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Top 10 Benefits Of Customer Service Automation For Your Business

February 17, 2020  •  7 minute read

The ability to automate repetitive tasks or ease out mundane jobs has reduced dependency and overload on human resources. Automated responses, ticket routing, customer self-service and knowledge base pages are enabling businesses to assist more customers at lower costs. Automation is bound to increase its penetration across various business ops but in this article today, we’ll specifically look at why enterprises should take automation of customer service seriously.

10 Benefits of automating your customer service  

1. Time saving  

One of the biggest advantages of automated customer service is the saved time on attending each call. It is estimated that during a 6-minute customer call, the agent spends 75% of the time doing manual research related to the customer history and the query. This leaves the valued customer interaction at a mere 25%. 

An automated agent assistance platform can slash this wasted time by acting as a personal assistant to the agent and taking over the manual work. Since the service bot is the primary touchpoint of customer interaction, by the time the call gets through to the agent, they will have all the data populated on their screens. 

What’s more, the agent assist can help deliver responsiveness that was not humanly possible before. The NLP technology built into the systems analyzes the customer query to extract intent and have suggestions ready to help the agent with the call. 

2. Instant query resolution 

AI-powered chatbots are smarter than ever before. Over the last 5 years, messaging apps have been integrated as primary touchpoints for organizations’ CXM connect. They offer prompt responses, help resolve repeat queries and attend to routine service requests. 60% of millennials reported using messaging services to communicate with brands and 70% reported a positive experience even before 2018. 

Chatbots offer round-the-clock availability and a quick transfer to a human agent if the need arises. Their best use case lies in handling repeat and mundane queries such as tracking orders, checking the status or account balance. 

The service is especially useful when customers need queries to be addressed outside normal business hours. Users also prefer to interact with bots for simple queries and reach out to a human agent only when the issue is too complex for the bot to resolve. It is time-saving for clients too.

3. Cost reduction 

What haemorrhages the most money in business is setting up dedicated customer service cells, hiring and training staff plus round-the-clock availability. The estimate for hiring a call-centre agent on an average is about USD 4000 and it takes about USD 4800 more to train them. 

These costs can quickly escalate because of staff attrition which is a common issue at all call centres. This is where automation becomes a major cost saver as it only needs to be trained or programmed once. Incorporate NLU and the AI-powered chatbots that learn on their own based on the algorithm as well as repeat conversations. 

Automation is also useful when the process has to be scaled up or in times when there is a change in the process. Instead of retraining the existing agents or hiring new ones, the automation platform only needs to be reconfigured to accommodate changes. 

4. Personalization 

An increasing number of people expect their services to be personalized, making it a feature of the highest priority. In fact, customer experience is so important that 58% of consumers will switch brands because of a single sub-standard experience. 

Service automation can vastly improve customer experience by building a digital model of existing customers based on their previous interaction with the brand and their social media presence. Brands can offer an unmatched level of personalization using big data, machine learning plus AI to familiarize themselves with the customer and personalize every interaction.

The result is improved customer experience, better satisfaction and higher rates of conversion on products or services. The information on customers will also help the human agent to have a better context on every call. It enables them to offer their suggestions without the customer having to repeat their queries several times or explain their preferences or history. 

5. Customer self-service 

Increased automation promotes a more DIY approach for customers. In fact, 69% of the customers try to self-resolve their problems before approaching for help. Chatbots powered by AI are powerful tools to empower customers to resolve their own issues. 

Such service automation would save time they would spend on going through FAQs and online forums. With all the answers available at their fingertips will greatly improve customer experience and satisfaction.

Millennials, in particular, would rather be self-reliant as much as possible before seeking help from a human agent. Businesses that do not offer this level of empowerment risk negatively impacting the customer journey. 

6. Response time optimization  

Customers today have the world at their fingertips. They want an instant response to their questions and they equate the speed of service to its quality. Most customers who are accustomed to instant access to the digital realm now have little tolerance for slow query processes. 

While AI makes self-service instantaneous for customers, agent assist platforms tasked with helping human agents will have all the information about the customer on the line in seconds. This helps in faster services when calls are turned over to the agents where the platform would be ready with predictable questions and related information. 

7. Consistent service  

Chatbots are driven purely by data and have no inherent biases or afflictions that can negatively impact customer interaction. Human agents tend to get tired or frustrated. They can also turn up late to work or have unproductive days where they are not fully up to the task. 

Well-trained bots can deal with a range of queries with accurate detection of customer intent and emotion behind the interaction. It can hand over the call or query to a human agent the instant it detects the need for human intervention. 

8. 24×7 Availability

One of the biggest advantages of automated customer service is the round-the-clock service. Chatbots are available 24*7 to handle any amount of queries from users. If the AI is unable to resolve an issue, it can register the information and raise a ticket to be resolved at a later time when a human agent is available. 

9. Agent Productivity 

Working with a customer service automation platform requires lesser training for new agents, which makes onboarding easier and the agents more productive right from the start. The agents who work with complete information at hand will interact with fewer frustrated customers as the AI guides them in the best way to interact based on previous data. 

The lesser the effort required on the part of the agent, the less the fatigue and burn-out, improve the productivity, and eventually, it is profitable for the enterprise with reduced attrition rates and a better customer satisfaction index.

10. Fewer Human Errors 

When it comes to improving customer experience, reducing errors and repetitions is the key to making better decisions. According to a study by Capterra, 72% of the customers attribute having to repeat their queries to multiple people or departments as a bad customer service experience. 

Service automation can completely eliminate this problem by capturing essential information at the first interaction and passing it on to the subsequent agents. With upgrades, NLU powered chatbots have a higher rate of first-contact resolution which will reduce agent transfers. 

The accuracy of service automation also means there will be fewer errors committed by human agents. With AI and machine learning, the agent assist platforms will also absorb newer information from previous interactions to make future interactions better for customers. 

To Conclude 

The automation of customer service is inevitable in the future as AI-powered customer engagement is implemented by an increasing number of organizations. Leveraging omnichannel data, the AI platforms are able to take over most of the repetitive and mundane tasks off the hands of human agents. Automation tools are at a level where they can identify the speech of customers in multiple languages to understand their problems and recommend the best solution. 

Considering the need for better customer experience, cost savings and efficiency we mentioned customer service tools that will matter for success. It is only a matter of time before every organization implements automation of customer service

Get in touch with our experts to learn more about how you can implement customer service automation in your organization with a scalable solution. 


Yellow.ai is the world's leading enterprise-grade conversational AI platform that unlocks business potential at scale. It is powered by Dynamic AI Agents to deliver human-like interactions that boost customer satisfaction and increase employee engagement across 35+ voice and text channels and in 135+ languages.
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