Home topics news AI generated News News Australian SMEs seek AI to combat customer churn Yajush Gupta May 7, 2024 Concerns about diminishing customer loyalty are prevalent among Australian businesses, with 78% expressing apprehension, according to a survey. This issue is one that many hope to tackle with AI, despite lingering apprehensions about the technology. Commissioned by Genesys and conducted by industry research firm YouGov, the study revealed that two-thirds (66%) of respondents identified customer churn as their primary business concern. Of these, 40% were worried about customers shifting to cheaper competitors, while 29% cited concerns about churn due to poor experiences or customer service. To address these concerns, a significant majority (97%) of surveyed organizations stated they have already adopted or planned to adopt AI to enhance customer experience. However, senior business decision-makers remain cautious, with 95% expressing some level of concern about implementing AI in their companies. Among their top concerns were cybersecurity risks associated with AI programs (46%), legal and regulatory issues (42%), internal lack of AI skills among employees (40%), and the cost of investing in and implementing AI (40%). Despite these apprehensions, 91% of senior business decision-makers reported that their companies had seen or expected to see increased customer satisfaction from AI implementation. Additionally, 94% of businesses actively using or considering AI for customer experience enhancements anticipated improvements in first contact resolution, campaign ROI, and cost reduction. The study forecasts a rise in AI investment among Australian businesses, with anticipated spending set to reach 15.1%