GenAI to revolutionize call centers in 18 months, study says

MASSACHUSETTS, UNITED STATES — A new study by HFS Research foresees generative AI (GenAI) to bring major changes to customer service and call centers over the next 18 months. However, the path to full adoption will likely take longer.
The analysis, based on a survey of 104 executives from professional services firms, found that most respondents believe customer service will gain the highest value from applying GenAI technologies.
Specifically, 47% of executives said customer service, call centers, and customer care will see very high value from GenAI in the next 12-18 months. This outpaced other business functions like sales, strategy setting, supply chain, and IT.
Commenting on this expected boost, HFS Research CEO and Chief Analyst Phil Fersht said, “My view is that GenAI is being driven from the C-Suite, where they want to exploit more competitive advantage, make smarter decisions faster, tune up their supply chains, and – most of all – delight their customers with GenAI-infused engagement.”
The study suggests that GenAI can enhance customer service through use cases like automated customer replies, sentiment analysis, knowledge base improvements, and agent assist features.
Technologies like ChatGPT allow responding to customers with more personalized, natural language.
However, survey respondents also cited skills gaps that must be addressed, including communication skills, critical thinking, and understanding AI ethics. Firms will need to train staff on using GenAI responsibly.
“While the promise of GenAI for enterprises is immense, it is too early to celebrate. I think this is not a slam dunk, and it will be an uncomfortable journey,” stated HFS President for Research and Advisory Services Saurabh Gupta.
The report added that while GenAI offers major potential, providers must help enterprises apply the emerging technology thoughtfully.
Still, HFS Research urges companies to embrace GenAI now or risk falling behind competitors using it to empower employees and transform operations.