The real reason you’re on hold
Good customer service positively impacts the bottom line, and every company strives to provide an excellent customer experience. So why does the dreaded hold music exist?
The simple answer is the lack of manpower. The level of service a company can provide is limited by the size of its team, and increasing the number of customer service representatives comes at a price. Companies offering premium products and services can justify the cost of hiring dedicated representatives to provide exceptional service for their top customers. For instance, private banks can provide their high-net-worth clients with a dedicated relationship manager to serve as a single point of contact for all their wealth management needs because the customer’s lifetime value warrants this investment.
For mass market products and services, however, having a team large enough to handle every call without a wait is simply not viable. Instead, businesses developed workarounds to manage high call volumes within their staffing limits. This is why we have self-service options, interactive voice response menus (the automated voice that tells you “Press 1 for service”, “Press 2 for returns), and, yes, hold music, which are designed to manage customer interactions when human service agents aren't available.
Reimagining service at scale
See also: Microsoft’s new programme targets faster AI rollouts in Singapore
The arrival of agentic AI looks set to herald the death of hold music. Unlike traditional chatbots, AI agents can process complex information, reason through nuanced problems, and take decisive action autonomously. They offer 24/7 support in a conversational manner that many of us as customers are comfortable with when engaging with brands.
With AI agents, companies can scale service cost-effectively. This frees up time for human agents to focus on handling complex customer case escalations and higher-value interactions. And it creates an unprecedented opportunity for companies to redefine the customer experience with faster, more personalised, and seamless service for every customer.
Let’s go back to the banking example. With AI agents, every customer, regardless of their financial standing, can now access banking support instantly, without being placed on hold. AI agents can provide instant, personalised support, whether it is verifying fraudulent transactions, reviewing loan affordability, or recommending savings plans. It’s as if every customer now has their own personal digital banker!
See also: AI race: Alphabet, Amazon, Meta and Microsoft set for US$650 bil capex this year
We're already seeing organisations across Singapore and Asean put AI agents into action. Leading homegrown financial services company Singlife is one of them. Their customer service executives have access to an intelligent AI agent that delivers real-time, trusted responses to a broad range of product-related questions. With the AI agent supporting faster and more accurate responses to customers, Singlife can enhance its service quality and response times, ultimately improving overall customer experience.
From cost centres to profit drivers
It’s not just customers who benefit. Service teams, who are feeling the squeeze as customer expectations rise, are getting much-needed support. Our 2024 State of Service report finds that 65% of service professionals in Singapore expect higher case volumes in 2025, while 81% say that customers are more demanding than they used to be.
AI agents boost efficiency by handling basic, repetitive queries, such as password resets, order tracking, and balance inquiries. They can also suggest next steps, surface relevant knowledge base articles, and even draft responses, freeing up time for service teams to handle complex cases that require empathy, critical thinking, and nuanced problem-solving.
When Panasonic Asia Pacific launched an AI agent on its Philippines’ store website, it was able to resolve 73% of customer queries without escalation to a live advisor. The AI agent could converse in natural language, offer customers always-on support, and autonomously resolve routine inquiries, allowing employees to focus on complex, higher-value interactions.
The shift is also transforming service teams from cost centres to profit drivers, at a time when 80% of service professionals in Singapore expect customer service to drive a greater share of revenue. With AI agents handling routine service inquiries, human agents have time to pursue proactive opportunities like cross-selling and upselling, which directly impact the business’s bottom line and topline.
A new era of service
In Singapore's competitive market, every interaction is an opportunity to delight customers and build lasting loyalty. AI agents make this possible by unleashing the power of a digital workforce, enabling businesses to provide superior, personalised experiences for every customer without the traditional constraints of human resources. With the rise of AI agents, we may finally be seeing the end of hold music.
Gavin Barfield is the vice president and chief technology officer of Solutions for Salesforce Asean
