The Role of Generative AI in Enhancing Customer Experience and Risk Management in Credit Card Services

Abstract

To reduce expenses and increase profitability, it becomes increasingly important for credit card service providers to meet the increasing Customer Experience (CX) demands of the market. Businesses are positively influenced by an improved CX and are less likely to switch service providers. Simultaneously, credit card service providers are exposed to a high amount of risk and face continuous changes and re-developments in their service offers. Using Generative AI (G-AI) in Customer Experience Management (CXM) can help to improve the complete customer life-cycle, thus enhancing the business performance and further supporting service providers in their risk management. This work aims to present insights about the overall role of G-AI in CXM research to provide a more profound understanding of what the technology can contribute to CXM in credit card service companies. Four specific areas of action related to G-AI improvements in CXM have been identified: enhancing customer knowledge, creating customer engagement and loyalty, supporting customer relationship management, and improving CX data management.
G-AI can sustainably enhance CXM in credit card service companies. The generated insights reveal what actors should take into consideration when deciding to use the technology to assist CXM at both strategic and operational levels. We discuss the benefits and challenges connected to the decision-making process concerning the use of G-AI in businesses and thus derive propositions for future research in the area. To extend the insights, we further combine the G-AI and CXM research areas and thus contribute additional insights with our interdisciplinary work. The insights presented in this work can be used by practitioners from different industries to support intrand interdisciplinary decision-making and strategizing for UXM on the strategical and operational levels.