Supercharging Customer Support with Strategic AI and Human Expertise

Joe Carter
Joe Carter
May 5, 2025

Customer support quality has been declining despite increased AI spending. The key issue? Businesses are using AI in isolated, cost-cutting ways instead of strategically integrating it to enhance customer experience. To turn this around, companies need to shift to a data-centric approach that focuses on desired outcomes, like improving customer satisfaction (CSAT), and utilizes AI alongside human expertise. Key areas for AI deployment include chatbots, AI agent assist, agile scheduling, quality assurance, and advanced analytics. However, the success of AI in customer support relies on human expertise for training, optimization, and handling complex interactions. ModSquad's SourceUp framework blends data, AI, and human support to drive better outcomes and cost optimization.

Supercharging Customer Support with Strategic AI and Human Expertise

Customer support is critical to business success, yet despite growing investments in AI technology, the quality of customer experience continues to decline. According to Forrester’s latest Customer Experience Index, customer experience quality has dropped for three consecutive years, highlighting a significant gap between AI adoption and customer satisfaction. So, what’s going wrong?

Many businesses are using AI in isolated, cost-cutting ways, which does not align with customer expectations for seamless, high-quality, multichannel support. To reverse this trend, businesses must rethink their approach to AI—moving from tactical, isolated deployments to a more strategic, holistic approach that focuses on customer experience and long-term goals.

The Decline of Customer Experience Quality

The key issue is clear: businesses are failing to use AI strategically. Instead of enhancing customer journeys, AI is often deployed simply as a cost-cutting measure, which customers can easily recognize. A strategy focused on isolating AI for efficiency or automation rather than enriching the customer experience leads to dissatisfaction and declining quality scores across all customer experience metrics—effectiveness, ease, and emotion.

A Data-Centric Foundation for Strategic AI Deployment

To create meaningful change, businesses need to shift to a data-centric foundation. This approach begins by identifying the desired outcomes, such as a target Customer Satisfaction Score (CSAT), and working backward to understand the AI and non-AI requirements. Rather than focusing on individual tasks or technologies, businesses must ensure that AI is integrated with a broader, more flexible staffing model.

Key steps to establish this data-driven approach include:

  • Start with the Outcome, Not the Task: Focus on what you want to achieve, such as improved customer satisfaction, and design your AI and human resources around that goal.
  • Use an Hourly On-Demand Model: Employ flexible staffing that adjusts AI and human resource allocation based on demand. This dynamic approach prevents the trade-off between quality and cost, which occurs with rigid staffing models.
  • Mobilize Data for Continuous Improvement: Use AI to monitor and analyze support data, uncovering gaps and opportunities to enhance customer support continuously.

Strategic AI Deployment Areas

Once you have a data-centric foundation, AI can be strategically deployed across several impactful areas:

  • AI-Powered Chatbots: Streamline Tier 1 support and provide instant responses, allowing for quicker resolutions.
  • AI Agent Assist: Offer real-time recommendations and summarize customer interactions to assist human agents in providing faster, more informed responses.
  • Agile Scheduling: Use AI for accurate staffing forecasts, optimizing workforce allocation based on real-time data and demand.
  • AI-Driven Quality Assurance (QA): Automate the review and scoring of customer interactions to ensure consistent quality and compliance.
  • Real-Time Language Translation: Enhance global support teams by enabling real-time communication across languages.
  • Advanced Analytics: Extract actionable insights from support data to inform decision-making and drive improvements in service delivery.

The Essential Role of Humans in AI-Enhanced Support

Despite the impressive capabilities of AI, human expertise is still crucial for maintaining high-quality customer support. AI cannot entirely replace the nuanced judgment, emotional intelligence, and expertise humans provide in complex customer interactions.

Humans play a key role in several areas:

  • Training and Maintenance: Human expertise is needed to train AI systems, fine-tune algorithms, and keep them updated with the latest data.
  • Quality Assurance: While AI can handle basic interactions, humans are essential for reviewing and ensuring quality in more sensitive or complicated cases.
  • Strategic Insight: Human insight is necessary to design, implement, and continually improve AI strategies in customer support.

Key Success Factors for Integrating AI and Human Support

  • Strategic Insight: Humans with industry knowledge and strategic thinking are essential for designing AI programs that maximize its potential.
  • High-Quality Hiring: The success of an AI-human collaboration hinges on hiring skilled, knowledgeable agents. As studies show, the cost of a bad hire is much higher than their salary.
  • Genuine Interest: When agents care about the brand and industry, their enthusiasm enhances customer interactions and their understanding of customer needs.

ModSquad's SourceUp Approach

ModSquad’s SourceUp framework exemplifies this holistic approach. Built on three core pillars, it integrates data, AI, and human expertise to deliver superior customer support outcomes:

  1. Data for Insight: Understand customer patterns and behaviors to enhance the overall journey.
  2. AI as Part of a Holistic Strategy: Deploy AI within a comprehensive, outcome-first customer support strategy.
  3. Human Experts: Ensure humans are involved to support AI, train it, and handle areas where human interaction remains irreplaceable.

Conclusion

Strategic AI in customer support is not just about cost-cutting—it's about enhancing the overall customer experience. By taking a data-driven approach, deploying AI in targeted areas, and integrating human expertise throughout the process, businesses can improve customer satisfaction, reduce costs, and deliver superior support across multichannel journeys.

If you're ready to harness the power of AI in customer support, consider SourceUp as the framework for a more integrated, effective approach.

Joe Carter

Subscribe to our newsletter
A sleek, modern arrow icon pointing right, symbolizing progress or forward movement.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.