Accurate data analysis helps companies extract useful insights out of their customers’ purchase journeys. Using these insights, companies can create appropriate engagement methods. The big question is how to manage/process large amounts of customer data. Is investing in AI-powered data processing tools the right solution? Experts seem to think so. Here are some key reasons why these firms should be leveraging Artificial Intelligence for customer experience (CX) advancement.
The Rapid Increase in Data Collection Capabilities
The amount of customer data created and collected by the average business is increasing rapidly. According to recent estimates, global data creation will grow by a whopping 180 zettabytes by 2025. Unfortunately, making sense of this data remains a huge struggle for businesses. The key to effectively extracting value from this data is AI.
Poor data quality and complex data silos pose major threats to businesses. According to a recent Forrester survey, 72% of firms in the West struggle to manage their data. Gartner reports that low-quality data processing capabilities cost businesses $15 million on average every year.
AI tools can be used to streamline all the data collected by an organization. AI-powered customer experience tools can break down complex customer data silos. These tools minimize human error while assessing customer interactions, demands, etc. More impressively, the data processing capabilities of these AI tools improve with time.
If your firm is not using its customer data to better personalize future experiences, you are missing out. High-quality customer experiences can give companies legitimate competitive advantages. To gain these advantages (before your competitors), you must invest in the right AI-powered customer data analysis tools.
The Need for More Secure Customer Journeys and Experiences
Both companies and their consumers went through accelerated digital transformations during the coronavirus pandemic. More digital customers mean more data collection opportunities for businesses. But, it also means more security risks. That is why tools that help companies detect and prevent security risks are in more demand than ever.
By leveraging Artificial Intelligence for customer experience and security, companies can:
- Analyze massive amounts of data.
- Recognize suspicious behavioral patterns for each transaction in real-time.
- Ensure all customer screening procedures are free of emotions/biases and purely data-driven.
- Respond to threats and mitigate them in lighting speed.
- Process large amounts of unstructured customer data in real-time to eliminate any hint of subjectivity in key decision-making processes.
In the post-pandemic world, businesses need to use the data they gather via sales and marketing channels to power data-driven decision-making. AI’s cognitive computing capabilities can help firms create super-secure customer journeys online. Companies can even use these AI-backed security features to differentiate their brands from competitors.
Potential for Growth
With AI, businesses can target their audiences more accurately than ever. Discovering and utilizing marketing touchpoints that drive customer engagement becomes much easier when you leverage AI tools. That is why many companies have already started adopting AI solutions in their digital marketing strategies.
- Improve Customer Interactions: Predictive and automated communication tools using a text reader (e.g., chatbots) can foster brand loyalty by – cutting down response times, accelerating customer interactions, and encouraging online sales. These AI-powered virtual interfaces streamline customer conversations and provide companies with a highly economical way of communicating with customers.
- Provide Personalized Customer Experiences: Modern businesses reach out to target customers across multiple channels. Each piece of data collected during these processes can be used to detect consumer preferences, provide customized marketing messages, and make apt recommendations. AI-powered data mining tools make it possible for firms to offer these advanced customer experiences.
In 2021, 87% of business leaders claim that providing better customer experiences will be the key driver of business growth. The need for leveraging Artificial Intelligence for customer experience improvements has never been more urgent.
The modern-day customer responds well to companies that prioritize their experiences. That is why the companies that use AI for CX will have clear advantages in the post-pandemic world.