Artificial Intelligence (AI) has become very popular in recent years. In fact, the number of global AI tool users is expected to grow from 250 to 700 million by 2030. So you might be wondering: Can chatbots and AI assistants replace human customer service?
In this post, we’ll take a closer look at these AI tools in the business world, and share some examples of companies that already use them. Then, we’ll discuss the pros and cons of using chatbots and AI assistants, and if they can ever replace human customer service. Let’s get to it!
An Introduction to Chatbots & AI Assistants in Customer Service
A chatbot is an AI-powered tool that can respond to repetitive and common customer inquiries in real-time. Typically, you can access a chatbot by clicking on an icon in the corner of a website:
The AI technology used for chatbots is relatively simple. Most chatbots have to be configured using decision trees and if-then statements. Of course, a customer support agent will have to create and automate these responses.
Still, despite the setup process, a simple chatbot can help a customer service team save tons of time and work. For example, it can direct customers to the appropriate web page or department to resolve their issues.
More sophisticated chatbots may be capable of using conversational AI. This technology can go beyond simple conditional reasoning. It can use Natural Language Processing (NLP) and Machine Learning (ML) to simulate human conversations.
AI assistants work a bit differently from chatbots; mainly, they don’t offer “live” support. However, they tend to provide a more comprehensive suite of features. For example, they may have the ability to automatically send a personalized confirmation after a support ticket is opened.
They might even integrate with your Customer Relationship Management (CRM) software and scour your archive of support tickets to most appropriately help the customer in need. They can do more than just the basic automation that traditional customer service software provides.
Essentially, AI assistants have more data processing and analytical abilities. Some can even carry out sentiment analysis. This means they can analyze text to determine the emotional tone of a message. This can help dissatisfied customers get more effective support faster.
Examples of Businesses that Use Chatbots & AI Assistants
Next, let’s check out some examples of businesses that use chatbots and AI assistants effectively.
WP Engine is a hosting provider that offers 24/7 support through a chatbot:
When you engage with this chatbot, you can easily see that it uses a decision tree to help lead users to the information they’re looking for. This can be an excellent way to engage customers.
Although it may seem a little impersonal, reaching out to a chatbot is a lot easier than picking up the phone. So, it helps you cater to customers who don’t feel comfortable speaking to a human.
Starbucks is another company that makes effective use of chatbots:
As you can see, the chatbot is not placed in the corner of the screen. This may be preferable as some customers may find the pop-up distracting.
Instead, you’ll have to navigate to the customer service page to find it. The great thing about this is that you’ll find all the other support options in the process. Ultimately, the most successful chatbots are complements to a more robust, multi-channel support system.
When it comes to AI assistants, it’s difficult to know when a business is using them (as this is mostly on the back end). So we’re simply going to share some software options and explain how they use AI.
Many traditional customer service software companies are now adding AI features. One example of this is HelpScout:
Most notably, HelpScout has added an “AI summarize” feature. This generates simple summaries of long customer conversations so that support agents can get up to speed faster.
There are also new customer service AI businesses popping up. Kustomer is one of them:
This AI tool offers code-free configuration, which makes setting it up easy. It can also integrate with CRMs in real-time.
Plus, it uses conversational AI and intent detection. If it knows it can’t handle an inquiry, it can seamlessly pass it over to a human service agent.
Keep in mind that pretty much any online business can use chatbots and AI assistants. That includes small businesses and enterprises. If you have a WordPress website, there are plenty of AI chatbot plugins you can use to implement these tools.
The Pros and Cons of Using Chatbots and AI Assistants
Now, let’s go over some of the pros and cons of using chatbots and AI assistants.
When it comes to using AI to support your customer service team, you can:
- Provide 24/7 support without needing around-the-clock staff
- Respond faster to inquiries
- Reduce your customer support team’s workload
- Boost customer trust and satisfaction
- Resolve urgent issues in a more timely manner
Additionally, it can be more cost-effective than hiring new employees.
Even with all these advantages in mind, it’s important to note that AI isn’t perfect, and it does have some downsides.
Here are some of the most notable drawbacks:
- Some chatbots and AI assistants require in-depth setup and configuration.
- Customers may become frustrated by primitive decision trees and circular conversation.
- Advanced chatbots and AI assistant software can be expensive.
- More affordable AI software may provide limited functionality.
- It can be hard to eliminate AI bias.
As you can see, using chatbots and AI assistants is a bit of a mixed bag. However, if you have the budget, the skills, and the patience to configure these tools, they can help your business immensely.
Impact of Chatbots & AI Assistants on Human Customer Service
Now that we’ve gone over the pros and cons of chatbots and AI assistants, we’re going to answer the most important question. Can these AI tools replace human customer service?
The short answer is no.
At this point, there are certain customer needs that AI software can’t handle. What’s more, according to some studies, 86% of people say that it’s very important to them to be able to get in touch with a human support agent. Furthermore, 54% of U.S. customers still prefer the phone as the primary support channel.
However, this isn’t to say that chatbots and AI assistants are bad. On the contrary, they can be an excellent way to complement your customer service team. In fact, they are used heavily across industries. That includes everything from biotechnology to the automotive industry.
According to the same study that identified the phone as the preferred channel, 38% of people prefer digital channels. So, it’s best to offer multiple channels of support. Ideally, you’ll offer a chatbot, support ticket system, and phone service.
Likewise, just because AI assistants can’t replace human assistants, it doesn’t mean we should discredit them. They can help optimize your customer service workflows and enable your actual support agents to attend to concerns that require a human touch.
Conclusion
Chatbots and AI assistants enable businesses of every size to offer 24/7 support and resolve customer inquiries faster. However, there’s no replacing customer service with a human touch. Therefore, these tools should always complement your support team.
Do you have any questions about how to integrate a chatbot or an AI assistant into your customer service strategies? Let us know in the comments section below!
Image credit: Mikhail Nilov.
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