Top 10 Growth Opportunities in Customer Experience (CX), 2024

Employee Experience and AI Drive CX Investments in 2024

The Customer Experience industry benefitted greatly from the COVID-19 pandemic, which shifted millions of agents to work-at-home (WAH) models and accelerated cloud contact center-as-a-service (CCaaS) adoption. In 2021 and 2022, investments soared; however, in 2023 global economic and political unrest created a more conservative and focused approach to CX investments.

This industry is in a disruptive state as IT decision-makers and customer contact leaders struggle with prioritizing and procuring budgets and persuading executives to align CX and corporate goals. There is a fear of failure in these uncertain times, inflicting organizations to be less agile than in previous years. As businesses are confronted with these challenges, what will they focus on in 2024 to improve customer experiences?

Frost & Sullivan's 2023 Contact Center IT Decision Maker Survey, published in March 2023, unveiled that two-thirds of respondents are prioritizing improving employee engagement, improving brand equity, and automating business processes. The overarching story is that the focus on EX will enhance CX and the use of AI in digital transformation will remain at the forefront of spending through 2024 to have a positive impact on the top and bottom lines.

While AI has been integrated into contact centers effectively for years now, generative AI has dominated technology press and conversations for the past year. Solution providers are incorporating some aspects of it today with caution.

Agents continue to fear robots. They do not need to worry - our survey revealed that voice is still king, with 90% of respondents saying the number of voice calls has increased or stayed the same and 84% of respondents saying AHTs increased or remained the same. Whether over voice or chat, live agents will not dwindle, but be upskilled to handle complex inquiries and foster brand loyalty.

Call deflection is a key strategy to abate these rising costs, causing companies to adopt increasingly more intelligent self-serve options. This dovetails nicely with self-service becoming the channel of choice for many end customers. However, businesses must deliver exceptional CX to achieve significant cost savings when containing them in a self-service channel.

Video use is growing in contact centers. Industries such as finance, manufacturing, and healthcare benefit from "face-to-face" interactions, and problems can be visually shared or resolved. Video facilitates easier understanding when accents differ, hearing suffers, or emotions are hard to read on an audio call.

Note: Our predictions are validated through findings from our annual contact center leader survey, meetings with our client council, Frost & Sullivan's Customer Contact MindXchanges, and continual discussions with solution providers and CX outsourcers around the globe.