AI in Customer Service: More Than Just Artificial Intelligence

Shep Hyken
ai customer service
ai customer service

Artificial Intelligence has dominated business conversations for the past couple of years, but we’ve only begun to explore its true potential. While AI officially stands for Artificial Intelligence, I’ve been thinking about what it really means for customer service professionals and the customers we serve.

When we talk about AI in customer service, we’re referring to technology that can think and learn like humans to solve problems and answer questions. This technology makes companies and their employees more productive and efficient. But I believe AI can mean so much more.

Five Alternative Definitions of AI

Let me share some alternative interpretations of AI that highlight its impact on customer experience:

  1. Avoiding Inconvenience – This is my favorite definition. If given the choice between getting an immediate answer or waiting on hold for 10 minutes, which would you choose? AI eliminates waiting, reduces friction, and makes customer experiences super-efficient. It’s Absolutely Immediate.
  2. Always Interested – AI never gets tired, bored, or distracted. It’s programmed with one goal: to help customers. Even when it fails, it’s still trying to assist, making it perpetually interested in solving customer problems.

These first two definitions showcase the positive potential of AI, but we must also acknowledge its limitations.

  1. Artificial Incompetence or Almost Intelligent – This is what we want to avoid. AI can misunderstand customers or “hallucinate” by sharing fictitious information that seems correct but is completely wrong. These experiences give AI and chatbots a bad reputation. A good strategy? Avoid Incompetence.

Despite these challenges, AI continues to evolve at a remarkable pace:

  1. Always Improving – What AI couldn’t do a few months ago is routine today. Customers now experience human-like responses instead of the robotic interactions from just a year or two ago. The technology is constantly learning and getting better.
  2. Amazing Impact – AI can transform customer experience by personalizing interactions at scale and freeing human agents to handle complex issues rather than answering basic questions all day. This makes businesses more productive while improving customer satisfaction.

Finding the Right Balance

With all these alternative definitions (most positive), we must remember that AI is just a tool. It’s only as good as how we use it. The companies getting AI right know they can’t go all-in on AI and replace the human experience.

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I’ve interviewed dozens of executives from some of the largest brands globally, and not a single one believes AI will replace people. The key is finding the right balance between AI and human interaction that creates an Amazing Impact.

When implemented thoughtfully, AI can handle routine inquiries, gather information, and provide quick answers, while human agents can focus on complex problem-solving, emotional support, and relationship building. This partnership between technology and humanity creates a customer experience that’s both efficient and personal.

The future of customer service isn’t about choosing between AI and humans—it’s about creating a seamless experience that leverages the strengths of both. When we achieve this balance, we’ll truly deliver on the promise of AI: not just Artificial Intelligence, but an Amazing Impact for our customers and our businesses.

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Shep Hyken has been at the forefront of the CS/CX Revolution for decades. His experience runs the gamut from helping notable companies like Disney and FedEx to improve their already outstanding customer service, to helping small and mid-sized organizations transform poor customer experience into a highlight of the organization. https://hyken.com/