The Growing Role of AI in Improving Customer Service

In today's fast-paced world, contact centers are increasingly turning to artificial intelligence (AI) and automation to tackle common customer service challenges. A recent study commissioned by Talkdesk® and conducted by IDC sheds light on how these technologies can significantly enhance customer experiences while easing the burden on human agents.

The Current Landscape of Contact Centers

Despite the advancements in technology, many customer interactions still rely heavily on human agents. The study surveyed 417 contact centers across the United States and found that a significant portion of calls—about 50%—still require agent intervention, compared to 35% that are resolved through automated systems like interactive voice response (IVR). Unfortunately, IVR systems often leave customers frustrated, with around 15% of issues remaining unresolved due to navigation difficulties.

The Impact of Hold Times and Manual Tasks

One of the persistent challenges in contact centers is long hold times, which account for roughly 11% of the total call duration. This not only frustrates customers but also prolongs their interactions with the service. Moreover, agents are bogged down by repetitive tasks such as updating records and logging call details. Nearly 68% of contact centers report that agents spend between 10% and 29% of their time on these manual duties.

The Need for AI and Automation

The survey highlights the potential for AI and automation to transform contact center operations. By streamlining processes and reducing the time agents spend on mundane tasks, these technologies can significantly improve first-call resolution rates. This not only boosts customer satisfaction but also helps retain skilled agents by reducing their workload.

Industry-Specific Challenges

Certain sectors, like healthcare and retail, face unique challenges. In these industries, a substantial number of agents—62% in healthcare and 59% in retail—report spending excessive time searching for answers during calls. This increases the duration of each interaction and limits the number of customers they can assist.

Conclusion

The findings from the Talkdesk-commissioned study make it clear that AI and automation are not just buzzwords—they are essential tools for modernizing contact centers. By alleviating the strain on agents and enhancing customer experience, these technologies hold the key to more efficient and effective customer service. As businesses continue to embrace these innovations, they are likely to see improvements in both customer satisfaction and operational efficiency.