Utilizing generative AI to revolutionize customer service in banking
Since the debut of OpenAI’s ChatGPT, organizations and industries have been actively exploring the potential of generative AI to enhance efficiency and gain a competitive edge. With its ability to create new text, images, code, and other content, generative AI can enhance marketing and sales efforts, software engineering, customer support, and more.
In a June 2023 report, McKinsey highlighted banking as “among the industries that could see the biggest impact as a percentage of their revenues from generative AI.” The report highlighted that if fully integrated, this rapidly advancing technology could contribute an additional $200 billion to $340 billion annually across the banking industry.
While there are many use cases for generative AI in banking, we can expect most banks to take a cautious approach to implementing this emerging technology as they continue to assess its potential and risks. One of those risks is accuracy: ChatGPT and other generative AI algorithms currently are prone to inventing facts, or “hallucinating.”
Prioritizing the customer experience
Given this existing flaw, it would be irresponsible of banks today to allow customers to interact directly with generative AI with no guardrails in place. However, banks can still vastly improve the customer experience (CX) almost immediately by using generative AI to make customer service agents more effective and efficient. As banks learn more about the technology and with the right training mechanisms in place, Gen AI can then be incorporated into customer journeys and processes.
The generative AI opportunity comes along just in time because bank customers have become increasingly dissatisfied in recent years. Data from Forrester Research shows CX quality remaining flat for direct ba...