The quality of customer service has never had a more significant impact on companies’ bottom line. The vast majority of consumers (87%) are willing to buy more products if they have an exceptional customer service experience, while 81% would be happy to recommend the company to others.
This makes it a key differentiator for companies of all sizes, in all industries. In today’s fast-paced and consumer-driven world, businesses simply can’t afford to fall behind when it comes to consistently providing the level of customer service that consumers now expect.
And it’s no secret that customer service, as with most other areas of business, has been growing progressively more digital to meet these modern demands. New channels have continued to emerge as technology has developed, and younger generations of digital native consumers have become more influential.
For example, attitudes towards the use of artificial intelligence (AI) are continuing to improve. More people are now using chatbots and automated assistants (34%, up from 25% in 2018).
So, how much focus should contact centres be directing towards digital channels, and what does this mean for the role of human agents?
Responding to digital demands
The recent rise of digital is shown by the fact that mobile apps have become the most used self-service method (rising from 16% in 2018 to 22% in 2019) and that chatbots have seen a significant increase in usage (from 7% in 2018 to 13% in 2019).
More consumers are now using AI and feeling increasingly positive about chatbots. The use of automated assistants/chatbots online has increased by 9% in the last 12 months, with more people agreeing that technology makes it faster and easier to get their issues resolved.
Unsurprisingly, the Millennial and Generation Z consumer groups are the primary drivers of these shifts. Their habits are different from previous generations, and they now expect businesses to provide digital-first omni-channel experiences – even being willing to pay more for customer service that meets their high standards as 66% and 65% respectively will pay more for better customer service.
This is also reflected in the use of private social messaging apps and SMS text interactions. Nearly four in ten consumers have used a social messaging app for customer service sometime in the past, and the desire for its use is high among younger consumers. Millennials (59%) and Generation Z (58%) are much more likely than older generations to have used this channel, with only 38% of Gen X, 19% of Baby Boomers and 16% of Silent Generation having done so.
In terms of SMS text as part of the customer experience, Cyber Monday saw a 74% increase in SMS text interactions, once again highlighting that modern businesses must provide access to a full range of digital channels.
However, it’s not all about robots and software. When it comes to providing an exceptional customer experience and helping to foster customer loyalty, human agents still have a vital role to play.
Humans still wanted
Although many organisations are rightly continuing to invest in digital channels, agent-assisted still dominates the customer experience world. Two-thirds (66%) of interactions over the last 12 months were agent-assisted, and the traditional phone is still the most common channel.
Nearly half (47%) of consumers used the phone for their most recent customer service experience, followed by email (32%) and online chat (22%). Indeed, the use of these channels globally hasn’t changed significantly since 2018 – with these three leading the way in customer satisfaction and preference – all of which highlights the importance of maintaining a human touch in customer service.
The trend is similar for AI channels. When beginning with AI self-service, such as in the form of an online chatbot, speaking with an automated voice assistant or using a home electronic virtual assistant device, consumers switch to a live agent to finish an interaction 46% of the time. In comparison, 73% of interactions that start with a live agent also finish with a live agent, which suggests that human agents are still more effective when it comes to resolving customer issues.
What this all shows is that businesses still can’t afford to put all their eggs in the digital basket. With 91% of all consumers preferring a live agent – even in today’s digital age – the power and importance of human interactions is clear to see.
While differences between generational preferences do come into play, digital-based communication channels still have to be supported by human agents. This combination will put businesses in the best position to provide an excellent customer service experience and retain the loyalty of demanding consumers.
Guest Blog by Paul Jarman, CEO, NICE inContact
Paul Jarman holds the position of NICE inContact CEO; responsible for the enterprise, midmarket, government organizations and business process outsourcers (BPOs) who operate in multiple divisions, locations and global regions. A pioneer of the cloud movement, he was instrumental in guiding inContact from its roots in telecommunications to its strategic offering of cloud-based contact center solutions and has been a part of every major enhancement the company has made since 1997. See more report details.
