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Using ChatGPT for Customer Service: Use Case Guide

Updated on March 22, 2024 7 minutes read

Summary points:

Ever wished for a customer service assistant that’s available around the clock and can handle multiple queries simultaneously? Your wish is ChatGPT’s command. This AI-powered tool is revolutionizing the customer service landscape, offering capabilities that range from answering FAQs to troubleshooting issues, all while maintaining a conversational tone that’s remarkably human-like.

Who Should Read This?

This guide is tailored for customer service managers and business owners who are keen on leveraging AI to enhance their customer service operations. Whether you’re a small business owner looking to automate basic customer interactions or a customer service manager at a larger organization aiming to scale support operations, this article has something for you.

We’ll discuss how you can use ChatGPT for customer care, either as a web assistant or a built-in customer service AI chatbot, its integration with various platforms, and pros and cons of utilizing it for customer support.

What is ChatGPT?

ChatGPT is a state-of-the-art language model developed by OpenAI. The acronym GPT stands for Generative Pre-trained Transformer, which is a type of machine learning model for natural language understanding and generation. ChatGPT is designed to perform a variety of language tasks — from translation to question answering, and from summarization to content creation.

What sets it apart in the customer service domain is its ability to engage in human-like conversations. It’s not just a chatbot; it’s a large language model trained on a diverse range of internet text. This extensive training enables ChatGPT to understand context, make relevant suggestions, and even generate human-like text based on the prompts it receives.

Because of its advanced text comprehension capabilities, ChatGPT is showing immense promise in customer service applications. It can handle a wide array of tasks that traditionally required human intervention, such as answering frequently asked questions, troubleshooting issues, and even assisting in sales processes.

Let’s look at the main pros and cons of this tool:

Pros:

  • Versatile: ChatGPT’s knowledge base is extensive, which makes it useful for different things like helping customers, teaching, or writing content on multiple topics.
  • Quick Responses: It answers questions super fast which is great for getting help or information quickly.
  • Availability: Unlike people, AI is up and ready to help 24/7, so you can ask it anything, anytime.

Cons:

  • Hallucinations or Mistakes: Sometimes it can give wrong or misleading answers.
  • Lacks Understanding: It might not get the deeper point or feelings in complex or sensitive topics the way a human would.
  • Ethical Concerns: It can be used for malicious purposes like spreading false information or causing harm to other people.

Despite these weaknesses, ChatGPT has a lot to offer in making digital conversations and services faster and easier.

How to use ChatGPT for customer support?

Using ChatGPT for customer care can be done in two main ways:

  1. the web app as an aid for customer service agents
  2. integration on the website or SaaS app via API and creating a chatbot for customer support

The first option involves using the technology to assist human customer service agents. It can help agents answer questions, complete tasks, resolve issues, and analyze data to improve customer customer success. When fully set up, it functions as a helpful assistant, providing agents with the information they need quickly. This is made possible thanks to plugins that enable additional capabilities of ChatGPT, such as accessing certain databases (e.g., Expedia) and performing web searches (e.g., with WebPilot).

The second option involves using the ChatGPT API to create a custom chatbot for your website or SaaS app which will answer customer inquiries in real-time. At present, OpenAI has models like GPT-3, GPT-3.5-turbo, and GPT-4 that can be used for making a ChatGPT-like bot. It is possible to fine-tune these models on your company’s data to personalize responses.

With this setup, your customers can receive immediate basic consultation or schedule a call if necessary. Such responsiveness and a commitment to technologies facilitate customer service and simplify the job of human managers.

Let’s explore each option in detail to choose which suits you better.

Method 1: Using ChatGPT to aid customer support agents

Here are some use cases for ChatGPT as an assistant for human agents:

  • Knowledge Base Assistance: AI can help agents to quickly find relevant information from a company’s knowledge base, saving time and improving responses to customers.
  • Up-to-date Product Information: Similar to the previous point, keeping ChatGPT updated with the latest product or service information ensures that customer service agents have access to accurate and current data when assisting customers.
  • Scripted Responses: ChatGPT can craft scripted responses based on the inquiries it receives. This ensures that customer service agents provide consistent and precise information, maintaining a professional tone in customer interactions.
  • Multilingual Support: Considering its language translation capabilities, the ChatGPT language support feature is particularly good for businesses with a global customer base, ensuring smooth communication without language barriers.

  • Email Drafting: AI can assist in drafting emails or responses by providing suggestions or templates. This ensures a professional tone in letters and also saves time on a mundane task.
  • Training and Onboarding: As a training assistant, ChatGPT can answer procedural or product-related questions, making the onboarding process smoother for new customer service agents and quicker for the company in general.
  • Real-time Information Retrieval: When integrated with necessary databases, AI can fetch real-time information that agents need to assist customers effectively. So, giving it access to relevant data significantly enhances its efficiency for customer support.
  • Sentiment Analysis: This tool can analyze sentiment from customer interactions, helping to identify satisfied or dissatisfied customers. This saves time for big volumes of information and helps take appropriate actions to ensure customer satisfaction.

  • Content Generation: This AI can generate content for FAQs, help articles, or other customer service resources. This allows to build a comprehensive and informative knowledge base, which is useful for both customer self-service and agent training.

  • Issue Resolution Guidance: This tool assists in resolving common issues efficiently by providing step-by-step guidance based on predefined solutions. This guidance improves problem-solving and, thus, overall customer satisfaction.
  • Performance Analytics: AI can analyze data from customer support interactions and provide insights on performance metrics (e.g. response time, customer satisfaction, and resolution rate). This data is essential for evaluating and improving customer service operations.

Through these capabilities, ChatGPT acts as a powerful tool that boosts the operations of customer service departments and empowers agents to deliver superior customer support.

Method 2: Integrating ChatGPT on the website or SaaS app for customer support

Integrating ChatGPT with your product can elevate the user experience by providing real-time support and information. Basically, you can create a highly functioning bot using GPT models. Here are a few AI use cases for customer support with examples:

  • Instant Issue Resolution: The bot can provide immediate help for login problems, basic issues, or some common questions about the product. This significantly enhances user satisfaction and reduces frustration. Example: A SaaS product for project management can integrate a ChatGPT-like bot within its live chat to instantly address issues.
  • Product Feature Explanation: An AI bot can offer on-demand assistance that motivates users to make the most of the platform, which improves customer engagement and product adoption. For example: A SaaS-based analytics platform can use a bot to explain product features, offer tips on data interpretation, or guide users in dashboard settings.
  • Billing and Subscription Management: The automated support helps users manage their accounts easily and smoothes user experience. For example: A SaaS platform for email marketing can integrate the chatbot to efficiently handle common queries concerning billing, subscription changing, or payment issues.
  • Onboarding Assistance: AI accelerates the onboarding process by explaining how to set up their accounts, import contacts, and initiate campaigns. This helps users use the platform efficiently. For example: A SaaS CRM (Customer Relationship Management) platform can create a bot to guide new users through the onboarding process.

  • Feedback Collection: User feedback is vital for overall product improvement, helping to tailor the product to user expectations. For example: A SaaS product for team collaboration can use a bot to collect feedback and provide insights on user experiences, new features, or any issues that arise.
    Pro tip: You can pair this bot with customer feedback surveys to achieve more insightful results.

  • Promotional Campaigns and Updates: AI helps notify users about any updates, to encourage user engagement and retention and ensure users are well-informed about the latest offerings and improvements. For example: A SaaS platform can engage a bot to inform users about promotional campaigns, updates, or new features.

Using ChatGPT businesses can significantly upgrade both UX and the support capabilities on their websites or within their SaaS applications. This, in turn, increases user satisfaction, retention, and overall success of the platform.

Examples of how other companies use ChatGPT

Talking about the hypothetical use of ChatGPT is great. But it’s much better to look at how famous businesses have actually applied these ideas to their products and services.

Here are some examples of how companies are using ChatGPT or GPT models for customer service or other applications:

  • Octopus Energy: Octopus Energy, a British energy supplier, integrated ChatGPT with its customer service channels. This has significantly reduced the workload, as the AI now handles almost half of the inquiries.
  • Expedia: Expedia integrated AI with its services to help users plan their trips. Acting as a virtual travel agent, AI offers flights, hotels, and destinations based on customer preferences.

  • Salesforce and Slack: Salesforce has announced that Slack will integrate ChatGPT within its AI-powered assistant named Einstein. It can draft replies, summarize threads, and conduct external research within Slack.
  • Snapchat: Snapchat launched the My AI feature. In a nutshell, this is a chatbot that uses a version of GPT technology customized for Snapchat to improve users’ in-app experience.

  • Instacart: Instacart decided to integrate the GPT technology into its app to give customers shoppable answers through a feature called “Ask Instacart.” Users just ask for a recipe and the app provides them with information and items which they can buy within the app.

 

  • Shopify: Shopify added ChatGPT functionality to its Shop app to help users identify products they want using various prompts.


These companies are using the capabilities of generative AI models to help with customer service, improve workflows, and provide innovative solutions to their users. It is time for you to join this list.

In Conclusion

So, you’ve made it to the end of our deep dive into using ChatGPT for customer support. As a customer service manager or business owner, you’re probably always looking for ways to improve your operations, make your customers happier, and simplify your life. ChatGPT could be the missing piece of the puzzle you’ve been searching for.

Why should you consider integrating ChatGPT into your customer service toolkit? Here’s a quick recap:

  • Around-the-Clock Availability: Your customers don’t operate on a 9-to-5 schedule, and with ChatGPT, neither do you. Offer support whenever it’s needed.
  • Multi-Lingual Support: Break down language barriers and open your business to a global audience.
  • Instant Problem-Solving: Address common issues immediately, freeing up human agents to tackle more complex queries.
  • User Engagement: This isn’t your run-of-the-mill chatbot. ChatGPT offers a conversational experience that can delight your customers.
  • Scalability: As your business grows, ChatGPT scales with you. No need for a massive hiring spree just to keep up with customer queries.

In a world where customer expectations are sky-high, and attention spans are shorter than ever, ChatGPT offers a way to not just meet those expectations but exceed them. It’s not about replacing your human customer service agents; it’s about empowering them.

Inna Lebedeva

Written by Inna Lebedeva

Inna Lebedeva is a writer and researcher at Greenice. She writes on topics like eCommerce, startups, and web development. With help from the Greenice team, she gives easy-to-understand advice to business owners, helping them make smart choices in the tech world.

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