact on your business.

To catch the flow and bring relief to your process, using AI chats will help you ease the management.

So, if you are satisfied with the benefits and look forward to embracing more facilities that AI will give, start discovering the world of AI!

The Frequently Asked Questions

Let’s have a look at some detailed questions that can appear on your mind when we say the presence of AI in customer service!

1. Can I Use AI for Integrating My Current CRM?

Yes, you can. AI chats are able to integrate with email services. Also, it will be more convenient to recognize your customers and manages answers to their potential problems. Moreover, you can observe its efficiency.

2. Are There Any Challenges to Using AI in Customer Service?

It depends, but mostly no. When you first start to use AI, you may need to integrate your customer service tools, and there may be initial setup issues that can be handled. Other than that, you need to provide necessary data about your customers to your AI tool so that it can maintain consistency. 

3. Can AI Chats Provide Empathetical Answers?

Yes. With the help of sentiment analysis, your chat can scan and provide related answers. Even it detects customer mood and prepares a proper response. From the aim of customers, AI can try to sustain customer satisfaction in the first place.

Perihan
Content Marketing Specialists
I’m Perihan, one of the incredible Content Marketing Specialists of LiveChatAI and Popupsmart. I have a deep passion for exploring the exciting world of marketing. You might have come across my work as the author of various blog posts on the Popupsmart Blog, seen me in supporting roles in our social media videos, or found me engrossed in constant knowledge-seeking 🤩 I’m always fond of new topics to discuss my creativity, expertise, and enthusiasm to make a difference and evolve.