DCX Links | October 20, 2024
From Shopping to Photos to Plush Toys, AI Is Coming for Your Customer Experience...This Week's DCX Hot Takes
Weekly inspiration, education, and coaching for customer-obsessed leaders.
Welcome to this week's roundup of customer experience insights!
Is AI about to transform everything we know about CX?
As I was digging through the latest news and trends, one thing stood out—AI is everywhere in customer experience right now.
This week, I came across some fascinating reads on how AI is reshaping CX. From making shopping seamless to chatting with animated characters to creating personalized products, AI is changing the game. There’s even an AI buddy designed to help reduce stress and boost your mood.
As you explore these, consider how these AI tools might revolutionize your projects. Could they solve a challenge you’re facing or open up new opportunities?
I’m curious—do you think AI can genuinely improve customer experience, or is it just hype? How’s it impacting CX for your customers so far?
Happy reading, and stay curious!
-Mark
Here are this week’s must-read links:
Amazon Wants AI to Do the Shopping for You
Talk to Toon: Duolingo's AI Cartoon Chats Are Here
Personalization Done Right: A Path for CX Pros
Meet Moflin, Your New AI Stress Buddy
Gatorade's AI Lets You Create Your Signature Bottle
Google's Ask Photos: AI Magic for Image Search
Speak Customer-Centricity in Every Department’s Language
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Amazon Wants AI to Do the Shopping for You
Amazon's cooking up some AI agents that could shop for you—no questions asked. They just rolled out AI-generated shopping guides for tons of product categories as a baby step toward that vision.
Why it matters: CX pros, listen up: Amazon's plan is about to shake up how we handle customer journeys. Imagine AI agents making shopping super personal and convenient, automating the whole process. Sounds cool, right? But here's the catch—if customers don't trust it, they'll bail. It's all about finding that sweet spot where automation feels helpful, not creepy.
Zoom in: Amazon launched Rufus, a chatbot, in early 2024. Rufus is powered by Amazon's LLM and can handle all kinds of product questions by pulling from both public data and Amazon's own stash. The goal? To make an AI that really knows you and can throw out some surprisingly good suggestions.
The big picture: Amazon's move is part of a bigger trend—companies everywhere are working on AI agents that do more than just chat. These bots could help with everyday tasks like customer service or shopping, adding some serious convenience to your day.
Yes, but: Trust is a big deal here. Would you really let an AI do your shopping without you looking over its shoulder? Letting an AI decide what you need is a big leap, and convincing people to give up that control won't be easy.
What to watch for: Amazon is testing these shopping agents and will drop them when the tech is ready. The next step? Chatbots that start recommending stuff on their own based on your habits, which is a big move towards full-on personal shopping AI.
Fun fact: When someone asked Rufus for the best Batman graphic novels, it threw in Watchmen—showing it gets the deeper themes, not just the basics.
Zoom out: Amazon's all-in on making shopping super easy with AI. But for this to really work, they'll need to nail the balance between automation and understanding what customers actually want—without crossing the line where it starts to feel creepy..
Source: Amazon Dreams of AI Agents That Do the Shopping for You
Talk to Toon: Duolingo's AI Cartoon Chats Are Here
Duolingo's putting a new spin on language learning with AI-powered video chats. Now, learners can practice their skills by chatting with Lily, one of Duolingo's cartoon characters. The goal? Getting users into "spontaneous, realistic conversations" that make learning more hands-on.
Why it matters:
For CX pros, Duolingo's AI video chats show how tech can create personalized, low-pressure experiences that build confidence.
It’s all about making things convenient and taking the intimidation out of the equation.
Valuable lessons for anyone looking to boost customer engagement with AI.
This isn’t just about automating tasks; it’s about creating human-like connections that make users feel supported.
Zoom in: Duolingo spent about a year tweaking Lily to make her feel less like a robot and more like a real conversation partner—someone who keeps things fun and doesn’t come off as just another voice assistant.
The big picture: Duolingo’s been riding the AI wave for a while, teaming up with OpenAI to bring generative models into their app. They’ve already used AI to make features like DuoRadio and Adventures, aimed at making practice more engaging. Video chats are just the latest way they’re making language learning more immersive.
Between the lines: Making Lily feel like a real person wasn’t easy. The team had to add tons of tweaks and guardrails to make sure she could handle different skill levels without sounding off or getting dull. The big challenge? Making sure users don’t feel like they’re talking to just another bot.
What to watch for: Duolingo’s not done yet. They’re keeping an eye on how users interact with Lily and want to make future conversations longer, more expressive, and maybe even more personal.
Fun fact: One early experiment was cloning a user’s voice to motivate them, but the team scrapped it because it was "a bit too weird and potentially creepy"—a reminder that not every AI idea is a winner.
The bottom line: Duolingo’s using AI to make language learning more interactive and less scary. Video chats with Lily are just the beginning—if they can keep it fun and useful, Duolingo might make practicing a new language something people actually look forward to.
Source: Duolingo debuts AI video chats to immerse language learners
"Staying on top of the latest CX trends is tough, especially with how AI is transforming the field. Thankfully, the DCX newsletter does a brilliant job of curating the must-know info.” - Jimmy, CX Leader, Google
Personalization Done Right: A Path for CX Pros
Mark Abraham and David C. Edelman have just released their new book, Personalized: Customer Strategy in the Age of AI (Harvard Business Review Press, 2024). This book is all about how you can use AI to create better customer experiences and grow your business. It offers a practical framework for scaling personalization, drawing on Abraham and Edelman's decades of consulting experience to help companies thrive in the AI era.
Why It Matters: Personalization is what your customers expect—80% of them, in fact. But two-thirds say companies are still getting it wrong, delivering experiences that feel off or even invasive. With AI, you’ve got a real shot at delivering personalization at scale, but only if you make it a strategic priority.
Lessons from Spotify: Take Spotify, for example. They use AI to create highly personalized listening experiences based on real-time data. It works—they've got over 600 million users and $14 billion in revenue. Compare that to companies struggling with disconnected, impersonal attempts—it just doesn’t cut it anymore.
Challenges and Solutions: So, what's holding companies back? Data silos, outdated processes, and slow campaign cycles are all major blockers. The solution? Cross-functional teams that can experiment quickly and put personalization front and center. Look at Pandora and DoorDash—they use AI to create content that feels personal and connects with users.
The Personalization Index: The Personalization Index from BCG helps you see how well you’re delivering personalized experiences. It focuses on five key promises: Empower Me, Know Me, Reach Me, Show Me, and Delight Me. Companies like SonderMind and Spotify are leading the way by truly understanding their customers and meeting their needs.
The Numbers Don’t Lie: Companies that are winning at personalization are growing 10% faster. Their customers spend 30% more and engage three times as often. Just look at Sweetgreen—60% of their sales come from digital channels, showing that personalization really drives engagement.
The Bottom Line: Personalization has to be more than just a buzzword. It’s about transforming every interaction to build genuine relationships. The companies that get it right aren’t just selling—they're earning loyalty that lasts.
Source: Personalization Done Right | HBR
Meet Moflin, Your New AI Stress Buddy
Driving the news: Moflin, the new AI-powered plushie, is here to steal your heart (and $398 from your wallet). Thanks to Vanguard Industries and Casio teaming up, this fuzzy, limbless stress-reliever is now up for preorder in Japan. It first made its debut back at CES 2021, and it's finally ready to roll out.
Why it matters: If you're in CX, this is big. Moflin is another sign that emotionally intelligent tech is changing the game. People want comfort and connection, and AI like Moflin shows how personalization can push beyond just a product — it’s about giving people an experience that genuinely nurtures their well-being.
Zoom in: So, what’s Moflin all about? Picture a fluffy guinea pig without legs. It wriggles, makes soft little noises, and can sense its human's vibe, adjusting its mood accordingly. It's not just a toy — it’s a mental health companion. And you get an app to check Moflin's emotional state, which reflects how well you’re taking care of it. Each Moflin’s got its own personality, but they all love a good snuggle.
The big picture: Moflin's launch is just one example of AI taking on emotional roles that used to belong to people or pets. It's showing us that CX doesn’t have to be purely functional anymore — it can be deeply personal. From voice assistants that try to empathize to AI pets like Moflin, we're seeing a shift toward tech that makes more meaningful, emotional connections.
Between the lines: Here’s the thing: Moflin’s focus on emotional companionship is a huge reminder of how much people value personalized, empathetic experiences. Moflin's personality evolves over time, which is a perfect parallel for CX pros — customer journeys aren’t static, and brands that keep up with their customers’ emotional needs will come out on top.
Yes, but: Let’s be real — Moflin is cute, but at nearly $400 (plus an optional $44 per year for a repair service), it's not cheap. And there’s also the question of how long the novelty lasts. How long will people really find comfort in a robot before it just becomes another thing collecting dust?
Fun fact: Moflin has its own little bed to recharge in, and if you hop onto YouTube, you’ll find owners already making Moflin part of their daily lives. They’re dressing it in tiny clothes, tucking it in under fuzzy blankets, and even taking it for rides in little baskets.
The bottom line: Moflin’s AI-powered personality gives us a glimpse into what the future of customer experiences could be like. Moving forward, CX pros need to consider how to tap into the desire for empathetic, responsive products that go beyond the usual transaction.
Source: This $400 mental health pet companion is powered by AI
"Love your content and valuable insights into CX and industry trends. Thanks for sharing with us!" - Corey
Gatorade's AI Lets You Create Your Signature Bottle
Generative AI is starting to show up everywhere in customer experiences, and the latest entrant is Gatorade. They just dropped a new AI-powered design tool on their Gatorade iD platform, teaming up with Adobe Firefly. Now, anyone can make their own personalized Gatorade Squeeze Bottle with tons of customization options.
Why it matters: Personalization is huge for keeping people engaged, and Gatorade's giving athletes more control over their gear. Instead of just slapping a name on it, this tool lets you create something that really reflects your style, on and off the field. With generative AI, you get a bottle that’s all about your personality and interests, making it way more meaningful.
How it works: Powered by Adobe Firefly, the AI tool is easy to use. Just type in your favorite sports, hobbies, or designs, and it’ll generate custom looks for your bottle. You still get that classic Gatorade vibe, but with a personal twist.
Big picture: Gatorade worked with Adobe and Work & Co to make this whole experience super smooth and easy to use. It’s all about using AI to make products feel more personal and connect better with customers.
The deal: This goes beyond customization for the sake of it. It’s about helping athletes feel connected to the brand with products that actually mean something to them. Personalization is a big differentiator in customer experience right now, and Gatorade’s using AI to make that happen.
Bottom line: For $34.99, you can head over to Gatorade.com, join the Gatorade iD platform, and create a bottle that’s all you. Gatorade is using generative AI to make personalization easy, relevant, and fun—giving you something that’s both functional and totally yours.
Source: Gatorade
Google's Ask Photos: AI Magic for Image Search
Google’s got something cool in the works—Ask Photos. It’s a new way to search your memories using Gemini, their most powerful AI yet. But beyond personal use, there’s a lot here for CX pros to get excited about. With Ask Photos, Google’s showing how AI can transform how we handle and search data, and that could make a big difference in customer interactions.
Why it matters for CX: Let’s be honest—finding specific info in a sea of customer data can be just as tough as sifting through thousands of photos. Imagine asking an AI to pull up "all photos of product defects submitted by customers last quarter" or "images of store displays that drove the highest engagement." AI tools like Ask Photos could mean smarter, faster, and more accurate responses, helping CX teams personalize support and get the insights they need, right when they need them.
How it works: Ask Photos uses AI to understand complex questions like "When was my last hiking trip?" or "Show me all the pics of my dog at the beach." In CX, this kind of tech could help teams quickly pull up the right customer data, making every interaction smoother and more personal. It’s basically like having a smart assistant for all your customer records.
Worth keeping an eye on: Ask Photos is in limited release right now, but the potential for CX is huge. Imagine having this kind of AI built into your customer service tools—reps could solve issues faster and more effectively. Seamless data retrieval means better personalization and quicker responses.
Bottom line for CX pros: AI isn’t just about organizing data—it’s about making it smarter. Ask Photos is a glimpse into how AI can help us make customer experiences better by turning complicated data into useful insights. The future of CX is all about getting the right info at the right time, and tools like this are paving the way.
Source: Introducing Ask Photos
I hope you found this week’s links and commentary useful. If you have suggestions for future DCX Links editions, send me a note.
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