Welcome to the forefront of conversational AI as we explore the fascinating world of AI chatbots in our dedicated blog series. Discover the latest advancements, applications, and strategies that propel the evolution of chatbot technology. From enhancing customer interactions to streamlining business processes, these articles delve into the innovative ways artificial intelligence is shaping the landscape of automated conversational agents. Whether you’re a business owner, developer, or simply intrigued by the future of interactive technology, join us on this journey to unravel the transformative power and endless possibilities of AI chatbots.
A BMW dealership in Canada recently made a deal with a BMW X3 owner that was too good for the customer to resist. There’s just one problem – the deal was so good that, ultimately, the dealership tried to turn it down by revoking it after scheduling a time to finalize it. More shady dealer tricks, you say? Possibly, but here’s the thing. The original deal didn’t come from a single person at the dealership.
Instead, it came from Quinn, an AI chatbot the dealership uses for online chats. Here’s the story of what happened.
Per Automotive News, Zack Giacomelli bought the X3 used in 2023 and, after submitting an online inquiry about selling it back to the dealership, got a text from Quinn at BMW Toronto, who was eager to help. Unknown to Giacomelli, Quinn was an AI chatbot conversing like it was a real person. Giacomelli submitted his inquiry while the car was being repaired by the dealership, which we can understand, especially if you’ve been having some bad luck with it. According to CBC News, he’d recently had some major repair work done.
Quinn sympathized with Giacomelli. They “chatted” some, then Quinn sent a firm buy-back offer of $27,162.79. That number was good for Giacomelli, as it was just enough to pay off what he still owed on the used car. Quinn texted back to “lock in today at 3:30” to seal the deal. But a short time later, an actual person from the BMW dealership called Giacomelli to rescind that original offer. Instead they countered with around $7,000 less.
Strap in: Insane markups are here already.
That’s an understandable frustration for Giacomelli, as it would leave him ridiculously upside down on the loan. But, the other aspect to all this is that Giacomelli didn’t know Quinn wasn’t real.
“I feel embarrassed, and I feel angry that I’ve been negotiating with this bot,” he told CBC News. “If they’re going to be replacing their employee’s jobs with AI, then they need to be honoring what that AI says.”
Ordinarily, this is the part where the dealership stands firm and tells the customer to go pound sand. But CBC News contacted the BMW dealership in question, and they agreed to honor the chatbot’s original offer.
According to Scott Shadbolt, the dealership’s pre-owned sales manager, this was caused by a miscommunication from a human employee causing the chatbot to interpret Giacomelli’s loan balance as the proposed purchase price. Apparently, the bot was never supposed to make offers but hey, maybe it was hungry for a commission. In any case, the dealership says it plans to make sure future offers come only from humans and more clearly disclose when customers are interacting with a chatbot.
Dealerships have had a problem with how they’re perceived for a long time, and treating a customer as something to be dealt with by a bot does not help the industry – whether prompted by a human or not. It’s short-term spreadsheet thinking, not long-term relationship-building with customers. It also speaks to the big picture issue that we have of businesses being sold on the magical thinking that AI is currently in the position to replace employees at will.
Some cameras will get tech upgrades that could even tell if your pet is in the car.
As for BMW Toronto’s “We’re trying to figure out the best way for a good [AI] customer experience” quote, that sounds very much like a solution in search of a problem. We already know the best way to give customers a good experience is to have knowledgeable, competent, and respectful staff on hand. As it stands, when visiting BMW Toronto’s website after hours, we were greeted by a chatbot identifying itself as Jessica, complete with an avatar of a young woman and the title Chat Professional.
Sources: Automotive News / CBC News / Financial Times
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