27 of the Best Use Cases for Conversational AI in 2023 Designed to Inspire a Better Customer & Employee Experience

What if every time your customer had any question at all, they had to contact your support team? 

• Can I change my subscription? Contact support. 
• Can I upgrade my phone? Contact support.
• I have a question about my bill. Contact support. 

That would be exhausting! It’s no wonder customer service has become so impersonal and why customers get frustrated. 

But what if you could change all that with the help of conversational AI? Conversational AI is like your very own C-3PO (you know, R2-D2’s trusty sidekick in Star Wars). It understands natural language, recognizes customer sentiment, and provides real-time context for agents. 

Conversational AI can revolutionize how your company connects to customers and employees. It can also help you to create better experiences and more meaningful interactions. From personalized shopping experiences to adaptive AI chatbots, there are tons of use cases for conversational AI to boost productivity, satisfaction, and loyalty. Today, we’re looking at 27 use cases for conversational AI in the service space. First, we’ll walk through 15 use cases in the CX, and then we’ll dive into 12 more for the employee experience.

Before we jump into the use cases, though, let’s make sure we’re all talking about the same thing. 

What is Conversational AI 

Conversational AI is a technology that lets computers have productive conversations with humans. It’s like having you’re very own C-3PO that can understand what you’re saying and respond in a way that makes sense. It works using natural language processing, meaning it can understand and then interpret human language, respond to questions, provide info, or even complete tasks. 

Obviously, Tatooine is full of high-tech robots that can have full conversations with you. (Apparently, I’m on a Star Wars kick here.) But in the real world, you can look to virtual assistants like Siri or Alexa as an example of conversational AI. And then in business, something like your IVR system that uses voice recognition to send callers to the right department is conversational AI. (It hears a human, interprets the information, and then takes action in response.) And chatbots on your company website can use conversational AI to give customers a better experience, too. 

Here are a few of the best use cases for conversational AI to improve your customer experience. 

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15 Customer Experience Use Cases for Conversational AI

Your customers really don’t want to talk to you. (No offense!) Studies show that 81% of customers try to take care of issues themselves before they reach out to a company for help. When they do decide to contact your support team, your company has already failed to deliver their ideal experience. By adding conversational AI into your support channels, you then give your customers the experience they want – faster. 

What’s more, conversational AI can help your company gather a ton of data on customer behavior and preferences. That data can then help you tailor products and services and improve your experience strategy.

Here are 15 use cases for conversational AI in your customer experience: 

1. Personalized customer service 

Probably the most obvious use case for conversational AI is personalized customer service at scale. AI can analyze customer data and previous interactions and then offer tailored solutions. 

2. Streamline the ordering process

Your AI-powered chatbot can help customers place orders, which then gives them real-time recommendations and upselling opportunities.

3. Improved customer satisfaction

Using conversational AI, your support team can field customer complaints, solve tier-1 support issues and escalate complex interactions. Plus, they can do all of that without actually connecting with customers, saving time and increasing first contact resolution, which then boosts customer satisfaction. 

4. Enhanced self-service

AI-powered self-service options can reduce customer wait time for commonly asked questions and concerns.

5. 24/7 customer support

Conversational AI can offer 24/7 customer support, and that then lets you cater to customers in any time zone, around the clock.

6. Efficient ticket management

AI-powered chatbots can manage support tickets, categorize them, and then help you to focus on them according to urgency.

7. Accurate analytics 

The tech can provide accurate data analytics, including customer sentiment, common requests, and feedback, letting you make data-backed decisions to enhance your offerings.

8. Efficient order fulfillment 

AI-powered chatbots can track orders, providing customers real-time order updates and shipping information without adding a human to the workflow. 

9. Instant feedback

With AI, your customers can give and receive instant feedback about a product or service, improving the feedback loop and giving you insanely valuable insight into buying criteria and support optimizations. 

10. Personal shopping assistant

Using machine learning to understand your customer’s preferences from conversation and data, AI can build highly-tailored experiences with personalized recommendations. This level of service boosts satisfaction and customer loyalty, too. 

11. Reduced cart abandonment

Conversational AI can understand why customers abandon their carts and provide solutions to encourage checkout.

12. Better onboarding experience 

AI-powered chatbots can welcome new customers, giving them a seamless onboarding experience.

13. Quick and accurate search results

Conversational AI-powered search can provide quick and accurate results to customers looking for product or service info.

14. Product recommendations

AI-powered chatbots can provide personalized product recommendations based on a customer’s browsing or purchase history.

15. Hassle-free product returns

Conversational AI can help customers better understand the return policy, and it can help them start a return to streamline the experience and make it easy to do all kinds of business with your company. 

12 Employee experience use cases for conversational AI

We all understand conversational AI is the bee’s knees of customer experience, right? But how can it help your internal teams? 

I’m so glad you asked. 

Conversational AI can streamline your processes. It can automate the mundane tasks you’re stuck doing manually right now. And then, it can analyze huge amounts of data in seconds. All this takes the pressure off your team, letting them focus on more complex tasks that need human input. And, while your employees are reducing their workloads, you’re still giving your customers a top-tier experience at every interaction point.

So, without further ado, here are some of the best use cases for conversational AI designed to improve your employee experience. 

1. Faster and more accurate HR support

Conversational AI can help your HR team answer frequently asked questions, reducing workload and enhancing your team’s response times.

2. Inventory management

AI-powered chatbots can track inventory levels. And then, they can provide real-time updates on stock availability and re-ordering requirements.

3. Automate repetitive tasks

This one’s my absolute favorite! Conversational AI can automate repetitive tasks, so your team can focus on the more complex, impactful work. 

4. Seamless employee onboarding

Oh, this one is a close second favorite for me. Onboarding is crucial for new employees, but the process is grueling. AI-powered chatbots can welcome new employees and help them set up their accounts and access required training materials.

5. Enhanced employee training

Conversational AI can give personalized employee training, improving employee skills and knowledge in specialized areas.

6. Streamlined shift management

AI-powered chatbots can manage employee shift schedules, shift swaps, and leave applications, ensuring a smooth workflow. 

7. Quick and easy expense reporting

You can use conversational AI to help your team members submit expense reports, cutting down the time and effort they spend to get their reimbursements. 

8. Automated employee feedback

This one’s a game-changer for sure. AI-powered chatbots can collect and analyze employee feedback, delivering insights that can help to improve engagement and performance. 

9. Predictive analytics for recruitment

Conversational AI can analyze data points like resumes, job postings, and company reviews, providing predictive analytics on potential candidates and helping you to find the perfect hire.

10. Employee health monitoring

AI-powered chatbots can track employee health and sentiment. They can ask questions and watch for red flags or anomalies to make sure employees stay safe and well. 

11. Automated payroll processing

Conversational AI can automate your payroll processes, letting you pay employees faster and with less toll on human talent. 

12. Streamlined team communication

AI-powered chatbots can help team collaboration. With them, your team can use one platform to communicate and share information. 

Adding conversational AI to both your customer service and employee experience strategies will give you an extreme advantage this year and beyond. Whether it’s improving customer service, automating processes, or collecting feedback, the use cases for conversational AI are infinite. 

Ready to put your own use cases for conversational AI to the test? Try Capacity for free!