Automation and AI in Customer Experience Overcoming the Challenges of Data Sharing

Authored by Lisa Lewers – Founder & CEO Lewers Research? ?

Customer experience builds, bends, or breaks brands. Consistent positive experiences build goodwill amongst customers and result in positive outcomes for brands, while even infrequent and minor negative experiences can gain momentum and damage long-term brand equity. Revolutionary new technologies, such as automation and artificial intelligence (AI), although promising to unlock efficiency and delight customers, also bring about unforeseen challenges.? ?

As we rapidly incorporate automation and AI into customer experiences, there is a danger that brands will become too focused on short-term optimisation, paradoxically overlooking the impact on the customer, their experience, or the brand itself. One part of this discussion which remains neglected is the reliance of these new technologies on consumer’s openness to data sharing.? ?

For brands to reap the rewards of automation and AI, consumers must embrace data sharing. This is a circular argument however, insofar as consumers are willing to share data if it improves their experience, but such an improvement requires increased data sharing. Unsurprisingly, research indicates that consumers are cynical about the motives behind automation and AI adoption. A recent study by Lewers Research revealed that 78% of consumers believe companies only automate customer service to save money rather than make it easier for them. The majority (67%) are concerned companies will use AI to encourage them to buy more. And, across all age groups, many believe they can’t get what they want unless they speak with a real person (77%), miss talking to real people (74%) and have a good radar for knowing when they are dealing with a bot (67%).? ?

To overcome cynicism, and for consumers to become more open to data sharing, brands need to establish trust, be transparent, and offer ‘a fair exchange’. The aforementioned survey from Lewers Research also found that just over half of consumers (53%) were happy to share their data if they have control over how much and who with. The sweet spot, off course, are younger age groups. Under 40’s were happier to share if they could see an upside such as better product recommendations (43%) or better service (45%). While still tentative, this greater openness coincides with a higher likelihood (than their older counterparts) to feel confident about how their information is collected and used (36%). They were also more confident companies use AI in the best interests of customers (37%).? ?

It seems we are at an impasse. New technologies, like automation and AI, are being touted as the panacea of efficiency and experience but continue to pose new challenges for brands and marketers to overcome. It might just be a question of time – pushing through, riding the wave of age, and hoping for minimal brand fallout. But for those who can’t wait, there is a need to look past the short-term benefit of balancing ledgers, and instead communicate, re-assure, and demonstrate benefit for the long term, in order to bolster goodwill, not break it.

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Thank you to Lisa for?taking the time to write this for the CXI Research Group.