ServiceNow report reveals how speed, empathy & AI are transforming customer experience in India

ServiceNow's recent global study of 34,000 customers, service representatives, and business leaders reveals a transformative shift in customer expectations, especially in India. As AI technology rapidly evolves, the study highlights a growing demand for both speed and human connection in customer experiences (CX). 

Key Findings

• Customer Expectations: Customers in India are increasingly prioritizing brands that respond quickly and resolve issues on the first interaction. However, empathy remains a critical factor, with 48% of customers citing a lack of empathy as their top frustration, a challenge recognized by only 19% of business leaders. 
• Business Leaders' Perspective: While many leaders focus on efficiency, they risk overlooking the opportunity to foster lasting customer loyalty through fast, resolution-driven service. The study underscores that business leaders must strike the right balance between AI-driven speed and human interaction. 
• Service Representative Challenges: Service reps often spend valuable time on tasks AI could solve, such as administrative work (15%), reporting (11%), and summarizing call notes (10%). This leaves only 47% of their time dedicated to resolving customer issues. Additionally, 80% of service reps have to log into multiple systems to address a single customer query, leading to frustration and inefficiencies. 

What customers want

• Self-service vs Human Support: 80% of customers prefer using self-service options before speaking with a service representative, and 85% still value phone calls despite a shift away from this channel, with only 6% of leaders prioritizing it for the future. 
• Tech and Human Balance: As AI grows in prominence, 55% of customers expect improved speed and efficiency from AI in the near future, but human empathy remains indispensable in building trust. 

The disconnect in AI strategy 

Despite significant strides in AI integration, there is a disconnect between AI's capabilities and customer priorities. While AI is improving responsiveness and personalized engagement, only 30% of business leaders have optimised their CRM systems for seamless issue resolution, and just 57% have connected people, data, and processes via AI-driven workflows. 

Six strategies for business leaders 

To truly thrive in the AI era, ServiceNow recommends that businesses focus on the following six strategies: 

1. Rethink CX Success Metrics: Businesses must reassess how they define and measure customer experience success, beyond traditional metrics. 
2. Beyond AI Co-Pilots: Move beyond basic AI tools to more autonomous systems that empower service reps. 
3. Self-Service AI: Leverage AI-driven autonomous tools to enhance customer self-service experiences. 
4. Prepare for the Agentic AI Era: Equip CX teams to handle more sophisticated, agentic AI interactions. 
5. Strategic CRM Deployment: Make CRM an integral platform for enhancing overall customer experiences. 
6. Unite Data for AI-Driven Experiences: Prioritise data integration to fuel personalised, AI-driven customer experiences. 

With 44% of customers willing to switch to competitors over poor or slow service, businesses cannot afford to ignore these findings. A failure to align AI strategy with customer expectations could result in high churn rates, as 45% of Indian business leaders report a significant churn driven by poor customer experiences.