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Revolutionizing Customer Engagement: Strategic Insights for Leveraging Large Language Models



The launch of ChatGPT is considered a milestone in artificial intelligence, as it transitions from narrow applications to a versatile tool with broad potential. While the technology has its limitations, it is rapidly improving and showing great promise. As executives grapple with how to capitalize on this technology and transform the digital customer experience, it is crucial to consider the competitive implications that will arise.


HBR research offers three key recommendations for creating a winning customer experience.

  1. Focus on the customer, not the technology: Rather than being solely focused on what the technology can do, managers should identify customer pain points and then explore how the technology can help address those needs. Large language models, such as ChatGPT, can assist in recognizing and understanding customer needs, thereby enhancing the customer experience.

  2. Focus on learning: Each interaction with a customer should provide an opportunity to learn and improve. Large language models excel at learning from prior experiences and feedback, allowing firms to better recognize, request, and respond to customer needs. This continuous learning process creates a positive feedback loop, enhancing customer relationships.

  3. Use the technology as a complement, not a substitute: While the accessibility of large language models levels the playing field, it is important to remember that technology alone is not a source of competitive advantage. Instead, firms should consider how to use the technology as a complement to their existing capabilities, enhancing their unique value proposition. By leveraging large language models to strengthen customer relationships, companies can differentiate themselves in the market.

The HBR research emphasizes the transformative potential of large language models, such as ChatGPT, in enhancing the customer experience. By focusing on the customer, leveraging continuous learning, and using the technology as a complement to existing capabilities, firms can create a winning customer experience and gain a competitive edge in the market. Read the HBR article here

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