AI has become a widely disruptive technology, making it a hot topic among businesses and industries. It is indeed on a phenomenal growth trajectory. Experts predict that the artificial intelligence sector will reach $407 billion by 2027—a nearly fivefold growth from its 2022 level.
However, some businesses have been slow to adopt AI technologies. The relatively higher initial investments involved and unfamiliarity with the technology have mostly swayed their decision against adoption.
But AI promises tremendous benefits to businesses of all sizes and industries. When deployed effectively, it can create massive opportunities to expand your business faster in a competitive landscape. Let’s explore what you stand to gain.
Improving Customer Experience
Artificial intelligence powers various tools to help enhance the customer experience. Consider, for example, chatbots, a commonly used AI application to provide 24/7 customer support.
In the recent few years, the conventional chatbot has been taken to the next level with the introduction of digital humans. Bearing a strikingly human-like appearance, these advanced solutions are equipped with natural language processing and machine-learning capabilities.
Digital humans offer customer engagement across several channels, from your website to digital displays. They can cater to individuals from different countries and time zones by working around the clock and speaking multiple languages. They could answer questions, demonstrate products, provide training, send emails, retrieve and share relevant resources, and perform a variety of other tasks. But the most fascinating feature is undoubtedly their ability to identify human emotions and respond accordingly, putting customers at ease with a life-like friendly face.
But this is just one example of AI interventions to improve your business’s customer experience. You can also use artificial intelligence to deliver personalized information and solutions, minimize service errors, provide faster resolutions, and review conversation histories for better engagement. All these will be pivotal for boosting customer satisfaction.
Today, artificial intelligence is widely adopted for critical lead-generating services. For example, Leadar sales intelligence platform uses predictive modeling to match qualified leads with your specific requirements and improve the accuracy of search results.
Similarly, LinkedIn’s Sales Navigator tool applies AI technology to identify user profiles that match your search criteria and recommend potential leads based on your preferences, search history, and interactions on its platform.
But AI is not only about lead generation. An important aspect of artificial intelligence is its ability to offer enhanced personalization to improve sales.
According to studies, 80% of shoppers are more willing to purchase when brands offer a personalized experience. So, by applying data analytics to understand your customers better and personalizing customer communications, you can increase engagement, reduce cart abandonment, decrease customer churn, drive higher web traffic, and boost upselling opportunities. All these will ultimately improve your conversion rate and revenue.
Making Better Decisions
One of the primary advantages AI brings to the table is its ability to process large data sets in real time. It enables deeper insights into your business operations, which would not have been possible previously. The result is improved decision-making.
You can see this at work in different areas. For example, 79% of businesses today use AI when making hiring decisions. Recruiters actively adopt artificial intelligence to screen job applications, conduct structured interviews, identify skills, characteristics, and personal traits, and, more importantly, eliminate unconscious biases during the selection process.
The predictive modeling capabilities of AI are another important contributor to optimize decision-making. They allow businesses to analyze massive volumes of data and predict future outcomes. For instance, you can use predictive modeling to anticipate customer needs and create new products. You can also predict customer issues and develop solutions before they even arise.
AI can elevate the efficiency of specific areas of your business.
Automation is an excellent example. According to a McKinsey study, automation can improve productivity by as much as 50%. You can automate basic repetitive tasks as well as complex critical ones. Marketing teams often apply it to schedule social media engagement and guide customers through the sales funnel. It is also widely used in manufacturing processes, from labeling to inventory management. In fact, by introducing automation to 64% of manufacturing activities, you can expect to eliminate 749 billion work hours on average.
Data analytics is another area where your business could achieve tremendous efficiency gains. AI can process billions of data points instantly, which could have taken an incomprehensible amount of labor, time, and money to process manually. And the level of accuracy and consistency AI delivers would have been hard to match.
In fact, accuracy and consistency are critical factors for driving organizational efficiency. By eliminating errors and bringing greater predictability, you can minimize time spent reviewing and re-correcting tasks and activities.
By increasing the speed, accuracy, and efficiency of your operations with the help of AI, you can dramatically reduce business expenses.
Here are a few examples:
- AI-powered chatbots can offer around-the-clock support in various languages. They could eliminate the costs of overheads, salaries, and employee benefits involved in staffing a 24-hour multi-language customer service center.
- Predictive analytics could help forecast market demand for each product with greater accuracy. As a result, companies can manage their inventories more efficiently, thus reducing wastage and warehousing costs.
- AI’s ability to process large amounts of data enables improved decision-making. Needless to say, more accurate decisions lead to fewer costly errors.
- Data insights allow marketers to improve campaign accuracy. For instance, they can identify and target audience groups with higher precision, deploy pay-per-click techniques for result-based advertising, and use highly personalized engagement activities that cater to unique customer profiles. All these will help boost conversion and improve the ROI of your marketing spend.
AI Is the Future of Business
Artificial intelligence will play a critical role in business in the years to come. Its potential is already evident all around us.
AI will disrupt how organizations compete by creating extraordinary opportunities for small and large businesses alike. Embracing the changes it has brought forth remains an imperative for companies to gear up for an AI-driven future.