Human Touch Still Needed in Customer Service Interactions

Human Touch Still Needed in Customer Service Interactions

The News: New data from Cogito, a provider of real-time enterprise AI coaching and guidance, shows that consumers prefer to engage with both human agents and AI technologies when managing customer service issues. The results particularly homed in on the Black Friday and Cyber Monday shopping weekend. The findings show 46% of consumers still want to speak to a human agent, although they do have a level of comfort with AI-assisted human interactions. More information on the research can be found on the Cogito website.

Human Touch Still Needed in Customer Service Interactions

Analyst Take: Even with all the talk of omnichannel and meeting customers where they are at, it is not a surprise that often where they want to be is on the phone with a live agent, particularly for more complex issues. This finding does not negate the importance of the other channels but serves as a reminder that agents are not going anywhere. It also emphasizes a point that I have heard often repeated at contact center events all year: augmentation, and assistance, not replacement. AI in partnership, not AI alone.

Live Agent Still Desired

Fifty-three percent of the consumers surveyed report they prefer interacting with a live agent over the phone for complex service issues, while only 17% prefer using technologies such as mobile apps or a live chat on a website. When people are faced with AI for service inquiries, 46% would prefer to talk with a human agent but they are amenable to having AI leveraged to smooth out and enhance the interaction. One piece of data in the report brought up personalization, which could be an area that AI could support. Thirty-two percent of consumers said that a more personalized experience, where they felt like the agent really knew them, would result in an improved customer experience (CX).

Chatbot Sentiment and Other Data Points

Almost half of consumers, 49%, do not enjoy using chatbots with the reason being they do not think the chatbot would understand their inquiry like a human would. There are age differences in this preference with millennials being the most open to chatbots (67% say they enjoy or are interested in using them) while Boomers have the least love for chatbots. Seventy percent of that group say they do not enjoy using them.

When consumers were asked what would improve their next CX, 55% reported timeliness—they wanted reduced wait times, faster resolution, and quicker responses. Only half of consumers were satisfied with the wait or hold time during their last customer service experience. Half of the respondents (50%) said having additional ways to reach customer service such as via live chat would also be beneficial to their experience. A positive note was that 69% reported they were happy with the level of friendliness/helpfulness of the agent they worked with, perhaps indicating solidly trained and well-supported contact center agents.

And If You Do Not Get It Right?

Negative CX will have consequences, with 76% of respondents saying a negative customer service experience would have an impact when choosing a brands products or services in the future. Sixty-one percent said they would consider other brands, and 15% said they would never be a customer again. Ouch.

Some interesting, but not shocking, data from Cogito, a company that partners AI with agents in solutions such as Conversation AI and Emotion AI. The research results mirror what tech vendors have been saying all year, so it is a good sign that their strategy is in synch with customer expectations and acceptance of AI in contact center.

Disclosure: The Futurum Group is a research and advisory firm that engages or has engaged in research, analysis, and advisory services with many technology companies, including those mentioned in this article. The author does not hold any equity positions with any company mentioned in this article.

Analysis and opinions expressed herein are specific to the analyst individually and data and other information that might have been provided for validation, not those of The Futurum Group as a whole.

Other Insights from The Futurum Group:

Medallia and Cogito Partner; Medallia Reaches AI Milestone

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Customer Wins for Cogito, Medallia, SugarCRM, DecisivEdge, and Konnect Insights

Author Information

As a detail-oriented researcher, Sherril is expert at discovering, gathering and compiling industry and market data to create clear, actionable market and competitive intelligence. With deep experience in market analysis and segmentation she is a consummate collaborator with strong communication skills adept at supporting and forming relationships with cross-functional teams in all levels of organizations.

Sherril holds a Master of Business Administration in Marketing from University of Colorado, Boulder and a Bachelor of Arts in Psychology from Rutgers University.

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