Harnessing AI for Enhanced Personalization in Customer Experience

Authored by  Rajiv Lamba, Founder and Tanuj Diwan, Co-founder, SurveySensum

With the customers' growing need for personalized experiences, customers are not only settling for the recipient name and email subject line, but rather a hyper-personalized customer experience throughout the journey!

 What Amazon and Netflix have achieved in terms of personalization is what 80% of the businesses are still struggling with. Personalization is not building strong customer relationships, but fostering loyalty and trust with the brand. This, in turn, is bringing in new business with positive word of mouth, referrals, and repeat business.

 In fact, it has been studied that businesses that prioritize personalization see a boost of 40% in revenue compared to businesses that don't. And AI is the key to delivering such highly personalized experiences! 

3 Ways AI is Revolutionizing Personalization in CX: 

1. Targeting the Right Audience at the Right Time:

How would you feel if the product discount that you just received in your mailbox was exactly what you needed to make an offer? And it's not just you, it turns out 76% of consumers are likely to consider a brand if they receive personalized communications from it. 

Well, AI is delivering exactly the same. It is sifting through massive customer data such as demographics, browsing history, purchase history, browsing behavior, support interactions, and more to give businesses these precise insights. Also, its dynamic content creation tailors the communication based on real-time communication. All of this aids businesses in creating targeted campaigns that speak with those customers as if they know what customers actually need at that point in time.

 The plus point - this enables businesses to become customer-centric from its core.

 2.  Extracting Customer Insights from Large Volumes of Data:

Well, customer data is a goldmine, there are no questions about it. However, extracting relevant insights from such a mountain of data is really cumbersome for businesses. Not only is it time-consuming, but takes a lot of effort and resources.

 AI-enabled Text Analytics Tools come in handy, transforming raw customer data into actionable insights. Leveraging machine learning and NLP, these tools sift through this data (all within a few seconds) and give you customer complaints, top trends, customer preferences, and areas of improvement. Along with the actionable insights based on their impact on your business and CX metrics, in priority order.

Basically, these AI tools enable businesses to go from a reactive state of CX to a proactive state of CX.

3. Predicting Customer Behaviour and Preferences

Did you know 75% of the content that a Netflix user is watching is recommended to them? It is suggested to them based on their watch history and preferences.

 What AI's predictive capabilities bring to the table is most remarkable. Leveraging machine learning, these algorithms can analyze customer data (demographics, preferences, history, and interaction) and create a predictive model that suggests their future behavior and preferences.

 It is like an agent that can predict the future for you. With all the data coming its way, it gets smarter over time. This allows businesses to anticipate customer expectations, create strategies around them, and deliver satisfying customer experiences.

 Personalized CX - The Future

AI has already disrupted the CX industry. It is the key to delivering exceptional, satisfying, and personalized customer experiences. If businesses want to make a mark, then it's now or never. However, businesses shouldn’t forget that AI doesn't replace the human experience, it enables it. That’s why finding the right balance between HX and AI-enabled CX is paramount.

 DISCLAIMER: The views expressed are solely of the author and Adgully.com does not necessarily subscribe to it.