Innovative companies are continuing to find new ways to benefit from artificial intelligence (AI). These include using AI to reinvent departments like marketing and customer service with predictive analytics—as well as to transform entire industries with breakthrough advances in automation and robotics, including healthcare, retail, and manufacturing.

Below we unpack a recent Deloitte Digital report that looks at the benefits of conversational AI, including how the technology is changing the way companies engage with both customers and employees. According to Deloitte, conversational AI enables “a programmatic and intelligent way of offering a conversational experience to mimic conversations with real people, through digital and telecommunication technologies.” These technologies include natural language processing, dynamic text-to-speech, and machine learning.

As a result, companies are now able to design a new type of digital experience that drives greater personalization, improved efficiency, and competitive differentiation. “Each interaction can feel like a 1:1 conversation that is context-aware and informed by past interactions,” according to the Deloitte report.

In this new world, the possibilities for companies to transform their business are endless. Use cases include delivering omnichannel data-driven experiences, enabling advanced customer self-service and real-time personalization, sentiment analysis, and predictive sales lead development. The list goes on, and so do the business benefits. According to the Deloitte report, companies are using AI across a range of use cases to achieve the following:

  • Improved customer acquisition
  • Reduced cost to serve by 15-70%
  • Increased revenue per customer
  • Reduced customer churn
  • Improved employee satisfaction

Whether your conversational AI efforts are already underway or you’re just getting started, the Deloitte Digital report offers some sound strategic advice for getting started. See the steps you can take below:

  1. Imagine. Understanding the “opportunity at hand” is key for this step. This process can be aided by asking the right questions up front, according to the Deloitte report. What are your customer experience aims? How will you prioritize opportunities? How will you test it? From there, activities carried out during this stage can include setting up a testing lab, conducting research with customers and employees, and developing an AI roadmap with clear KPIs.
  2. Deliver. Designing and launching scalable conversational AI experiences is the intended outcome of this step. This requires not only a clear understanding of the opportunity, but also the people, systems, and features needed to realize a solution, and who you will target with the new use case.
  3. Run. Once the new use case is enabled, companies are recommended to focus on scaling and improving the experience, according to Deloitte. During this step, companies can optimize their AI solutions based on user feedback, iterate through “train and test” cycles to improve accuracy, and add machine learning to further automate the use case.

If you’d like to learn more, including how conversational AI enables better customer personalization, read the complete Deloitte Digital report here.