Three Technologies That Will Transform Customer Service and Support By 2028

In the fast-evolving landscape of customer service and support, staying ahead of the curve is paramount. Gartner, a leading authority in technology research, has unveiled a compelling vision of the future. According to their recent report, three groundbreaking technologies—Generative AI, Conversational User Interfaces (CUIs), and Digital Customer Service—are set to reshape the customer service industry by 2028.

These innovations, highlighted within the folds of the Gartner Hype Cycle for Customer Service and Support Technologies 2023, are poised to enhance customer experiences and streamline service processes.

In this article, we will take a closer look at what these technologies are and what could be their impact for your business.

Navigating the complex realm of customer service technologies requires a roadmap, and Gartner's Hype Cycle provides just that. The Gartner Hype Cycle for Customer Service and Support Technologies, 2023 report meticulously delineates the landscape of maturing technologies vital for customer support.

Within this comprehensive report lies a spectrum of technological maturity, ranging from the nascent stages of development, typified by the embryonic phase of the Customer Technology Platform, to the highly-hyped domain of Generative AI, capturing imaginations with its limitless potential. Additionally, there are technologies like Contact Center as a Service, mature but teeming with untapped opportunities, awaiting widespread adoption.

A notable revelation within the Hype Cycle is the majority of innovation profiles residing in the Trough of Disillusionment section, a phase representing the necessary evolution of ideas from hype to practical application.

This cycle is more than just a static report; it's a dynamic view into the future. It offers insights on how technologies, including Generative AI and its counterparts, will evolve over time. Furthermore, it equips businesses with the knowledge needed to manage the deployment of these technologies within the specific context of their goals. For clients, it’s a vital source of education, guiding them through the promising yet unpredictable landscape of emerging technologies tailored to their industry and risk tolerance.

In today's digital age, customer service has transcended traditional phone calls and emails, expanding into a myriad of digital channels. Gartner’s vision of digital customer service encompasses more than just a proliferation of channels; it signifies the seamless orchestration of these channels to create unparalleled customer experiences.

What is Digital Customer Service?

Digital customer service is not merely a response to the rise of online interactions; it represents a holistic approach to customer care. It's about integrating channels like social media, email, chat, and mobile apps into a unified platform where conversations flow seamlessly. This integration ensures that customers experience a consistent and effortless journey, irrespective of the channel they choose.

Examples of Digital Customer Service

Here are three example of digital customer service used by organizations already today:

• Video Chat Support: Companies are adopting real-time video chat to offer face-to-face assistance. This personalized interaction enhances customer satisfaction by providing visual cues and a more engaging experience.
• Chatbots and Assistants: Utilizing conversational AI, businesses deploy chatbots that understand customer queries, provide instant responses, and even assist in transactions. This reduces response time and enhances efficiency.
• Social Media Engagement: Digital customer service extends to social media platforms, where customers expect quick responses. Companies utilize social media monitoring tools to identify and promptly address customer concerns or inquiries.

Digital customer service serves as a catalyst in transforming customer experience outcomes. By reducing friction and eliminating unnecessary customer effort, this technology ensures a seamless customer journey. When customers receive quick, accurate, and personalized responses through their preferred channels, it not only reduces churn but also significantly enhances customer satisfaction.

In essence, digital customer service is not just a tool; it’s a paradigm shift in customer care. By embracing this approach, businesses not only meet customer expectations but exceed them, fostering long-lasting relationships and elevating their brand reputation in the digital era. With the right orchestration, digital customer service stands as the cornerstone of future-focused customer care strategies.

Generative AI, currently at the Peak of Inflated Expectations, is set to become the cornerstone of customer service. By 2025, Gartner predicts that 80% of customer service organizations will utilize generative AI to enhance agent productivity and customer experience. Its applications in content creation, AI-supported chatbots, and automating human tasks are reshaping how businesses interact with their customers.

One of its key impacts is seen in improving customer experience and retention, with 38% of industry leaders identifying it as a primary initiative. As organizations increasingly replace agents with generative AI, it not only improves efficiency but also creates new roles, heralding a significant shift in the industry's landscape.

How Generative AI is Revolutionizing Customer Service

Generative AI’s transformative impact goes beyond mere automation; it encapsulates the essence of empathetic, efficient, and personalized customer interactions. Here are some real-world examples:

• Content Creation: Generative AI algorithms are being utilized to create engaging, personalized content for customer interactions. Major companies like Coca-Cola employ generative AI to automate content creation, ensuring consistent and contextually relevant communication with customers across various platforms.
• AI-Supported Chatbots: Starbucks, a leading coffeehouse chain, employ generative AI chatbots to enhance customer engagement. These chatbots understand customer preferences and provide personalized suggestions, enriching the overall customer experience.
• Automating Human Tasks: Generative AI is adept at automating tasks and understanding customer intent. For instance, Fifth Third Bank, a US-based bank, deployed Enlighten AI by NICE, an application that analyzes agent and customer interactions. This tool helped the bank understand customer intent and assess customer satisfaction levels with contact center agents. Discoveries made using this technology, such as the identification of around 100,000 monthly calls from customers needing online account assistance, led to strategic website updates. Consequently, call volumes decreased, illustrating the transformative power of generative AI in real-world scenarios.

As businesses like Coca-Cola, Starbucks, and Fifth Third Bank increasingly adopt this technology, the synergy between human expertise and artificial intelligence heralds a new era in customer service, setting new standards for customer satisfaction and loyalty.

The third innovation that Gartner predicts will have a major impact in the next five years is Conversational User Interfaces (CUIs). Conversational User Interfaces will mark a significant stride in human-computer interaction. These interfaces facilitate natural language interactions, enabling seamless communication between customers and applications.

By automating support through chatbots, CUIs enhance customer experiences and boost self-service adoption. Despite having surpassed its peak level of expectation, Gartner foresees CUIs becoming commonplace in the next five years. With customers increasingly desiring natural interactions, especially with the help of large language model-enabled applications, CUIs play a pivotal role in driving efficiency and meeting evolving customer expectations.

How Conversational User Interfaces Altering Customer Service

Here are a few examples of real companies using Conversational User Interfaces (CUIs) in their customer service:

• Domino's Pizza: Domino's Pizza employs a CUI in the form of a chatbot named "Dom" on their website and mobile app. Customers can place orders, customize their pizzas, and track their deliveries through natural language interactions with Dom. This streamlined approach enhances user experience and simplifies the ordering process.
• Marriott International: Marriott International, a renowned hotel chain, uses a CUI-powered chatbot on their website and mobile app to assist customers with booking rooms, checking availability, and answering common queries. The chatbot provides real-time responses, guiding customers through the booking process and ensuring a seamless experience.
• Sephora: Sephora, a global beauty retailer, utilizes a CUI-powered chatbot on their website and messaging platforms. Customers can ask the chatbot for product recommendations, makeup tips, and skincare advice. The chatbot leverages artificial intelligence to understand customer preferences and suggests personalized beauty products, enhancing customer engagement and satisfaction.

These real-world examples demonstrate how Conversational User Interfaces are being effectively utilized by businesses to improve customer interactions, provide instant support, and create more personalized and engaging experiences.

The future of customer service is exciting, driven by transformative technologies that promise unparalleled efficiency and customer satisfaction. Gartner’s insights highlight not only the trajectory of these innovations but also the imperative for businesses to embrace them.

As Generative AI, Conversational User Interfaces, and Digital Customer Service redefine industry standards, staying abreast of these advancements is not just an option—it’s a necessity. By investing in these technologies, businesses can position themselves at the forefront of customer service excellence, ensuring they meet and exceed the expectations of their customers in this dynamic digital age.

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