A loyal customer is worth more today than ever before. As 2020 has shown, loyal customers could be the difference between thriving and nose-diving. Some fascinating survey data from Invesp explains why it is so critical for businesses to retain existing customers:
- Acquiring a new customer is 5x as expensive as retaining an existing customer.
- The success rate of selling to a customer you already have is 60-70%, while the success rate of selling to a new customer is 5-20%.
- Increasing customer retention rates by 5% increases profits by 25-95%.
No business today can afford to ignore these numbers, in fact they should inform your approach to digital transformation.
How do you keep customers satisfied at a time of uncertainty and high anxiety?
Anxious customers have more questions. Data across Ada’s e-commerce customers shows that customer conversations remain elevated throughout 2020, sustaining a Black Friday level of inquiries activity – every single day. In order to quell the concerns of anxious customers you need to be able to answer growing inquiry rates, across more topics, and do it quickly.
The year of digital transformation that we have seen so far, points to the fact that the agent-first strategy, built around seat licenses, is an outdated model that will be unable to meet the breadth, depth, and speed expectations of today’s consumers.
There is no way to scale with agents to get ahead of that type of volume. As a result, wait times spike and customers churn.
No business can afford to keep their customers on hold or a question left unanswered.
Leave no question behind
According to a recent report from Forrester, incredible customer self-service is the key to reducing operational costs, saving agents time, and generating revenue:
“Customers use self-service knowledge to quickly find answers to common questions, increasing their satisfaction and deflecting inquiries from the contact center. Self-service knowledge also helps customers to gain confidence in their purchases during the buying process — increasing conversion rates and revenue.”(1)
There are three core strategies that customer experience leaders can do to provide effective self service:
- Deploy automated conversational support with speed
- Answer a broad range of questions, all in one place
- Personalize support based on the customer and their CLTV
Deploy with speed
Time to value is a critical factor in the success of any technology deployment. Within the world of CX, there can be a massive difference between automated conversational support solutions, especially those that are bundled in as part of large CRM deals. When considering an automation-first strategy, the first key consideration should be how long it will take to get your CX stack up and running. If the answer is more than a month, you are seeing diminishing returns of your investment every day.
Ada, on the other hand, speeds up your deployment. An intuitive, drag-and-drop user interface allows the customer support team to take ownership of automation and create experiences that are meaningful. Now, you can sync your Knowledge Base with Ada to quickly answer a broader set of questions. Within 30 days, Ada’s conversational chatbot can deflect 30% of customer inquiries from agents, delivering swift time to value.
Answer a broad range of questions
More customer questions need to be met with more answers. Today, there is no way to exponentially scale knowledge with live agents, efficiently. A critical capability for any automated conversational support solution should be whether or not it can bring your Knowledge Base to life to help scale support.
Ada’s conversational chatbot can be integrated with your Knowledge Base so you can get questions answered using already built content for less common questions. Ada identifies the top 80% of questions asked and builds out the conversational responses while ensuring that you have a mechanism to catch the last 20% so the customer isn’t stranded. This is a key element of customer satisfaction, being able to serve answers then and there, with a smooth handoff, either between the bot and an agent, or the bot and the Knowledge Base.
Use personalization and segmentation
It is critical to show empathy for customers by giving every conversation a human touch, even when no human is present. According to McKinsey, during this time of high anxiety, “a primary barometer of their customer experience will be how the businesses they frequent and depend upon deliver experiences and service that meets their new needs with empathy, care and concern.”
The right automated conversational chatbot should be able to serve personalized responses for the top 80% of inquiries. The best solutions should deliver regional support, in the right language, with personalized information - like Ada does. Manage out of target customers with a less expensive handoff to your knowledge base, while passing high CLTV customers directly to your live agents.
The decision to add a knowledgeable conversational AI to the front-end of the customer experience is the right one, for many reasons, but it will not happen by accident. It takes a true partner who puts automation-first to ensure your success. Choose wisely.
Reach out to us to learn more about what a purpose-built chatbot can do for your business.