The paradoxes of generative AI-enabled customer service: A guide for managers

Generative artificial intelligence (Gen AI) presents a disruptive innovation for brands and society, the power of which is still yet to be realized. In the context of customer service, Gen AI affords companies new possibilities to communicate, connect, and engage customers. This article draws on scholarly research and consultation with customer service leaders to present and discuss the possibilities for Gen AI in the context of customer service, specifically Gen AI chatbots. Importantly, this article presents potential paradoxes of Gen AI enabled customer service, adding to the debate about the role and impact of Gen AI for brands. Specifically, we present six paradoxes of Gen AI customer service, namely: connected yet isolated, lower cost yet higher price, higher quality yet less empathy, satisfied yet frustrated, personalized yet intrusive, and powerful yet vulnerable. For each paradox, we suggest brand response strategies to mitigate downside and manage potential upside.

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