The Rise of the (Answering) Machines

Artificial intelligence (AI) isn’t just for humiliating chess masters and Jeopardy champions, a la IBM’s Watson supercomputer. AI is already being used widely for routine tasks.

Two weeks ago Zendesk (NYSE: ZEN) launched its new Automatic Answers service that answers emails from customers. The system isn’t just an autoresponder, though. It employs AI to read emails and answer customer questions, and gets smarter with each response.

Since most customers use email to get answers, it was a natural place to start. But Zendesk plans to roll out Automatic Answers in other ways, including Twitter, which customers increasingly use to contact businesses.

Since your Twitter conversations can be seen by virtually anyone, Twitter posts can significantly affect businesses. That’s true whether you’re a celebrity complaining about your dog getting banished from first-class or me arguing with my cable company. In March my Internet service provider laid a line from the utility power to my house above ground, and a third-party contractor needed to actually bury it. It lay on my lawn for almost three months despite many calls. Then my wife took to Twitter to call out our ISP to the world. After a brief Twitter conversation, the next day the line was buried.

As social media platforms become an increasingly preferred method of communication, and also lay true customer satisfaction levels bare to the world, it’s vital that companies are able to handle them as effectively and expeditiously as possible. Those communications can also come in at any time of the day or night, so a service like Automatic Answers could be fielding customer queries without racking up big overtime bills.

While Automatic Answers is still in beta testing, it is being rolled out as part of Zendesk’s service suite of products. Right now it is being closely monitored in order to help build the machine learning algorithms that drive the answers. It is expected to be fully rolled out by the end of this year though, and Zendesk is reportedly mulling offering it with a separate pricing structure.

Zendesk is a buy on any dips under $25.

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