Summary: CFR Early Insight #40
1)
Customer experience (CX) is a strategic driver of firm performance, shaping customer behavior, loyalty, and long-term customer value. However, managing CX remains challenging, as it is inherently multidimensional, dynamic, and shaped by multiple actors across the customer journey.
2)
In today's media landscape, customers experiences are often expressed through text, images, and videos, creating a rich but complex data landscape. Artificial intelligence (AI), including machine learning, deep learning, and large language models, has transformed firms' ability to capture, interpret, and act on this data. AI enables the identification of experience aspects, emotions, touchpoints, and customer-journey stages at scale, moving beyond traditional surveys to deliver real-time insight into what shapes customer experience. At the same time, this data is limited because it only reflects the experience of customers who choose to share, create, and upload information and may not represent the broader customer base.
3)
Integrating AI into CX management allows retailers to shift from reacting to data toward proactively shaping experiences. By analyzing multimodal information, retailers can personalize interactions, predict needs, improve service delivery, and design products that better align with customer expectations. Such integration can become a source of competitive advantage for firms willing to innovate, as it enables them to anticipate customer needs and act faster and more effectively.
Contact
Gao, Lily
Assistant Professor
Department of Marketing and Strategy