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Quiq

Month: December 2023

Building Better Customer Relationships with Text Messaging

Posted on Max Fortis

Customer engagement is constantly evolving and the trend towards more customer-centric experiences hasn’t slowed. Businesses are increasingly having to provide faster, easier, and more friendly ways of initiating and responding to customer’s inquiries.

Businesses that adapt to this continually changing environment will ensure they deliver superior service along with desirable products, thus boosting engagement rates.

This is where customer engagement strategies based on text messaging enter the picture. This mode of communication has overtaken traditional methods, like phone and email, as consumers prefer the ease, convenience, and hassle-free nature of text messaging.

Texting isn’t just for friends and family anymore and consumers are choosing this channel more often as it fits their on-the-go lifestyle.

The move to text messaging is a part of this new era of building customer relationships, and both businesses and consumers can benefit.

The old customer engagement marketing strategies are fading

As recently as two decades ago, the world of business and customer service was a completely different place. Company agents and representatives used forms of customer engagement like trade shows, promotional emails, letters, and phone calls to promote their products and services.

While these methods are still used in a wide range of industries, many companies today are turning to new ways of maintaining customer loyalty.

According to the Pew Research Center, about 96% of Americans own a cell phone of some kind. Text messaging is a highly popular form of communication in people’s everyday lives. As such, it only seems natural that companies would use texting as a service, sales, and marketing tool. Their results have been astounding, and that’s what we’ll explore in the next section.

The advantages of digital customer engagement strategies

While sending text messages to customers may be a new frontier for many companies, businesses are finding the personal, casual nature of this medium is part of what makes it so effective.

Some of the benefits that come with text-based customer service include:

Hassle-free customer service access

Consumers love instant messaging because it’s easy and allows them to engage, ask questions, and get information without having to make a phone call or meet face-to-face.

One of the hallmarks of our increasingly digital world is how hard businesses work to make things easy – think of 1-click shopping on Amazon (you don’t have to click two buttons), how smartphones enable contactless payment (you don’t have to pull your card out), the way Alexa responds to voice commands (you don’t have to click anything), and the way Netflix automatically plays the next episode of a show you’re binging (you don’t even have to move).

These expectations are becoming more ingrained in the minds of consumers, especially young ones, and they are unlikely to be enthusiastic about needing to call an agent or go into the store to resolve any problems they have.

Timely responses and service

Few things turn a customer off faster than sending an email or making a phone call, then having to wait days for a response. With text message customer service, you can stay connected 24/7 and provide timely responses and solutions. Artificial intelligence is one customer engagement technology that will make this even easier in the years ahead (more on this below).

The personal touch

Customers are more likely to stick around if they believe you care about their personal needs. Texting will allow you to take a more individualized approach, communicating with customers in the same way they might communicate with friends. This stands in contrast to the stiffer, more formal sorts of interactions that tend to happen over the phone or in person.

A dynamic variety of solutions

Text messaging provides unique opportunities for marketing, sales, and customer support. For example, you might use texting to help troubleshoot a product, promote new sales, send coupons, and more.

None of these things are impossible to do with older approaches to customer service but think of how pain-free it would be for a busy single mom to ask a question, check the reply when she stops to pick up her daughter from school, ask another question, check the new reply when she gets home, etc. This is vastly easier than finding a way to carve three hours out of the day to go into the store to speak to an agent directly.

To make these ideas easier to digest, here is a table summarizing the ground we’ve just covered:

The Old Way The New Way
Method of Delivery Phone calls, pamphlets, trade shows, face-to-face conversations Text messaging
Difficulty Requires spending time on the phone, driving to a physical location, or making an appointment. Only requires a phone and the ability to text on it.
Timeliness Can take hours or days to get a reply. Replies should be almost instantaneous.
Personalization Good agents might be able to personalize the interaction, but it’s more difficult.  Personalizing messages and meeting a customer on their own terms because natural and easy.
Variety Does offer ways of solving problems or upselling customers, but only at the cost of more effort from the agent.  Sales and customer support can be embedded seamlessly in existing conversations, and those conversations fit better into a busy modern lifestyle.

​​Why this all matters

These benefits matter because 64% of Americans would rather receive a text than a phone call. It’s clear what the consumers want, and it’s the business’s job to deliver.

Because text messaging can help you engage with customers on a more personal level, it can increase customer loyalty, lead to more conversions, and in general boost engagement rates.

What’s more, text-based customer relationships will likely be transformed by the advent of generative artificial intelligence, especially large language models (LLMs). This technology will make it so easy to offer 24/7 availability that everyone will take it for granted, to say nothing of how it can personalize replies based on customer-specific data, translate between languages, answer questions in different levels of detail, etc.

Texting already provides agents with the ability to manage multiple customers at a time, but they’ll be able to accommodate far higher volumes when they’re working alongside machines, boosting efficiency and saving huge amounts of time.

Some day soon, businesses will look back on the days when human beings had to do all of this with a sense of gratitude for how technology has streamlined the process of delivering a top-shelf customer experience.

And it is exactly this customer satisfaction that’ll allow those businesses to increase profits and make room for business growth over time.

Request a demo from Quiq today

In the future, as in the past, customer service will change with the rise of new technologies and strategies. If you don’t want to be left behind, contact Quiq today for a demo.

We not only make it easy to integrate text messaging into your broader approach to building customer relationships, we also have bleeding-edge language models that will allow you to automate substantial parts of your workflow.

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AI Translation for Global Brands

Posted on The Quiq Team

AI is already having a dramatic impact on various kinds of work, in places like contact centers, marketing agencies, research outfits, etc.

In this piece, we’re going to take a closer look at one specific arena where people are trying things (and always learning), and that’s AI translation. We’re going to look at how AI systems can help in translation tasks, and how that is helping companies build their global brands.

What is AI Translation?

AI translation, or “machine” translation as it’s also known, is more or less what it sounds like: the use of algorithms, computers, or software to translate from one natural language to another.

The chances are pretty good you’ve used AI translation in one form or another already. If you’ve ever relied on Google Translate to double-check your conjugation of a Spanish verb or to read the lyrics of the latest K-pop sensation in English, you know what it can accomplish.

But the mechanics and history of this technology are equally fascinating, and we’ll cover those now.

How Does AI Translation Work?

There are a few different approaches to AI translation, which broadly fall into three categories.

The first is known as rule-based machine translation, and it works by drawing on the linguistic structure that scaffolds all language. If you have any bad memories of trying to memorize Latin inflections or French grammatical rules, you’ll be more than familiar with these structures, but you may not know that they can also be used to build powerful, flexible AI translation systems.

Three ingredients are required to make rule-based machine translation function: a set of rules describing how the input language works, a set of rules describing how the output language works, and dictionaries translating words between the input and output languages.

It’s probably not hard to puzzle out the major difficulty with rule-based machine translation: it demands a great deal of human time and attention and is therefore very difficult to scale.

The second approach is known as statistical machine translation. Unlike rule-based machine translation, statistical machine translation tends to focus on higher-level groupings, known as “phrases”. Statistical models of the relevant languages are built through an analysis of two kinds of data: bilingual corpora containing both the input and output language, and monolingual corpora in the output language. Once these models have been developed, they can be used to automatically translate between the language pairs.

Finally, there’s neural machine translation. This is the most recently developed AI translation method, and it relies on deep neural networks trained to predict sequences of tokens. Neural machine translation rapidly supplanted statistical methods owing to its remarkable performance, but there can be edge cases where statistical translations do better. As is usually the case, of course, there are also hybrid systems that use both neural and statistical machine translation.

Building a Global Brand with AI

There are many ways in which the emerging technology of artificial intelligence can be used to build a global brand. In this section, we’ll walk through a few examples.

How can AI Translation Be Used to Build a Global Brand?

The first way AI translation can be used for building a global brand is that it helps with internal communications. If you have an international workforce – programmers in Eastern Europe, for example, or support staff in the Phillippines – keeping them all on the same page is even more important than usual. Coordinating your internal teams is hard enough when they’re all in the same building, to say nothing of when they’re spread out across the globe, over multiple time zones and multiple cultures.

The last thing you need is mistakes occurring because of a bad translation from English into their native languages, so getting high-quality AI translations is crucial for the internal cohesion required for building your global brand.

Of course, more or less the exact same case can be made for external communication. It would be awfully difficult to build a global brand that doesn’t routinely communicate with the public, through advertisements, various kinds of content or media, etc. And if the brand is global, most, or perhaps all, of this content will need to be translated somewhere along the way.

There are human beings who can handle this work, but with the rising sophistication of AI translators, it’s becoming possible to automate substantial parts of it. Besides the obvious cost savings, there are other benefits to AI translation. For one thing, AI is increasingly able to translate into what are called “low-resource” languages, i.e. languages for which there isn’t much training material and only small populations of native speakers. If AI is eventually able to translate for these populations, it could open up whole new markets that weren’t reachable before.

For another, it may soon be possible to do dynamic, on-the-fly translations of brand material. We’re not aware of any system that can 1) identify a person’s native language from snippets of their speech or other identifying features, and 2) instantly produce a translation of i.e. a billboard or poster in real-time, but it’s not at all beyond our imagination. If no one has built something that can do this yet, they surely will before too long.

Prompt Engineering for Building a Global Brand

One thing we haven’t touched on much so far is how generative AI will impact marketing. Generative AI is already being used to create drafts of web copy, mockups of new designs for buildings, products, and clothing, translating between languages, and much else besides.

This leads naturally to a discussion of prompt engineering, which refers to the careful sculpting of the linguistic instructions that are given to large generative AI models. These models are enormously complex artifacts whose inner workings are largely mysterious and whose outputs are hard to predict in advance. Skilled prompt engineers have put in the time required to develop a sense for how to phrase instructions just so, and they’re able to get remarkably high-quality output with much less effort than the rest of us.

If you’re thinking about using generative AI in building your global brand you’ll almost certainly need to be thinking prompt engineering, so be sure to check out Quiq’s blog for more in-depth discussions of this and related subjects.

How can AI Translation Benefit the Economy?

Throughout this piece, we’ve discussed various means by which AI translation can help build global brands. But you might still want to see some hard evidence of the economic benefits of machine translation.

Economists Erik Brynjolfsson, Xiang Hui, and Meng Liu conducted a study of how AI translation has actually impacted trade on an e-commerce platform. They found that “… the introduction of a machine translation system…had a significant effect on international trade on this platform, increasing export quantity by 17.5%.”

More specifically, they found evidence of “…a substantial reduction in buyers’ translation-related search costs due to the introduction of this system.” On the whole, their efforts support the conclusion that “… language barriers significantly hinder trade and that AI has already substantially improved overall economic efficiency.”

Though this is only one particular study on one particular mechanism, it’s not hard to see how it can apply more broadly. If more people can read your marketing material, it stands to reason that more people will buy your product, for example.

AI Translation and Global Brands

Global brands face many unique challenges: complex supply chains, distributed workforces, and the bewildering diversity of human language.

This last challenge is something that AI language translation can help with, as it’s already proving useful in boosting trade and exchange by reducing the friction involved in translation.

If you want to build a global brand and are keen to use conversational AI to do it, check out the Quiq platform. Our services include a variety of agent-facing and customer-facing tools, and make it easy to automate question-answering tasks, follow-ups with clients, and many other kinds of work involved in running a contact center. Schedule a demo with us today to see how we can help you build your brand!

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Top 5 Benefits of AI for Hospitality

Posted on The Quiq Team

As an industry, hospitality is aimed squarely at meeting customer needs. Whether it’s a businesswoman staying in 5-star resorts or a mother of three getting a quiet weekend to herself, the job of the hospitality professionals they interact with is to anticipate what they want and make sure they get it.

As technologies like artificial intelligence become more powerful and pervasive, customer expectations will change. When that businesswoman books a hotel room, she’ll expect there to be a capable virtual assistant talking to her about a vacation spot; when that mother navigates the process of buying a ticket, she’ll expect to be interacting with a very high-quality chatbot, perhaps one that’s indistinguishable from an actual human being.

All of this means that the hospitality industry needs to be thinking about how it will be impacted by AI. It needs to consider what the benefits of AI for hospitality are, what limitations are faced by AI, and how it can be utilized effectively. That’s what we’re here to do today, so let’s get started.

Why is AI Important for Hospitality?

AI is important in hospitality for the same reason it’s important everywhere else: it’s poised to become a transformative technology, and just about every industry – especially those that involve a lot of time interacting through text – could be up-ended by it.

The businesses that emerge the strongest from this ongoing revolution will be those that successfully anticipate how large language models and similar tools change workflows, company setups, cost and pricing structures, etc.

With that in mind, let’s work through some of the ways in which AI is (or will) be used in hospitality.

How is AI Used in Hospitality?

There are many ways in which AI is used in hospitality, and in the sections that follow we’ll walk through a number of the most important ones.

Chatbots and Customer Service

Perhaps the most obvious place to begin is with chatbots and customer service more broadly. Customer-facing chatbots were an early application of natural language processing, and have gotten much better in the decades since. With ChatGPT and similar LLMs, they’re currently in the process of taking another major leap forward.

Now that we have models that can be fine-tuned to answer questions, summarize texts, and carry out open-ended interactions with human users, we expect to see them becoming more and more common in hospitality. Someday soon, it may be the case that most of the steps involved in booking a room or changing a flight happens entirely without human assistance of any kind.

This is especially compelling because we’ve gotten so good at making chatbots that are very deferential and polite (though as we make clear in the final section on “limitations”, this is not always the case.)

Virtual Assistants

AI virtual assistants are a generalization of the idea behind chatbots. Whereas chatbots can be trained to offload many parts of hospitality work, powerful virtual assistants will take this dynamic to the next level. Once we have better agents – systems able to take strings of actions in pursuit of a goal – many more parts of hospitality work will be outsourced to the machines.

What might this look like?

Well, we’ve already seen some tools that can do relatively simple tasks like “book a flight to Indonesia”, but they’re still not all that flexible. Imagine an AI virtual assistant able to handle all the subtleties and details involved in a task like “book a flight for ten executives to Indonesia, and book lodging near the conference center and near the water, too, then make reservations for a meal each night of the week, taking into account the following dietary restrictions.”

Work into building generative agents like this is still in its infancy, but it is nevertheless an active area of research. It’s hard to predict when we’ll have agents who can be trusted to do advanced work with minimal oversight, but once we do, it’ll really begin to change how the hospitality industry runs.

Sentiment Analysis

Sentiment analysis refers to an automated, algorithmic approach to classifying the overall vibe of a piece of text. “The food was great” is obviously positive sentiment, “the food was awful” is obviously negative sentiment, and then there are many subtler cases involving e.g. sarcasm.

The hospitality industry desperately needs tools able to perform sentiment analysis at scale. It helps them understand what clients like and dislike about particular services or locations, and can even help in predicting future demand. If, for example, there’s a bunch of positive sentiment around a concert being given in Indonesia, that indicates that there will probably be a spike in bookings there.

Boosting Revenues for Hospitality

People have long been interested in using AI to make money, whether that be from trading strategies generated by ChatGPT or from using AI to create ultra-targeted marketing campaigns.

All of this presents an enormous opportunity for the hospitality industry. Through a combination of predictive modeling, customer segmentation, sentiment analysis, and related techniques, it’ll become easier to forecast changes in demand, create much more responsive pricing models, and intelligently track inventory.

What this will ultimately mean is better revenues for hotels, event centers, and similar venues. You’ll be able to cross-sell or upsell based on a given client’s unique purchase history and interests, you’ll have fewer rooms go unoccupied, and you’ll be less likely to have clients who are dissatisfied by the fact tha you ran out of something.

Sustainability and Waste Management

An underappreciated way in which AI will benefit hospitality is by making sustainability easier. There are a few ways this could manifest.

One is by increasing energy efficiency. Most of you will already be familiar with currently-existing smart room technology, like thermostats that learn when you’re leaving and turn themselves up, thus lowering your power bill.

But there’s room for this to become much more far-ranging and powerful. If AI is put in charge of managing the HVAC system for an entire building, for example, it could lead to savings on the order of millions of dollars, while simultaneously making customers more comfortable during their stay.

And the same holds true for waste management. AI systems smart enough to discover when a trash can is full means that your cleaning staff won’t have to spend nearly as much time patrolling. They’ll be able to wait until they get a notification to handle the problem, gaining back many hours in their day that can be put towards higher-value work.

What are the Limitations of AI in Hospitality?

None of this is to suggest that there won’t also be drawbacks to using AI in hospitality. To prepare you for these challenges, we’ll spend the next few sections discussing how AI can fail, allowing you to be proactive in mitigating these downsides.

Impersonality in Customer Service

By properly fine-tuning a large language model, it’s possible to get text output that is remarkably polite and conversational. Still, throughout repeated or sustained interactions, the model can come to feel vaguely sterile.

Though it might in principle be hard to tell when you’re interacting with AI v.s. a human, the fact remains that models don’t actually have any empathy. They may say “I’m sorry that you had to deal with that…”, but they won’t truly know what frustration is like, and over time, a human is likely to begin picking up on that.

We can’t say for certain when models will be capable of expressing sympathy in a fully convincing way, but for the time being, you should probably incorporate systems that can flag conversations that are going off the rails so that a human customer service professional can intervene.

Toxic Output, Bias, and Abuse

As in the previous section, a lot of work has gone into finetuning models so that they don’t produce toxic, biased, or abusive language. Still, not all the kinks have been ironed out, and if a question is phrased in just the right way, it’s often possible to get past these safeguards. That means your models might unpredictably become insulting or snarky, which is a problem for a hospitality company.

As we’ve argued elsewhere, careful monitoring is one of the prices that have to be paid when managing an AI assistant. Since this technology is so new, we have at best a very vague idea of what kinds of prompts lead to what kinds of responses. So, you’ll simply have to diligently keep your eyes peeled for examples of model responses that are inappropriate, having a human take over if and when things are going poorly.

(Or, you can work with Quiq – our guardrails ensure none of this is a problem for enterprise hospitality businesses).

AI in Hospitality

New technologies have always changed the way industries operate, and that’s true for hospitality as well. From virtual assistants to chatbots to ultra-efficient waste management, AI offers many benefits (and many challenges) for hospitality.

If you want to explore using these tools in your hospitality enterprise but don’t know the first thing about hiring AI engineers, check out the Quiq conversational CX platform. We’ve built a proprietary large language model offering that makes it easy to incorporate chatbots and other technologies, without having to worry about what’s going on under the hood.

Schedule a demo with us today to find out how you can catch the AI wave!

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