How Are Businesses Using AI to Grow?

Businesses are turning to artificial intelligence (AI) to save time, reduce costs, and improve overall performance. AI helps automate routine tasks, analyze large amounts of data quickly, and make more informed decisions. This technology enables companies to operate more efficiently, offer personalised services, and stay ahead of the competition, all while cutting costs and saving valuable time.

Recent Statistics

• AI Adoption: According to a 2023 survey by McKinsey, 50% of companies report using AI in at least one business function, up from 20% in 2017.
• Efficiency Gains: A study by PwC indicates that businesses implementing AI see productivity improvements of up to 40%.
• Cost Reduction: The International Data Corporation (IDC) projects that AI will help businesses save over $1 trillion by 2030 through enhanced operational efficiencies.

Top Ways Businesses Use Artificial Intelligence

Source: Exploding Topics

1. Customer Service

AI customer service is like having a super-smart helper who's always there for you. They can answer your questions quickly, solve problems easily, and even give you personalized suggestions. It’s like having a friend who knows everything and is always ready to help you out.

Klarna Bank AB is one good example when it comes to AI powered customer service. It is a Swedish company that offers online financial services. It helps with payment processing for online shopping, letting customers buy now and pay later.

Klarna's virtual assistant allegedly equivalent to 700 employees, available round-the-clock to answer your questions, just like a friendly neighbour. Need help with an order at 3 AM? No problem! Their AI is there, working tirelessly to ensure you get the assistance you need, whenever you need it.

And it's not just about being available; it's about speed. AI-powered chatbots can understand and respond to your inquiries almost instantly, no more waiting in line or getting lost in endless phone menus. It’s like having a conversation with a knowledgeable friend who knows exactly what you need.

What's truly remarkable is how AI tailors its support to you personally. It remembers your past interactions, preferences, and even your shopping history, offering suggestions and solutions that feel like they were made just for you. It's like having a personal shopper who knows your taste inside and out.

Benefits of AI-based customer service:

• 24/7 Availability: AI-powered chatbots and virtual assistants can provide instant support around the clock, ensuring customers receive assistance whenever they need it, regardless of time zones or business hours.
• Faster Response Times: AI systems can analyze and respond to customer inquiries almost instantly, eliminating the wait times associated with traditional customer support channels.
• Scalability: AI-based support can handle a large volume of customer inquiries simultaneously, making it a scalable solution for businesses experiencing fluctuations in demand.
• Cost-Efficiency: By automating routine tasks, AI reduces the need for large customer support teams, leading to significant cost savings in the long run.
• Personalized Experiences: AI can analyze customer data and history to provide personalized recommendations, offers, and solutions.
• Consistent Support: AI-powered systems ensure consistent responses and adherence to company policies, eliminating the variability that can occur with human agents.
• Improved Self-Service: AI-powered knowledge bases and FAQ sections empower customers to find answers independently, reducing the workload on support teams.
• Data Collection and Analysis: AI can collect valuable data on customer interactions, providing businesses with insights to improve products and overall experience.
• Multilingual Support: AI-powered tools can be configured to support multiple languages, catering to a global audience.
• Enhanced Agent Productivity: AI can assist human agents by providing relevant information, suggesting responses, and automating routine tasks, allowing them to focus on more complex issues.

2. Marketing

Marketing plays a crucial role in business success by connecting products or services with customers' needs and desires. In today's competitive landscape, effective marketing not only attracts but also retains loyal customers, driving revenue and growth.

Artificial Intelligence (AI) is revolutionizing marketing by offering tools and insights that enable businesses to understand customer behavior at a deeper level. AI enhances marketing strategies through personalized recommendations, predictive analytics, and efficient campaign management.

Consider Amazon's approach: through AI algorithms, it analyzes customer behavior to recommend products, creating a personalized shopping experience that keeps customers coming back.

AI's impact goes beyond recommendations. Companies like Sephora use AI-powered chatbots to provide instant, personalized assistance. These bots guide customers through product choices based on preferences and skin types, enhancing the shopping journey without human intervention.

Moreover, AI optimizes marketing campaigns with precision. Google Ads, for instance, utilizes AI to analyze data and deliver ads to the most relevant audience segments at the optimal times. Airbnb takes this further by using AI to alter ad content based on individual travel preferences, maximizing campaign effectiveness.

By enabling personalized experiences at scale and predicting consumer trends, AI empowers businesses to engage customers more effectively than ever before. As AI technology evolves, its role in marketing will continue to expand, driving innovation and growth in the digital marketplace.

3. Financial Management

A real-life example of AI in financial management is JPMorgan Chase's use of a Contract Intelligence (COiN) platform. This AI-powered platform reviews commercial loan agreements to extract key data points and clauses in seconds, a task that previously took legal teams thousands of hours to complete manually. By automating this process, JPMorgan Chase has significantly reduced the time and resources needed for loan agreement reviews, allowing employees to focus on more complex tasks and strategic decision-making. This demonstrates how AI can streamline operations, improve efficiency, and ultimately enhance the overall financial management process for businesses.

Taking Care of Boring Stuff: AI can handle repetitive tasks like entering data, processing invoices, and keeping track of expenses. This frees up your team to focus on more important things like analyzing data and making strategic decisions. It's like having a robot that does all the boring paperwork for you!

Predicting the Future: By analyzing huge amounts of financial data, AI can spot trends and patterns that humans might miss. This can help businesses predict future financial outcomes, like how much revenue they might make next year. It's like having a fortune teller that can help you plan for the future!

Catching Fraudsters: AI is great at spotting unusual activity that might be a sign of fraud. It can monitor transactions in real-time and alert you if something seems fishy. It's like having a detective that's always on the lookout for financial crimes!

Managing Risk: AI can help businesses identify and assess risks, such as the risk of not getting paid back on a loan. This can help businesses make better decisions and avoid financial losses. It's like having a risk management expert on your team!

Conclusion

Artificial Intelligence (AI) is reshaping Businesses by making everyday tasks smoother, faster, and smarter. It cuts through the ordinary, crunches data in real-time, and even spots fraud before it happens, letting businesses focus on big-picture strategies. Imagine the difference AI has made for companies like JPMorgan Chase, where it’s turned hours of manual work into seconds of automated efficiency.

The bottom line? Embracing AI isn’t just about keeping up; it’s about setting the pace. For businesses ready to innovate, AI offers a path to greater productivity, personalized customer experiences, and a competitive edge.