April 22, 2025

The Benefits of AI-Powered Customer Experience Featuring Isabelle Zdatny

36 minutes

The Role of Generative AI, Analytical AI, and Agentic AI in Enhancing Customer Loyalty and Experience

Shep interviews Isabelle Zdatny, Head of Thought Leadership with Qualtrics XM Institute. She talks about how AI can help measure customer loyalty, improve employee productivity, and enhance customer service processes.

This episode of Amazing Business Radio with Shep Hyken answers the following questions and more:  

What is Agentic AI?

What is the difference between generative AI, analytical AI, and agentic AI?

What impact does AI have on analyzing and predicting customer behavior?

How do companies balance AI with the need for human empathy in customer service?

Why is it crucial for companies to start implementing AI to improve customer experience?

Top Takeaways:  

As technology advances, the quality of customer experiences is gradually improving. However, customers are becoming less tolerant of poor experiences. Businesses must realize that one bad interaction can significantly impact customer loyalty.

In Shep’s recent customer service and experience survey, we found that the average customer is willing to give you two chances before they switch to a competitor. Loyal customers will give three chances. Maintaining consistent positive experiences is critical to retaining customers.

Traditional approaches to getting customer feedback are less effective in measuring loyalty. Consumers are leaving less feedback because they don't trust that their voice is acknowledged. They often see little value in answering surveys and may prefer to quietly switch to a competitor.

Unlike traditional AI, agentic AI can process data and understand the customer. As a result, it can take action without constant human assistance. Unlike analytical or generative AI, which are great at specific, focused tasks but still rely on people to prompt chatbots or act on predictions, agentic AI can manage entire end-to-end customer journeys and adapt to changes as they happen.

Customers should know when interacting with a bot rather than a human. Companies employing AI in customer interactions must be transparent about their use to maintain trust and ensure that experiences align with customers' expectations ethically.

Human interaction is still needed in customer service. AI can handle routine tasks, allowing human agents to deal with complex issues requiring empathy.

According to recent Qualtrics research, there is a $860 billion ($420 billion for B2B and $440 billion for B2C) opportunity for organizations using AI to improve customer experiences systematically. This value is generated through increased employee productivity, process improvement, and revenue growth.

Plus Shep and Isabelle discuss more insights from Qualtric's free report, Unlock the Potential of AI-Enabled CX. Tune in!

Quote: 

"Customers are less tolerant of friction these days. So even if you deliver consistently good experiences, just one bad interaction can send your relationship down a bad path more quickly than it used to."

About:  

Isabelle Zdatny is Head of Thought Leadership at Qualtrics XM Institute. She creates leading content on experience management trends and best practices, delivers training, and advises organizations on CX and EX strategy.

Shep Hyken is a customer service and experience expert, New York Times bestselling author, award-winning keynote speaker, and host of Amazing Business Radio.  

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By Shep Hyken & C-Suite Radio

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