As AR and VR Turn CX on its Head, Let’s not Forget Chatbots

June 27, 20195min

The current conditions for UK high street retailers are far from favourable.

Not only are they battling market pressure and challenges from ecommerce competitors, but also increasing rents and tough trading conditions. To ensure survival, retailers today must keep their finger on the pulse of all the latest technological advancements.

What businesses must remember is that as technology advances, so do customer shopping behaviours and expectations. We are already starting to see more and more businesses implement chatbots, artificial intelligence, and messaging apps to keep up with demand. We are in a time where consumers have never been more vocal on their wants, and this is highlighted with the results of our research.

Our data showed that in order to satisfy customer needs organisations have to offer a variety of channels in which to engage with – 81 percent of respondents demanded this. Consumers not only want choice but also, a seamless, integrated experience across all of them. Taking this one step further, many consumers are wanting Augmented Reality (AR), Virtual Reality (VR) dressing rooms and even drone delivery, to be a possibility.

Termed as “technologies of the future”, large, online and in-store retailers are already reaping the benefits of AR and VR in an attempt to make the customer journey more immersive and engaging. For instance, IKEA, has introduced Amazon’s AR view to help customers visualise how furniture will look in their home before making a purchase.

For customers who prefer ‘ease of use’, these new technologies couldn’t be more perfect as they allow consumers a chance to ‘try’ before they buy. As well as convenience, AR and VR are helping stores to stand apart from the traditional retailer. L’Oreal Paris, for example, guarantees loyal customers with an in-store virtual makeover tool that enables you to try make-up and certain looks before buying. On paper, it has never been so simple for retailers to deliver a more engaging and convenient approach to Customer Experience.

Future sight: VR and AR are changing the way customers interact with brands

However, AR and VR are not the only new inventions transforming the CX landscape. Increasingly, we are seeing chatbots being used as a more convenient way for customers to interact with brands, specifically when they require assistance. In fact, 87 percent of businesses say self-service customer enquiries are a current priority of theirs.

Apart from the obvious benefits like saving businesses money, self-service chatbots are improving CX and satisfaction. It’s fair to say we have all had our share of agonising waits and frustrating calls with agents and can therefore, understand the appeal of having access to instant help and real-time information.

In the age of GDPR and data sensitivity, customers are very particular about who they give their personal data to. With this in mind, retailers must remember to be upfront about who or what they’re speaking to. Giving customers the option to self-serve will only succeed if you’re as transparent as possible.

Ultimately, although traditionally we associate a human touch with CX, retailers that do not adopt the latest technologies and integrate them into the customer offering jeopardise losing the loyalty of existing customers as well as potential new ones.

However, before businesses embark on this digital transformation, they must remember not to run before they can walk. Implementing chatbot technology initially can be just as effective as implementing technologies which are grabbing the headlines, such as AR and VR.


Simon Brennan

Simon Brennan

Simon Brennan is VP Sales Europe at Engage Hub.

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Customer Experience Magazine is the online magazine packed full of industry news, blogs, features, reports, case studies, video bites and international stories all focusing on customer experience.



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