How AI is changing the digital experience

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Sera Filiz

Last week, we made four predictions for the future of software in 2023. Today, we’ll take a closer look at our first prediction – increased artificial intelligence (AI) automation. Emerging, generative AI services seem likely to dominate the landscape of digital experience throughout 2023 and beyond. With AI being used to develop better, more personalized recommendations and to automate simple tasks, the possibilities for a new standard in customer experience are endless. 

How AI is changing the landscape of digital experience 

AI technology allows for an improved customer experience by providing personalized solutions and higher levels of accuracy. AI can be used to gather data from various sources, including social media platforms and website visits, to create a more complete customer profile. This data can then be used to gain insights into consumer behavior and preferences, as well as provide real-time recommendations based on customer data collected through digital channels. According to Forrester, 71% of business leaders agree that AI improves efficiency, and 59% say that it increases scalability.  

Machine learning in action 

The ability to quickly collect relevant information is invaluable when it comes to understanding customers’ needs and wants as well as predicting future trends. In addition to AI technology, machine learning (ML) is becoming increasingly important. ML algorithms allow for automated decision making based on large sets of customer data, analyzed to find patterns or correlations. ML models enable quicker response times, as they are able to process large amounts of data quickly without human intervention. 

Upgrading digital experience 

The biggest advantages that ML algorithms offer digital experience is a more intuitive user experience, through the incorporation of individual preferences. By utilizing predictive analytics algorithms, collecting better insights into customer behavior becomes a much simpler task. This allows businesses to make better informed decisions about how they market their products or services and accurately understand customer needs, developing strategies based on those insights.

One of the most popular ways to incorporate AI/ML is through natural language processing (NLP), which allows for computers to understand human language. NLP enables companies to create bots that understand natural language and use them to interact with their customers. For example, chat bots like Open AI’s ChatGPT use NLP to understand a user’s question and respond quickly with the correct answer, written clearly and concisely. Microsoft is currently in talks to invest $10 billion in OpenAI, on top of an existing $3 billion investment, indicating that the hottest trend in AI should have long-term staying power.

According to Forbes, at least 10% of Fortune 500 companies are expected to use AI-related tools for customer-facing content creation in 2023, which includes models for text, image, audio, and video.      

These same chatbots are even able to accurately write and deploy clean code, which will likely become a component of the software development lifecycle in 2023.                                                                                                                          

The bottom line 

With new AI applications captivating the software industry in 2023 and beyond, it is essential that we all better understand just how powerful these tools can be when implemented correctly. By leveraging the learnings from these technologies to gain valuable insights into user behavior, companies can create powerful digital experiences for their customers, improve user experiences overall, and stay competitive in today’s demanding market.  

Image: Pexels - Tara Winstead

Stage 1: Fragmented: Multiple Channels

You’re a digital dinosaur!

You have a beautiful website, but with fragmented digital experiences, you run the risk of extinction.

It’s time to evolve.

Your audiences want a seamless experience, no matter what's happening behind the scenes. When your experience is different or difficult, it’s important to start with the basics, such as cultivating a holistic approach to online digital experiences. Realign your teams, platforms, processes, goals, and metrics around a comprehensive view of the online experience. Focus on the end-to-end customer journey cutting across channels, desktop and mobile.

separate channels animation circle t-rex dinosaur square
Stage 2: Integrated: Multiple channels

You’re a fish!

Signs of exciting life are starting to form. Your DX is responsive and adaptive but it’s not quite personalized yet.

Keep swimming!

The integration of your brand content across every touchpoint (website, online store, social media, emails, apps, point of sale) creates immersive experiences. These flagship sites combine content-rich brand experiences with immediate conversion capabilities. Business teams and marketing are closely aligned. However, while the digital experience is responsive and adaptive, it’s not yet personalized.

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Stage 3: Instant: Global expansion

You’re a crocodile!

You’re taking it global. Speed and scalability are key and just like a crocodile, you’re fast…but you’re clumsy.

Oh snap!

In this stage, the online digital experience becomes completely dynamic. You need content that is global, yet relevant, with plenty of local insights: Who is the user? Are they using a mobile phone? Is it raining where they are? Is it snowing? If it is, maybe they need warm, waterproof boots. All of this contextualized information creates a better user experience. With one global orchestration, you’re able to adapt everything, in whatever country or language you choose – while keeping turnaround times low. So keep evolving.

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Stage 4: Dynamic: Real time personalization

You’re a lion!

You’re reaching more customers in more countries and languages than ever before, and now you’re finally hunting and collecting info with precision.

But you can do more to keep your brand roaring!

As you graduate to the Instant level, you’re able to rapidly update everything - not just in one language and for one country, but in 20 languages and for 100 countries. Speed and scalability are key, driven by the need to roll out global campaigns in all languages and all touchpoints and make updates in minutes or hours, not weeks. But there’s still more to do to reach nirvana.

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Stage 5: Immersive: Elevated experiences

You’re Captain Content!

You’ve done it! You have opposable thumbs AND you’re saving the world with your seamless, elevated customer experiences.

You're a superhero in the digital space.

Your digital world and your physical world are blending together in the most complementary way possible. When shoppers visit your store, they’ll be greeted with their pre-selected products. Language changes dynamically depending on country of origin – it's like the whole store was set up just for your one specific customer.

In this final stage, your customer experience is truly immersive and superior, and your flagship store merges your physical and digital world into one, with a truly personalized individual experience.

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