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Multichannel to omnichannel: A customer service evolution

Faria Islam
AI Product Marketing Manager
Customer Service | 9 min read

Customers today expect seamless interactions with businesses across multiple touchpoints. But here's the kicker: not all customer service strategies are created equal. While many companies tout their multichannel approach, the real game-changer is omnichannel customer service.

Think of it this way: multichannel is like having a bunch of separate roads leading to your destination, while omnichannel is a sleek, interconnected highway system. Sure, both will get you there, but one offers a much smoother ride.

An omnichannel customer service strategy isn’t merely about having a presence everywhere; it’s about creating a seamless experience across all channels.

Companies with extremely strong omnichannel customer engagement strategies retain an average of 89% of their customers, compared to 33% for companies with weak omnichannel customer engagement.

- Aberdeen Group

Let’s explore the world of omnichannel customer service further, including its evolution, implementation, and the game-changing benefits an AI omnichannel approach brings to both businesses and customers. Buckle up, because we're about to take your customer service strategy from 0 to 60 in record time.

What is the difference between multichannel and omnichannel customer service?

Multichannel customer service means delivering support on every channel your customers use. It emerged as businesses realized customers wanted options — phone, email, live chat, pick your poison.

But here's the thing: these channels often operated in silos. Customers won’t be able to transition from one channel to another without reinitiating their conversation.

Enter omnichannel customer service. Omnichannel is an evolved version of multichannel customer service. It aims to deliver consistent experiences for customers across channels by integrating various systems.

By integrating all your different channels in-house under one AI agent, all channels benefit from the same great features, your human agents don’t repeat work, and all your insights live together in one place.

Finally, it's not just about offering multiple channels; it's about creating a unified, consistent experience across all of them. It’s the gold standard for how you treat customers in today’s business world.

Here's a quick breakdown of the specific differences between multichannel and omnichannel customer service:

A few other notable differences:

  • Customer insights: With multichannel customer service, insights are only surfaced on independent channels, while omnichannel surfaces insights about the customer journey as a whole.
  • Staff requirements: If you’re delivering multichannel customer service, you’ll need a separate AI agent for each channel — and potentially channel-specific support agents and restrictions. Omnichannel brings this all together, giving you one AI agent and one AI manager to extend across the business.
  • Opportunity to scale: For multichannel, expanding to new channels requires a lot of upfront cost and labor to get the AI agent up and running — not to mention ongoing maintenance to ensure continuity of service. But with omnichannel, expanding to new channels is seamless and effortless. The AI Agent can use the content and guidance it already has.

AI omnichannel customer service: The future of CX

So, how do you turn this omnichannel dream into reality? Two words: artificial intelligence.

AI is the backbone of modern omnichannel customer service, acting as the central nervous system that connects all your channels and customer data. Here's what you need in your tech stack to make the magic happen:

  1. AI Agent: This is your digital Swiss Army knife. It handles customer queries across channels, from chat to email to voice, with the finesse of a seasoned pro. The best part? An AI agent never sleeps, never takes a coffee break, and can handle thousands of conversations simultaneously.
  2. CRM integration: Your AI needs context, and that's where your CRM comes in. It's like giving your AI agent a photographic memory of every customer interaction.
  3. Knowledge base: This is your AI's brain trust. A well-organized knowledge base allows your AI to pull accurate information at lightning speed, whether it's troubleshooting steps or product details.

4. Analytics platform: To keep improving, you need data. An analytics platform helps you track performance across channels and identify areas for optimization.

With these pieces in place, you're ready to automate key support channels, like:

  • Live chat: Your AI agent can handle multiple chats simultaneously, providing instant response.
  • Email: Say goodbye to 24-hour response times. AI can draft personalized email responses in seconds.
  • Voice: AI-powered voice assistants can understand natural language, provide quick answers, and seamlessly transfer to human agents for complex issues.
  • Social media: Monitor and respond to social media inquiries in real-time, maintaining your brand voice across platforms.

Despite the differences between channels, the ultimate objective is to provide the same high level of service and make your customers feel supported no matter how they choose to connect. Having the tools needed to adapt the AI agent’s behavior to the specific requirements of each channel allows you to meet that objective and scale customer service operations without being limited by channel constraints.

The omnichannel advantage: Why it's a win-win

Now, let's talk about the benefits of omnichannel, and why should businesses invest in an omnichannel customer service strategy.

The benefits of omnichannel customer service for businesses

  1. Increased efficiency: Automating your customer service with an AI agent helps you scale a growing need to offer support across channels — and once you have the right tools in place, there’s practically no limit on the number of inquiries your business can handle.
  2. Cost savings: By automating everything from routine inquiries to complex issues, businesses can significantly reduce operational costs. Companies with strong omnichannel strategies enjoy a 9.5% year-over-year increase in annual revenue.
  3. Improved customer retention: Companies with extremely strong omnichannel customer engagement strategies retain an average of 89% of their customer s, and omnichannel shoppers have a 30% higher lifetime value than those who shop using only one channel.
  4. Data-Driven Insights: Omnichannel strategies provide a 360-degree view of customer interactions, enabling businesses to make data-driven decisions and hyper-personalize responses.

87% of customers think brands need to put more effort into providing a seamless experience.

- World Metrics

The benefits of omnichannel customer service for end users

  1. Convenience: Customers can choose their preferred channel and switch between them seamlessly. 91% of customers prefer brands that offer omnichannel experiences.
  2. Faster resolution: AI omnichannel customer support means instant answers to queries, 24/7, everywhere a customer prefers to interact with you.
  3. Personalization: With unified customer data, every interaction can be tailored to the individual's history and preferences.
  4. Consistency: No more conflicting information or repetitive conversations. The experience is smooth and coherent across all touchpoints.

Follow the puck: Omnichannel is the future of CX

Let’s put this into words sports fans will understand. Wayne Gretsky said, "I skate to where the puck is going to be, not where it has been." In the world of customer service, omnichannel is where the puck is going.

The shift from multichannel to omnichannel isn't just a trend – it's an imperative for businesses that want to thrive in the experience economy. By leveraging AI and creating a seamless, integrated customer journey across all touchpoints, companies can not only meet but exceed customer expectations.

Remember, in a world where 96% of customers say customer service is important in their choice of loyalty to a brand, can you really afford not to go omnichannel?

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