23 July 2024

Why customers don’t like AI customer service options

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Why customers don’t like AI customer service options
Megan KingWritten ByMegan King

Megan is the Head of Client Services at Propeller. Leading the Account Management team, Megan handles effective and timely communications with clients to ensure great outcomes.

As businesses continue to turn towards artificial intelligence (AI) to streamline operations, reduce costs, and improve efficiency, Propeller investigates where AI is not welcome. One area that has seen significant AI integration is customer service. Despite the advancements and potential benefits, many customers remain dissatisfied with AI customer service options. In fact, analyst firm Gartner reported that 64% of customers would prefer that companies did not use artificial intelligence (AI) in their customer service.

Understanding the reasons why is crucial for businesses aiming to enhance their customer experience while improving efficiencies in operations. Is there a future for AI in customer service? Read on to hear our take…

 

Customer Pain Points with AI Customer Service Options

Lack of Personal Touch

One of the primary reasons customers dislike AI is the absence of personal touch. Human interactions are inherently empathetic and nuanced, qualities that AI struggles to replicate. Customers require personalised responses, empathy, and understanding, especially when dealing with complex or sensitive issues. AI, with its scripted and programmed responses, can come across as cold and impersonal, failing to provide the emotional connection that customers value.

Limited Problem-Solving Abilities

While AI can handle routine queries efficiently, it often falls short when addressing more complex or unique problems. More often than not, customers require customer service with nuanced understanding and creative problem-solving, which AI doesn’t have. The frustration escalates when customers find themselves stuck in a loop of unhelpful responses or are unable to communicate their issue effectively to an AI system. This limitation can lead to longer resolution times and increased customer frustration.

Difficulty in Understanding Context

AI systems are generally good at processing predefined inputs but can struggle with understanding context, slang, or informal language. Misunderstandings can occur if a customer uses colloquial expressions or deviates from expected query formats. These misinterpretations can lead to irrelevant responses, causing frustration and making the interaction feel more like an obstacle than a solution.

Impersonal and Repetitive Responses

AI customer service systems often rely on predefined scripts to handle inquiries. While this can be effective for standard questions, it can result in repetitive and impersonal interactions. Customers might feel that their unique concerns are not being acknowledged or addressed correctly. The repetitive nature of AI responses can also create an impression that the system is not genuinely engaged in resolving the customer’s issue.

Lack of Flexibility

Human customer service representatives have the flexibility to make judgment calls, offer goodwill gestures, or deviate from standard procedures to satisfy a customer. AI, on the other hand, operates within the confines of its programming. This rigidity can be frustrating for customers who are seeking a tailored solution or an exception to the norm. The inability of AI to adapt to specific customer needs can lead to a perception of poor quality of service.

Privacy and Security Concerns

With the increasing use of AI, concerns about privacy and security have also risen. Customers may feel uneasy sharing personal information with an AI system, fearing data breaches or misuse of their information. The lack of transparency about how AI systems store and use data can exacerbate these concerns, leading to mistrust and reluctance to engage with AI.

Technical Glitches and Downtime

AI systems are not immune to technical issues. Glitches, errors, and downtime can disrupt service, leaving customers stranded without assistance. Such technical problems can severely impact the customer experience, especially when they crash during critical moments. Customers expect reliable and uninterrupted service, and technical failures can quickly erode trust and satisfaction.

In summary…

While AI offer numerous benefits, including efficiency and cost savings, they often fall short in areas that matter most to customers: personalisation, empathy, and problem-solving. To improve customer satisfaction, businesses must recognise these limitations and strive to integrate AI with human touchpoints. 

A hybrid approach, where AI handles routine inquiries and human representatives tackle complex issues, can help bridge the gap and create a more balanced and satisfactory customer service experience. Emphasising transparency, flexibility, and empathy will be key in winning customer trust and enhancing their overall experience with AI customer service options.

 

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