How AI will Change CX for the Future
Customer loyalty is what most businesses want. The more your customers buy from you, the more you improve your bottom line, not only in increased sales but also in decreased customer acquisition costs. Improving your Customer Experience to foster customer loyalty is often an expense that senior management can get behind.
However, there is a common misconception that customers are loyal to you based on the Customer Experience you deliver. The truth is that customer loyalty is based on memory. In other words, customers are loyal to you based on the customer experience they remember you deliver.
How memory works is a fascinating thing. There are experiences, thoughts and feelings, and facts and ideas that all mix to comprise them. Also, there are associated memories that connect, some more closely than others. Furthermore, other people’s memories can mix in there too and connect to the personal memories a customer has of your brand.
We often compare memory to a fishing net, where each knot of the net represents a memory. If you imagine picking a net up off the floor by a knot, you can picture how all the related knots in the net rise with it. You are holding the one knot, but all the other knots are there dangling close by, too.
Artificial intelligence (AI) has some exciting capabilities to create these fishing nets on behalf of your customers. It can analyze past customer behavior to predict their future actions. It can make connections between experiences based on the data it explains. Then, once it has constructed the virtual fishing net, it can tell you what knot the customer wants to make next.
But will AI get it right or wrong?
This episode of The Intuitive Customer explores the relationship between customer loyalty and the future applications of AI in Customer Experience strategy. We take a look at the complicated way memories associate to influence our behavior. We also look at how AI can mimic this process and use the results to predict customer behavior. Finally, we discuss what you can do to prepare for this technology and how you can use it to personalize a Customer Experience that gives that individual customers what they really want next.
The Intuitive Customer podcasts help you take your Customer Experience to the next level by unlocking the “hidden” aspects of your experience and determining what really drives value for your customers.
To find out more about how your organization’s marketing can improve customer loyalty and retention, contact us at www.beyondphilosophy.com.
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