AI in Customer Experience: The SAP CX AI Toolkit

September 27, 2024

Discover how the SAP CX AI Toolkit empowers mid-sized companies to compete with industry giants, driving revenue growth through AI-powered CX strategies.

Artificial intelligence (AI) has emerged as a critical differentiator in customer experience (CX). Various mid-sized and small enterprises are achieving remarkable results with it. Companies are openly reporting revenue gains ranging from 6% to 10%. This shift is not just a trend; it's a fundamental reshaping of how businesses interact with their customers.

In this blog, we explore the features and benefits SAP CX AI Toolkit and its promise to deliver industry-wide advantages. 

The AI Advantage: Leveling the Playing Field for Mid-Market Companies

In 2020, Brinks Home—a Dallas-based smart home technology company with a meager 2% market share—partnered with AI startup OfferFit to enhance its brand recognition and compete with larger rivals like ADT and Google Nest. Brinks Home used its extensive data to test thousands of personalized messages and offers across various channels.

Long story short, by mid-2021, the company saw: 

  • Average consumer package size nearly double
  • Revenue per user grow
  • Year-on-year revenue increase by 9.5%.

Steep successes like Brinks Home lent a new lease of hope for mid and small players, who were being outcompeted by massive margins by tech giants like Amazon and Google that harnessed their AI and data capabilities to get the juiciest and largest pie of the market share. 

Companies that have openly advocated growth attributable to personalization include brands like Home Depot, JPMorgan Chase, Starbucks, Nike and Kroger.

With solutions like SAP CX AI toolkit offering blanket AI capabilities, even the mid-market and small players can get the AI advantage and give giants a run for their money. Features like personalization are a must-have for consumer brands. Wholesale Distribution, Chemicals, Building materials and IM&C can also get a major competitive advantage by integrating AI capabilities in their operations.

Companies adopting personalization have witnessed
 6% to 10% increase in their revenue
40% to 100% increase in net incremental revenue.

CX Wire in its survey “asked respondents how well they understand customers. Take a look at the response. 

SAP-CX-toolkit-AI

In the same study, when participants were asked “What have been some of the more surprising results from your company’s use of AI?” respondents highlighted less known benefits like “discovery of hidden patterns, efficiency gains and the ability to personalize recommendations, leading to improved customer satisfaction. Areas they’ve improved include determining customer use habits, understanding customer needs and chatbots working more efficiently to meet customers’ unique needs.”

We are now at the point where competitive advantage will derive from the ability to capture, analyze, and utilize personalized customer data at scale and from the use of AI to understand, shape, customize, and optimize the customer journey. - Harvard Business Review

What is SAP CX AI Toolkit

The SAP CX AI Toolkit is an extensive suite of AI-powered tools built to enhance every aspect of the customer experience. Integrating seamlessly with SAP's CX solutions, it provides capabilities that can be tailored to industry-specific needs. 

Here’s a quick rundown of its features and benefits.

Predictive Analytics

  • Anticipate customer’s future needs and preferences
  • Make informed decisions
  • Proactively address demands

Personalization at Scale

  • Send relevant and timely product suggestions 
  • Personalized marketing campaigns

Sentiment Analysis

  • Analyze customer feedback, reviews, and social media interactions
  • Identify trends
  • Address concerns before they go out of hand.

Chatbots and Virtual Assistants

  • Provide instant, 24/7 support.
  • Address routine inquiries and free up your human agents to focus on more complex issues
  • Improve response times and customer satisfaction

Customer Segmentation

  • Create targeted marketing strategies that resonate with each segment
  • Drive higher conversion rates

Automation 

  • Automate repetitive tasks
  • Streamline customer engagement processes
  • Improve operational efficiency

SAP CX AI Toolkit: Democratizing AI for Customer Experience

By bringing all vital features under one umbrella, SAP CX AI toolkit brings the mid and small-size players in level playing field with tech giants. 

AI-for-Customer-Experience

Industry-Specific Opportunities

The SAP CX AI Toolkit is more than just a technology upgrade—it's a strategic asset that can transform how mid-market and small companies engage with customers, streamline operations, and drive growth. For companies in wholesale, retail, chemicals, industrial manufacturing, and building materials, it represents an opportunity to leapfrog the competition and deliver world-class customer experiences.

Industry-Specific-Opportunities-for-AI

Getting Started with SAP CX AI Toolkit

Implementing AI in your customer experience strategy doesn't have to be overwhelming. Our team of experienced SAP services providers can make the transition a breeze for your team. 

Our 5-level process for SAP AI toolkit ensures you benefit maximum from it.

SAP-AI-toolkit-benefits

Contact us today for a personalized demo and consultation.

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Author: The Knack Systems Team

Words from the in-house SMEs at Knack Systems.

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