Artificial intelligence is the latest technological frontier, which is bound to change our lives drastically. As a matter of fact, the change is already happening, and we can feel it in all aspects of our existence.
The world of business is finding new uses for this smart technology every day, and the business landscape is undergoing massive transformations.
AI is automating complex tasks, improving our processes, and pushing the limits of our productivity. Its ability to self-develop and learn through experience means there are no limits.
Here’s how AI is transforming the way we do business.
AI Is Changing Our Business Models
AI brings two vital things that are changing entire business models and structures from the ground up — automation and intelligence.
Automation was possible and widely used before AI, but AI elevated it and took it to an entirely new level. It brought human-like intelligence into the mix, making it possible to automate much more complex tasks now, such as customer onboarding, candidate screening, support, and others.
Since AI can handle an increasing number of tasks that previously required a human touch, people can focus on the more creative side of doing business.
Just as important as automation is business intelligence. Today’s business world is data-driven, and AI allows us to analyze vast amounts of data and comb through it for valuable insights. This kind of business intelligence allows for precision and foresight in decision-making. Consequently, AI opens a world of new opportunities for all kinds of companies.
AI Is Changing Our Finance Habits and Expectations
The finance industry has found many applications for AI technology, making our transactions more efficient and safer.
One of the most amazing uses of AI in finance is fraud detection and prevention. By analyzing client activities and other factors closely, AI-powered software can detect potential threats and report suspicious activity before it causes damage.
This can be used in insurance to prevent fake claims, in banking to prevent fraud, in eCommerce to prevent identity theft, etc. The possibilities are endless.
Moreover, fintech companies and some banks are starting to offer a more personalized banking experience to their customers. They do so by providing a unique set of financial tools based on the customer’s needs, a personalized financial plan based on their spending patterns, etc.
AI has even affected the trading process since it allows for better decisions by eliminating the emotional aspect.
More Efficient Recruitment Process With AI
HR spends a lot of time going through applications to find top talent and the best possible matches for open positions. However, AI has found its way into the recruitment process as well, and it has many benefits.
Essentially, recruiters use AI-based software to automate time-consuming and repetitive tasks that also require some intelligence and problem-solving skills. For example, this kind of software can successfully auto-screen candidates to pick out the best of the best. It can also perform sentiment analysis and identify any bias in the job description.
While it takes recruiters hours and hours to narrow down the often enormous candidate pool, AI-based software can do it within seconds. It can compare candidates’ knowledge, skills, and experience with the job requirements and find the best matches.
AI software is so good at doing this task that organizations using it have experienced a 35% decrease in their turnover rate.
AI for Better Customer Experience
Businesses are starting to offer better customer experience and care, and AI is to blame for that. The customer-centric approach aims to engage with a customer in a much more meaningful way.
It’s strange that software is responsible for more personalized customer service, but it’s true. For example, many businesses have started using conversational AI-powered bots on their sites to greet visitors.
These chatbots can have natural conversations with people and understand their intentions with no problems. The bots can then provide them with whatever support they need. They can answer questions, perform actions, provide solutions, etc.
Unlike human agents, a chatbot is available 24/7, and it can cater to many customers simultaneously. Moreover, humans are prone to errors and bias, whereas chatbots are unlikely to have an error in judgment because they analyze cold, hard data.
AI Is Changing How We Do Marketing
Not so long ago, marketers had to rely on a hunch because it was impossible to quantify and analyze all necessary data. Nowadays, marketing is much more precise and often targeted thanks to AI technology.
AI in marketing is not only helping businesses reach their target audience; it’s also improving customer experience in the process. In other words, everybody benefits from these changes.
For instance, Google uses an AI-based algorithm to improve the user experience and make sure people are shown the best results for their queries. This focus on the customer is changing the way organizations do SEO. Instead of just focusing on making the search engine notice them, they now need to provide real value to their site visitors.
Marketers can now better target their audience using customer profiling, another practice based on AI. They can better understand their customer demographic and cater to the right kind of audience.
AI and Personalization
AI allows organizations to provide a more personalized customer experience, i.e., to offer the right thing to the right person at the right time.
Many organizations use AI to make better, personalized recommendations. Streaming platforms, like Netflix, are a great example of this. The more shows you watch, the more accurate recommendations you get based on what you’ve already seen or added to your watch list.
You can also encounter this principle in eCommerce. If you open a product you’re interested in at an online store, chances are you’ll get a lot of similar products in the “you may also like” section.
Many websites use real-time data analysis of user experience based on AI to display different content to different users. Businesses can gather useful audience intelligence, which can inform their further decisions.
All of these methods can boost companies’ ROI and general customer satisfaction levels.