Most U.S. enterprises have shifted from in-house to outsourced contact centers over the past few years to improve customer experience (CX), according to a new research report published by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.
The 2024 ISG Provider Lens™ Contact Center — Customer Experience Services report for the U.S. finds that CX is now a core focus of leaders at U.S. companies of all sizes. Especially in the U.S., cloud-based solutions and advanced technologies such as AI have fundamentally changed contact centers and made them more adaptable to changing demands.
“U.S. companies are moving from conventional support methods to a proactive approach of predicting customer requirements and delivering personalized solutions,” said Wayne Butterfield, ISG partner, digital solutions. “They are quickly adopting new technologies to improve both customer and employee satisfaction.”
Cloud-based contact centers enable enterprises to respond to planned or unplanned events, including crises and peak seasons, by scaling operations up or down while maintaining business continuity, the report says. Cloud services reduce the cost of maintaining on-premises infrastructure, and it is increasingly common for companies to pay for these services per use instead of per month, which delivers further savings. Most U.S. companies apply those savings to the bottom line, ISG says.
AI-powered tools, such as chatbots, virtual assistants and automated response systems, are now commonly used in the U.S., the report says. They have reshaped contact centers, streamlining processes and enhancing customer interactions. Tools based on embedded AI also analyze customer sentiment and predict future demands and challenges. Companies recognize the potential of Generative AI (GenAI) to further enhance CX, but security and privacy concerns remain, and in most companies the technology is still in pilot projects and proofs of concept.
Customer self-service options, often made possible through automated tools such as chatbots, now quickly resolve common issues while reducing the workload on human agents, ISG says. This allows representatives to focus on intricate queries that demand more focused understanding.
“Even with the benefits of AI and automation, customers dealing with complex issues value the empathy and understanding of human agents,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “Providers are helping clients find the right balance.”
Cybersecurity, data privacy and regulatory compliance have never been more important for U.S. contact center operations, especially with the rise of remote work, ISG says. Advanced contact centers have implemented multifactor authentication, biometric security, private network connections and other measures to protect enterprises and customers.
The report also explores other contact center trends in the U.S., including increasing efforts to improve agent experience and the growth of advisory services tailored to specific industries.
For more insights into contact center challenges facing U.S. enterprises, including unexpected costs of outsourcing and potential data privacy risks of GenAI, see the ISG Provider Lens™ Focal Points briefing here.
The 2024 ISG Provider Lens™ Contact Center — Customer Experience Services report for the U.S. evaluates the capabilities of 30 providers across three quadrants: Digital Operations, Intelligent Agent Experience and Intelligent CX (AI & Analytics).
The report names Atento, Conduent, Foundever, HGS, Sutherland and Teleperformance as Leaders in all three quadrants. It names Cognizant, Concentrix and Movate as Leaders in two quadrants each. Alorica, Genpact, Tech Mahindra, Wipro and WNS are named as Leaders in one quadrant each.
In addition, IGT Solutions is named as a Rising Star — a company with a “promising portfolio” and “high future potential” by ISG’s definition — in two quadrants. Startek is named as a Rising Star in one quadrant.
In the area of customer experience, HCLTech is named the global ISG CX Star Performer for 2024 among contact center providers. HCLTech earned the highest customer satisfaction scores in ISG’s Voice of the Customer survey, part of the ISG Star of Excellence™ program, the premier quality recognition for the technology and business services industry.
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