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AI customer service: Task complexity, problem-solving ability, and usage intention

Profile image of Rizky Ramadhan

Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physical sources in order to provide personalised recommendations, alternatives, and solutions to customers' enquiries or problems, even very complex ones. We examined, in a banking services context, whether consumers preferred AI or Human online customer service applications using an experimental design across three field-based experiments. The results show that, in the case of low-complexity tasks, consumers considered the problem-solving ability of AI to be greater than that of human customer service and were more likely to use AI while, conversely, for high-complexity tasks, they viewed human customer service as superior and were more likely to use it than AI. Moreover, we found that perceived problem-solving ability mediated the effects of customers' service usage intentions (i.e., their preference for AI vs. Human) with task complexity serving as a boundary condition. Here we discuss our research and the results and conclude by offering practical suggestions for banks seeking to reach customers and engage with them more effectively by leveraging the distinctive features of AI customer service.

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AI customer service: Task complexity, problem-solving ability, and usage intention

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Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physical sources in order to provide personalised recommendations, alternatives, and solutions to customers’ enquiries or problems, even very complex ones. We examined, in a banking services context, whether consumers preferred AI or Human online customer service applications using an experimental design across three field-based experiments. The results show that, in the case of low-complexity tasks, consumers considered the problem-solving ability of AI to be greater than that of human customer service and were more likely to use AI while, conversely, for high-complexity tasks, they viewed human customer service as superior and were more likely to use it than AI. Moreover, we found that perceived problem-solving ability mediated the effects of customers’ service usage intentions (i.e., their preference for AI vs. Human) with task complexity serving as a boundary condition. Here we discuss our research and the results and conclude by offering practical suggestions for banks seeking to reach customers and engage with them more effectively by leveraging the distinctive features of AI customer service.

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Xu, Y., Shieh, C. H., van Esch, P., & Ling, I. L. (2020). AI customer service: Task complexity, problem-solving ability, and usage intention. Australasian Marketing Journal , 28 (4), 189–199. https://doi.org/10.1016/j.ausmj.2020.03.005

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, 2020, vol. 28, issue 4, 189-199

Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physical sources in order to provide personalised recommendations, alternatives, and solutions to customers’ enquiries or problems, even very complex ones. We examined, in a banking services context, whether consumers preferred AI or Human online customer service applications using an experimental design across three field-based experiments. The results show that, in the case of low-complexity tasks, consumers considered the problem-solving ability of AI to be greater than that of human customer service and were more likely to use AI while, conversely, for high-complexity tasks, they viewed human customer service as superior and were more likely to use it than AI. Moreover, we found that perceived problem-solving ability mediated the effects of customers’ service usage intentions (i.e., their preference for AI vs. Human) with task complexity serving as a boundary condition. Here we discuss our research and the results and conclude by offering practical suggestions for banks seeking to reach customers and engage with them more effectively by leveraging the distinctive features of AI customer service.

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AI Customer Service: Task Complexity, Problem-Solving Ability, and Usage Intention

Abstract: artificial intelligence (ai) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physical sources in order to provide personalised recommendations, alternatives, and solutions to customers’ enquiries or problems, even very complex ones. we examined, in a banking services context, whether consumers preferred ai or human online customer service applications using an experimental design across three field-… show more.

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References 62 publication s, let's play: me and my ai‐powered avatar as one team.

Artificial intelligence (AI) tools have altered the gaming industry, thanks to their newly incepted functionalities, which have enhanced the consumer experience. Building on innovation diffusion theory, technology acceptance model, and flow theory, this study highlights an AI‐powered avatar concept. This study explores the roles of perceived easiness, usefulness, advantage, compatibility, enjoyment, customization, and interactivity in forming the gamers' intention to play with AI‐powered avatars. A survey data of 500 respondents from China having experience playing online video games is used to test the proposed hypotheses. The results offer significant support to the proposed relationships related to adopting an AI‐powered avatar and the consumers' psychological association with its adoption. Consequently, the results imply that AI‐powered avatars should allow gamers to customize, interact, and take assistance to move up levels with an enjoyable experience. Moreover, this study also suggests that digital technologies such as AI could be integrated into the gaming environment for a more pleasing and immersive experience.

Reading Between the Lines: Understanding Customer Experience With Disruptive Technology Through Online Reviews

A customer’s experience with a brand, as evidenced in online customer reviews, has attracted multidisciplinary scholarly attention. Customer experience plays an important role as an antecedent to brand engagement, brand adoption, and eventual brand loyalty. Thus, it is important for businesses to understand their customers’ experiences so that they can make changes as necessary. The COVID-19 pandemic has brought unprecedented changes to the business landscape, forcing businesses to move online, with many utilizing enterprise video conferencing (EVC) to maintain daily operations. To ensure efficient digitization, many turned to the online reviews of others’ experiences with EVC before engaging with it themselves. This research examined how the customer experience is portrayed through emotional tone and word choice in online reviews for the EVC platform Zoom. Using computerized text analysis, key differences were found in the emotional tone and word choice for low- and high-rated reviews. The complexity and emotionality expressed in reviews have implications on the usability of the review for others. The results from this study suggest that online customer reviews with a high rating express a higher level of expertise and confidence than low-rated reviews. Given the potential dissemination and impact, digital marketers may be well advised to first and foremost respond to online reviews that are high in emotional tone.

Stimulating or Intimidating: The Effect of AI-Enabled In-Store Communication on Consumer Patronage Likelihood

Artificial intelligence (AI) has penetrated the marketing landscape and is having a profound impact on businesses' communication strategies. With AI coming under the spotlight, we know surprisingly little about its impact on consumers' patronage likelihood. This research attempts to address this void by investigating the "just-walk-out" retail technology in cohort with in-store communication. Across three studies, conducted online and in the field, the authors demonstrate that, compared to self-service checkouts, AI-enabled checkouts lead to significantly higher consumers' patronage likelihood. Furthermore, sensory stimulation stemming from in-store communication (environmental cues including assortment, advertising, and technology) underlies this impact. Importantly, the extent to which consumers perceive AI technology to be threatening is revealed as a boundary condition to these effects. These findings advance our understanding of how AI-enabled checkouts and in-store communication influence consumers' patronage likelihood and the boundary condition that moderates their impact.

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62 References

Customer experiences in the age of artificial intelligence, ai customer service: task complexity, problem-solving ability, and usage intention, customer experience creation: determinants, dynamics and management strategies, perceived service quality and customer trust, choosing among alternative service delivery modes: an investigation of customer trial of self-service technologies, antecedents and consequences of online customer satisfaction: a holistic process perspective, the effect of service convenience on post-purchasing behaviours, the stickiness intention of group-buying websites: the integration of the commitment-trust theory and e-commerce success model, “service encounter 2.0”: an investigation into the roles of technology, employees and customers, modelling the factors that influence the acceptance of digital technologies in e-government services in the uae: a pls-sem approach, related papers.

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Linking Customer E-Service Quality with Artificial Intelligence-Based Business Environment

  • First Online: 18 August 2023

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ai customer service task complexity problem solving ability and usage intention

  • Sakshi Kathuria 5 &
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The fast-changing consumer preferences develop a competitive environment for the product and services because consumer e-satisfaction/services (well-being) is essential for developing business strategies to improve customer technological well-being. Developing a linkage from human social interaction, the concept of consumer trust provides a valid reason for measuring and identifying the relationship between humans and AI-driven technological transformation. However, many consumer studies do not discuss AI-driven service quality parameters. Therefore, this chapter presents various customer service quality expectations and their relevance to the AI-enabled business environment. It highlights the connection between the technology acceptance model and trust-commitment theory for improving customer experiences with technology uses. Although currently, most consumers spend more time with digital technologies and looking for personalized recommendation systems through digital service agents (chatbots and other AI-enabled tools). Still, the trust and commitment provided by the technology is a real challenge for the retailer and customers. The chapter also explains the future research scope for future research to extend the proposed linkages for greater consumer e-services.

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Kathuria, S., Rana, S. (2023). Linking Customer E-Service Quality with Artificial Intelligence-Based Business Environment. In: Sheth, J.N., Jain, V., Mogaji, E., Ambika, A. (eds) Artificial Intelligence in Customer Service. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-031-33898-4_11

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AI Customer Service: Task Complexity, Problem-solving Ability, and Usage Intention

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Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physical sources in order to provide personalised recommendations, alternatives, and solutions to customers’ enquiries or problems, even very complex ones. We examined, in a banking services context, whether consumers preferred AI or Human online customer service applications using an experimental design across three field-based experiments. The results show that, in the case of low-complexity tasks, consumers considered the problem-solving ability of AI to be greater than that of human customer service and were more likely to use AI while, conversely, for high-complexity tasks, they viewed human customer service as superior and were more likely to use it than AI. Moreover, we found that perceived problem-solving ability mediated the effects of customers’ service usage intentions (i.e., their preference for AI vs. Human) with task complexity serving as a boundary condition. Here we discuss our research and the results and conclude by offering practical suggestions for banks seeking to reach customers and engage with them more effectively by leveraging the distinctive features of AI customer service.

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Artificial Intelligence

5 ways an AI contact center improves customer experience management

Celia Cerdeira

By Celia Cerdeira

5 Ways An Ai Contact Center Improves The Customer Experience

In an era where customers demand instant gratification and personalized service, the stakes for delivering an exceptional customer experience have never been higher.

With a solid customer experience strategy, an organization can set itself apart from the competition. In fact, businesses that focus on improving the customer experience can increase their sales revenue by 2-7% and raise shareholder returns by 7-10% .

To turn strategy into reality, companies need AI-powered customer experience tools. These cutting-edge solutions enable businesses to not only meet but surpass customer expectations. Learn how AI is revolutionizing customer experience, giving organizations the edge they need to stay ahead in a competitive market.

Why is customer experience management so important?

Customer experience management (CXM) is the process of handling, managing, and maintaining interactions between customers and a brand throughout their entire relationship. A well-executed CXM strategy can help a business:

Boost customer engagement. CXM strategy ensures that every interaction with a brand is positive, consistent, and personalized. By understanding customer needs and preferences, businesses can tailor their offerings and communication, leading to higher levels of engagement and increasingly satisfied customers.

Lower costs. Retaining existing customers is cheaper and easier than acquiring new ones, making customer lifetime value a crucial factor in reducing costs.

Reduce customer churn. By concentrating on the customer experience, organizations can show that they truly care about their customers and provide them with an experience that makes them want to return .

What is customer experience software?

Customer experience software helps businesses communicate and interact with customers smoothly, no matter how customers choose to connect—whether through emails, phone calls, or social media. This software ensures that every interaction is managed efficiently and consistently.

For this to work, the customer experience software must integrate with the company’s existing CRM systems . This integration gives agents access to real-time customer data, history, and preferences ensuring they have everything they need to deliver a seamless customer experience.

However, organizations need more than just basic software with CRM integration . To stay competitive, they should use AI-powered CX tools.

5 ways AI contact center tools enhance customer experience management.

At a high level, AI-powered customer experience software stands out for its ability to process vast amounts of data in real time while leveraging generative AI to craft personalized interactions and insights at scale. Whether it’s anticipating customer needs, generating tailored responses, or automating routine tasks, AI capabilities empower businesses to deliver faster, more efficient, and deeply customized experiences that drive satisfaction and loyalty.

Explore five key ways AI contact center tools can enhance customer experience management:

1. Sentiment analysis.

AI-powered customer sentiment analysis can help businesses capture and analyze customers’ speech, text, and other interactions giving them insights into how customers feel about the brand. Understanding customer emotions in real time enables businesses to proactively address any customer dissatisfaction and personalize responses.

AI can also help understand and address underlying customer service problems without feedback surveys to gain insights into customers’ emotions. AI-powered customer sentiment analysis can also highlight topic trends and keywords, helping organizations understand friction points, root causes, and opportunities for change.

2. Agent assistance.

AI-powered analysis tools can instantly provide agents with relevant information during interactions, eliminating the need for time-consuming manual searches. For instance, if a customer reaches out with a specific issue, AI can immediately present the agent with the customer’s history, recent interactions, and potential solutions all in real time. This streamlines the interaction, allowing agents to focus on resolving the issue rather than hunting for information.

AI can also suggest next-best actions based on the customer’s needs, such as offering a personalized product recommendation, escalating the issue to a specialist, or guiding the customer through a complex process. This level of support not only reduces handle times but also increases the accuracy and effectiveness of the service provided.

3. Virtual agents.

AI-powered virtual agents can handle a wide range of interactions independently, from answering frequently asked questions to troubleshooting common issues. Available 24/7, virtual agents provide immediate assistance to customers, outside of regular business hours and regardless of channel such as chatbots, voice assistants, and messaging apps. This is particularly beneficial for addressing simple or repetitive inquiries, freeing up human agents to focus on more complex or high-value tasks.

Because virtual agents are continuously learning and improving, they can handle increasingly sophisticated interactions over time. When a situation requires human intervention, virtual agents can seamlessly transition the customer to a live agent, ensuring that the customer experience remains smooth and uninterrupted.

4. Customer experience analytics.

Customer experience analytics tools collect and analyze vast amounts of data from multiple touchpoints, including website visits, phone calls, social media interactions, and email communications. AI can quickly identify patterns, trends, and anomalies in this data, providing customer experience managers with actionable insights.

Using AI to monitor and analyze customer behavior in real time empowers businesses to make data-driven decisions that improve customer satisfaction and reduce churn . These insights can also guide the development of targeted marketing campaigns, personalized offers, and optimized service processes, all of which contribute to a more satisfying and effective customer experience.

5. Omnichannel engagement.

AI-powered systems enable businesses to integrate various channels—such as email, chat, social media, phone, and in-person interactions—into a single, cohesive customer journey. This integration ensures that customers receive the same level of service, regardless of how they choose to interact with the brand. For example, a customer might start an inquiry via email, continue it through chat, and finish it with a phone call.

AI tracks these interactions in real time, providing agents with a comprehensive view of the customer’s history and preferences . This allows agents to pick up the conversation seamlessly, without requiring the customer to repeat information. Additionally, AI can predict customer needs based on past behavior, enabling businesses to offer proactive support and tailored recommendations.

Choose customer experience software for a competitive advantage.

Incorporating AI into a contact center can transform how businesses manage customer interactions. From understanding customer sentiment in real time to providing seamless omnichannel support, these advanced technologies empower organizations to deliver personalized, efficient, and satisfying customer interactions.

An AI-powered contact center streamlines operations, reduces costs, and builds stronger, more loyal customer relationships.

Ready to see how Talkdesk AI contact center software can help you improve your customer experience? See Talkdesk in action by submitting a demo request !

Celia Cerdeira

Célia Cerdeira has more than 20 years experience in the contact center industry. She imagines, designs, and brings to life the right content for awesome customer journeys. When she's not writing, you can find her chilling on the beach enjoying a freshly squeezed juice and reading a novel by some of her favorite authors.

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    ai customer service task complexity problem solving ability and usage intention

  2. Perceived problem-solving ability as a function of customer service (AI

    ai customer service task complexity problem solving ability and usage intention

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    ai customer service task complexity problem solving ability and usage intention

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COMMENTS

  1. AI customer service: Task complexity, problem-solving ability, and

    First, though we have presented convincing evidence that problem-solving ability plays a mediating role in the preference for either AI or Human customer service, in usage intention, and in task complexity as a boundary condition, the robustness of our findings could be assessed by exploring the significance of problem-solving ability and task ...

  2. AI Customer Service: Task Complexity, Problem-Solving Ability, and

    The results show that, in the case of low-complexity tasks, consumers considered the problem-solving ability of AI to be greater than that of human customer service and were more likely to use AI ...

  3. AI Customer Service: Task Complexity, Problem-Solving Ability, and

    Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physical sources in order to provide personalised recommendations, alternatives, and solutions to customers' enquiries or problems, even very complex ones.We examined, in a banking services context ...

  4. AI Customer Service: Task Complexity, Problem-Solving Ability, and

    A conceptual framework for how the integration of AI in customer service can lead to an improved AI-enabled customer experience is proposed, which extends the trust-commitment theory and service quality model and incorporates perceived problem-solving ability to address these factors and thereby guide the successful implementation of AI based customer service projects.

  5. AI customer service: Task complexity, problem-solving ability, and

    Our research, then, suggests that, AI customer service systems are perceived to have a greater problem-solving ability and increase usage intention for low-complexity tasks but that, human customer service systems are perceived to have a greater problem-solving ability and increase usage intention for high-complexity tasks.

  6. AI customer service: Task complexity, problem-solving ability, and

    (2020) Xu et al. Australasian Marketing Journal. Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physical sources in order to provide personalised recommen...

  7. AI customer service: Task complexity, problem-solving ability, and

    AI customer service: Task complexity, problem-solving ability, and usage intention. Yingzi Xu, Chih-Hui Shieh, Patrick van Esch and I-Ling Ling. Australasian marketing journal, 2020, vol. 28, issue 4, 189-199 . Abstract: Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from ...

  8. AI Customer Service: Task Complexity, Problem-Solving Ability, and

    Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physica...

  9. AI Customer Service: Task Complexity, Problem-Solving Ability, and

    DOI: 10.1016/j.ausmj.2020.03.005 Corpus ID: 219507104; AI Customer Service: Task Complexity, Problem-Solving Ability, and Usage Intention @article{Xu2020AICS, title={AI Customer Service: Task Complexity, Problem-Solving Ability, and Usage Intention}, author={Yingzi Xu and Chih-Hui Shieh and Patrick van Esch and I-Ling Ling}, journal={Australasian Marketing Journal}, year={2020}, volume={28 ...

  10. Usage intention as a function of customer service (AI vs. Human) and

    It requires different levels of intelligence to control the product and service flow, reduce task complexity and usage intention, and support a problem-solving ability for business growth (Huang ...

  11. PDF Australasian Marketing Journal

    AI customer service: Task complexity, problem-solving ability, and ... Problem-solving ability Usage intention a b s t r a c t theintelligence context in of customer service, ...

  12. AI customer service: Task complexity, problem-solving ability, and

    The results show that, in the case of low-complexity tasks, consumers considered the problem-solving ability of AI to be greater than that of human customer service and were more likely to use AI while, conversely, for high-complexity tasks, they viewed human customer service as superior and were more likely to use it than AI.

  13. AI Customer Service: Task Complexity, Problem-Solving Ability, and

    Moreover, we found that perceived problem-solving ability mediated the effects of customers' service usage intentions (i.e., their preference for AI vs. Human) with task complexity serving as a boundary condition. Here we discuss our research and the results and conclude by offering practical suggestions for banks seeking to reach customers ...

  14. AI Customer Service: Task Complexity, Problem-Solving Ability, and

    Supporting: 1, Mentioning: 71 - Artificial intelligence (AI) in the context of customer service, we define as a technology-enabled system for evaluating real-time service scenarios using data collected from digital and/or physical sources in order to provide personalised recommendations, alternatives, and solutions to customers' enquiries or problems, even very complex ones. We examined, in ...

  15. Exploring Determinants That Influence the Usage Intention of AI-Based

    A conceptual framework for how the integration of AI in customer service can lead to an improved AI-enabled customer experience is proposed, which extends the trust-commitment theory and service quality model and incorporates perceived problem-solving ability to address these factors and thereby guide the successful implementation of AI based customer service projects. Artificial intelligence ...

  16. Linking Customer E-Service Quality with Artificial Intelligence-Based

    It requires different levels of intelligence to control the product and service flow, reduce task complexity and usage intention, and support a problem-solving ability for business growth (Huang & Rust, 2021; Xu et al., 2020a). The smart technologies implementation leads to a human and resources investment in AI for handling mega data and ...

  17. Continuance intention to use artificial intelligence personal assistant

    Xu et al. (2020) examined the roles of task complexity and problem-solving ability in shaping usage intention in AI customer service. They intimated that the consumers considered the problem-solving ability of AI to be greater than that of human customer service in low-complexity tasks. Perceived problem-solving ability mediated the effects of ...

  18. Perceived problem-solving ability as a function of customer service (AI

    For the low task complexity condition, problem-solving ability was greater for AI than for human customer service. For the high-TC condition, problem-solving ability was higher in the human than ...

  19. AI Customer Service: Task Complexity, Problem-solving Ability, and

    The results show that, in the case of low-complexity tasks, consumers considered the problem-solving ability of AI to be greater than that of human customer service and were more likely to use AI while, conversely, for high-complexity tasks, they viewed human customer service as superior and were more likely to use it than AI. Moreover, we ...

  20. Foundations of AI: The big issues

    The results show that, in the case of low-complexity tasks, consumers considered the problem-solving ability of AI to be greater than that of human customer service and were more likely to use AI while, conversely, for high-complexity tasks, they viewed human customer service as superior and were more likely to use it than AI.

  21. Continuance intention to use artificial intelligence personal assistant

    examined the roles of task complexity and problem-solving ability in shaping usage intention in AI customer service. They intimated that the consumers considered the problem-solving ability of AI to be greater than that of human customer service in low-complexity tasks.

  22. Sci-Hub

    Xu, Y., Shieh, C.-H., van Esch, P., & Ling, I.-L. (2020). AI Customer Service: Task Complexity, Problem-Solving Ability, and Usage Intention. Australasian Marketing ...

  23. 5 ways an AI contact center improves customer experience management

    AI can also help understand and address underlying customer service problems without feedback surveys to gain insights into customers' emotions. AI-powered customer sentiment analysis can also highlight topic trends and keywords, helping organizations understand friction points, root causes, and opportunities for change. 2. Agent assistance.