The bustling 2024 holiday shopping season is rapidly approaching, and brands are gearing up to handle an anticipated surge in consumer demand and interactions. Holiday sales are expected to exceed $1.35 trillion, marking a 4.8% increase from the previous year. Additionally, eCommerce is predicted to grow by 9.5%. However, this growth is accompanied by significant challenges, such as an anticipated 2% increase in the value of returns, nearing $932 billion. In response to these demands, companies are increasingly turning to digital-first customer experience (CX) solutions, including generative artificial intelligence (GenAI) chatbots, self-serve tools, and asynchronous messaging, to better manage customer interactions and support agents during the peak season.
The Role of AI in Enhancing Customer Experience
AI and GenAI are positioned to play a pivotal role this holiday season, benefiting both customers and CX agents. According to Salesforce, approximately 18% of global holiday orders, amounting to $201 billion in online sales, will likely be influenced by predictive and generative AI. These advanced technologies can deliver smart product recommendations, seamlessly answer frequently asked questions, and offer personalized customer interactions. AI-powered copilots assist agents by analyzing customer inquiries in real time, providing immediate knowledge, suggestions, and recommending the next best action steps to address customer needs effectively.
For companies employing a single pane of glass approach—which unifies data across the enterprise into a cohesive interface—AI tools streamline information access for agents. This enables them to confidently provide accurate and current information, even when faced with complex queries. For instance, TELUS Digital’s Fuel iX™ EX, an advanced employee AI assistant, allows agents to ask questions and receive comprehensive answers seamlessly. This integration ensures a faster response time and a more coherent customer service experience, significantly improving overall satisfaction during the holiday rush.
The advantage of such unifying tools is apparent, as they enable agents to handle inquiries with greater precision and dispatch, ensuring that customer satisfaction remains high even during times of peak demand. From the customer’s perspective, AI tools provide a smoother journey by enabling engaging and consistent interactions. Reports indicate that over half (53%) of shoppers would consider using GenAI for inspiration when selecting gifts, underscoring the importance of AI in personalizing marketing and support efforts to nurture and retain customer loyalty.
AI-Enhanced Self-Serve Channels
AI-enhanced self-serve channels, such as chatbots and knowledge bases, ensure that customers receive quick and specific answers to their queries. By reducing wait times and maintaining consistent CX across touchpoints, these tools enhance the overall customer journey. Additionally, brands utilizing these AI-enhanced channels can proactively address potential issues by analyzing historical patterns and offering preemptive support. The demand for quick, fast, and easy support extends into the holiday season, and self-serve options meet these expectations by empowering customers with immediate assistance.
Brands can further enhance these self-serve tools with holiday-specific information, such as return policies and shipping timelines. This strategic approach alleviates the burden on agents, allowing them to focus on resolving more complex or high-value interactions. By reducing the volume of basic inquiries, agents can dedicate more energy to providing empathetic and personalized customer support. This efficient allocation of resources not only enhances the customer experience but also contributes to greater operational efficiency during the busy holiday season.
AI-enhanced self-serve channels also provide the benefit of cost savings for companies, as they minimize the need for extensive human resources to handle a high volume of straightforward customer inquiries. By leveraging these advanced tools, companies can navigate the demands of the holiday season more effectively and sustain a high level of customer satisfaction, even amid increased pressure and higher return rates.
The Benefits of Asynchronous Messaging
Asynchronous messaging is another innovative solution that builds on the capabilities of self-serve tools, allowing customers to interact with live agents or chatbots at their convenience. This flexibility means customers can start, stop, and resume conversations without being bound by hold times, significantly enhancing their support journey. The ability to manage interactions seamlessly results in a smoother and more efficient customer experience, improving the overall perception of the brand.
The stakes for the holiday season are indeed high. According to the National Retail Federation, approximately one-fifth of annual sales occur during this period, placing immense pressure on brands to deliver exceptional customer service. Navigating increased returns, competitive marketing efforts, and heightened support demands requires strategic planning and the partnership of the right technology providers. Vendor-agnostic solutions can enhance the value of existing tech investments, helping enterprises make better-informed decisions for superior outcomes and long-term success.
Asynchronous messaging not only empowers customers but also provides significant advantages for customer service agents. By allowing agents to manage multiple conversations simultaneously without the constraints of real-time communication, asynchronous messaging improves efficiency and reduces the likelihood of agents feeling overwhelmed during peak periods. This approach is particularly beneficial in managing the increased volume of interactions during the holiday season, ensuring that customers receive timely and effective support.
Personalizing Customer Experience at Scale
Combining AI, asynchronous messaging, and integrated customer relationship management (CRM) systems makes personalizing the customer experience at scale more achievable. A technology provider excelling in these cohesive solutions ensures that brands not only meet their holiday goals but also craft truly personalized customer journeys. As emphasized by BCG in its 2024 report, holiday performance hinges on well-timed execution and recognizing the diverse shopper missions throughout the season.
Achieving seamless customer experiences—where needs are anticipated, interactions are smooth, and resolutions are timely—is critical for retaining loyalty during this busy period. While the holiday season demands exceptional customer and employee experiences, the benefits of advanced tech solutions extend beyond this timeframe. Investments in these technologies improve agent and customer experiences during peak times and contribute to long-term satisfaction and loyalty, providing a critical edge in a competitive market.
By leveraging AI and integrated CRM systems, brands can gain valuable insights into customer behavior and preferences, allowing them to tailor their marketing and support strategies more effectively. This level of personalization enhances customer engagement and fosters deeper connections between brands and their customers, ultimately driving increased loyalty and repeat business.
Preparing for Future Holiday Seasons
With the bustling 2024 holiday shopping season on the horizon, brands are preparing for a predicted surge in consumer demand and interactions. eMarketer forecasts holiday sales will surpass $1.35 trillion, reflecting a 4.8% increase from last year. eCommerce sales are also set to grow by 9.5%. This projected growth, however, brings significant challenges, particularly an expected 2% rise in returns, valued at nearly $932 billion. To navigate these complexities and better manage customer interactions, businesses are increasingly adopting digital-first customer experience (CX) solutions. These include generative artificial intelligence (GenAI) chatbots, self-serve tools, and asynchronous messaging. Such technologies are designed to enhance customer support and ease the burden on customer service agents during this peak season. As companies strive to meet rising consumer expectations, leveraging advanced CX solutions aims to ensure a seamless and efficient shopping experience.