Constraints prevent enterprises from capitalizing on AI’s transformative CX potential
VANCOUVER, BC : Businesses are struggling to meet their customer engagement goals on the back of significant internal challenges, according to research from global digital transformation firm Apply Digital. Senior managers identify a lack of expertise and difficulties in implementing complex technologies as being significant obstacles.
The Future of Customer Engagement report surveyed 500 senior decision-makers within large North American enterprises to understand how they view the value and adoption of new technologies in their CX strategies.
The findings reveal that nearly nine in 10 (88.4%) senior managers cite challenges in integrating more sophisticated technologies into their operations, while 85.6% believe internal expertise gaps limit progress.
Adding to the complexity are regulatory compliance hurdles, with a net impact of 88.8%, and failures to leverage existing data effectively, which was an issue highlighted by 86% of respondents. Outdated infrastructure and inflexible systems further limit efforts, underlining the need for organizations to modernise their technology stack to remain competitive.
Michael Georgas, Senior Director, AI, at Apply Digital, comments: “AI offers enormous potential, with 93% of decision-makers affirming its importance to engagement strategies. While more than a third (37%) of businesses have widely implemented AI, most are in the early stages of adoption, focusing on foundational capabilities such as chatbots and data analysis.
“This should be the moment to take stock of the technology’s transformative potential for customer engagement. However, the reality is that operational challenges and knowledge gaps hold many organizations back from exploring more innovative solutions, such as hyper-personalization, that could deliver stronger results.”
The research notes a shift in how senior leaders view traditional customer experience strategies like loyalty programmes and personalization engines, which is reflected by reduced investment in these areas. While 81% recognise the importance of personalization, there is declining confidence as businesses struggle to align their strategies with measurable outcomes.
Georgas adds: “New technologies provide an opportunity to reshape CX strategies around performance and transparency. Setting the foundations for this means adopting a holistic approach to consolidate data systems to enable better insights, upskill teams to bridge expertise gaps, and adopt a strategic mindset when integrating new technologies.
“The findings emphasize that while AI increases opportunities for customer engagement, its success hinges on strategic implementation. Organizations that focus on aligning tools, tactics, and expertise to understanding and meeting customer needs are more likely to achieve sustainable engagement and ROI.”
The Future of Customer Engagement: Achieving ROI with Loyalty, Personalization and AI, is available to download for free at: https://www.applydigital.com/en-150/insights/learn/the-future-of-customer-engagement-achieving-roi-with-loyalty-personalization-and-ai/