Using AI in customer service
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Using AI in customer service

12.11.2024

Opportunities and challenges for Internet service providers 2025

Artificial intelligence (AI) is playing an increasingly decisive role in the world of customer service. While the technology offers promising opportunities, companies still face a few hurdles. However, decision makers in technical customer support, particularly at Internet service providers, can benefit from developments to be more efficient and customer-oriented. This article highlights current trends, applications and challenges of AI in customer service.

AI investments: status quo and trends

According to the Zendesk Customer Experience Trends Report 2022 Many companies have recognized that AI technologies can provide significant efficiency gains. 49% of surveyed companies are currently investing between 10 and 25% of their customer service budget in AI. More than half plan to increase spending by 25% or more within a year. Chatbots in particular are considered a promising use case, as they can intercept simple queries and reduce the workload of employees.

Leading areas of application

  • Productivity increase: AI-supported systems optimize work processes and reduce processing times.
  • 24/7 availability: Companies can meet increasing customer expectations through automated services.
  • Efficiency gains: Data analyses and automation lead to more precise problem solutions.

For Internet providers, these developments offer the opportunity to scale their service and reduce costs at the same time. By integrating AI solutions, end users can solve problems on their own, while support staff focus on more complex cases.

Chatbots: Increasing efficiency with challenges

Chatbots are a core part of many AI strategies. According to the Zendesk study, they are particularly suitable for:

  • Directing customers to the right service channel (57%).
  • Providing helpful content from knowledge databases (52%)

However, the performance of many chatbots falls short of expectations. 57% of the managers surveyed rate their effectiveness as insufficient. This shows that ot only the introduction of new technologies but also their continuous improvement is essential. You can find out more about this topic in our article on the limits of chatbots in technical customer support.

Customer Service Strategies with Generative AI

One X [iks] Institute survey this year shows that generative AI helps companies to make customer service more efficient and individual.

Key benefits

  • Personalization: Customers receive targeted recommendations and tailored support.
  • Efficiency: Automation relieves employees and reduces processing times.
  • Optimization: Analyzing customer data improves services and solutions.

Challenges

Customer acceptance of the technology remains a key factor for success. With increasing usage — especially in the service sector (29%) and among service managers (34%) — it is becoming apparent that generative AI is increasingly being perceived as a key technology for sustainable customer service.

AI implementation challenges

Despite the potential of AI, companies see, according to the Deloitte CFO Survey 2024 some obstacles:

  1. High implementation costs: Medium-sized companies in particular are reluctant to invest extensively in AI.
  2. Missing context information: Automated systems often have difficulty processing complex inquiries precisely.
  3. Usability: A seamless customer experience remains crucial.

AI applications should be closely linked to human support. This not only creates trust among end users, but also ensures a seamless service that overcomes challenges.

You have missed the online talk on the topic “AI in customer service - What opportunities and potential await us?”? No problem. You can request the recording here.

Conclusion: AI as a strategic advantage for Internet providers

Integrating AI into technical customer support offers huge potential to reduce costs, increase customer satisfaction and use resources efficiently. It is crucial to successfully master the balancing act between automated solutions and human interaction and to create a balance between technology and humanity.

Companies that invest in AI now can not only exceed the expectations of their customers, but also secure competitive advantages in the long term. With a clear strategy and the right partners, the path to the future of customer service is paved.

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Johanna Kugler

Content Marketing Manager

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