Customer service

How AI Is Changing the Way Companies Handle Customer Complaints

Enreach 26/05/2022
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In a constantly changing environment, where companies increasingly compete to offer good service, call centers can no longer handle complaints manually; doing so risks reputational damage, customer churn, and missed opportunities to drive product and service improvements, among other things.

With many organizations today forced to identify, classify, report and resolve all complaints, a growing number of companies are moving beyond traditional management and tracking processes towards more efficient and proactive handling powered by Artificial Intelligence (AI) and analytics technology.

According to an article in the Harvard Business Review, today, to solve a problem, you need to understand it. So when it comes to customer experience (CX), companies can use AI-generated insights to discover not just where the issues are, but where they’re coming from.

While AI has become pervasive across all business functions (according to a PwC study, 86% of business leaders said in 2021 that AI was becoming a “mainstream technology” in their company), it holds particular promise for complaint management. AI is increasingly enabling organizations to gain a holistic view of complaints, enabling them to comply with external regulators and understand the impact of complaints on their business.

Organizations, With The Help of Artificial Intelligence, Must Be Able To:
1) Consistently and Accurately Identify, Classify and Report on Complaint Risk for Each Interaction

AI is enabling organizations to eliminate manual and subjective complaint capture. The automated management of complaints with Artificial Intelligence technology allows them to be automatically identified and classified in 100% of the volume in all channels. Reason for complaint, escalations, and sentiment can be ranked to determine risk. This information allows the organization to monitor trends by volume, type and location, while advanced dashboards and reports make it easy for regulators to document the complaint management process.

2) Automate Workflows By Complaint Type and Resolution Tracking

AI makes it possible to automatically identify and act on gaps in complaint handling, whether they have been misreported or need to be prioritized, so that sensitive or high-risk complaints can be addressed immediately. To do this, flexible workflows can be automated, including the ability to automatically assign reviews, helping you more effectively and efficiently track and report on how complaints are resolved.

3) Reduce Future Complaints by Pinpointing the Cause, Prioritizing Mitigation Actions, and Tracking Progress

AI helps understand the reasons for complaints that have a negative business impact and, in the process, turn them into an opportunity to strengthen CX. At the same time, proactive analytics protect brand reputation with capabilities that include automatic correlation of negative themes and trends across all channels, as well as early warning systems that flag emerging or recurring issues.

How to Get Real Results with AI-Powered Complaint Management:

Organizations are already realizing the benefits of Artificial Intelligence for complaint management, including the ability to:

  • Deliver Exceptional Experiences: an average 33% increase in customer sentiment.
  • Reduce Regulatory Risk: an average improvement of 25% in escalation procedures.
  • Improve Operational Efficiency: a 15% reduction in manual analysis, monitoring and reporting.
  • Reduce Agent Performance Variability: Training agents to reduce complaints and improve performance.
  • Prevent Customer Churn: 10% reduction in cancellations.
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