Sky is making changes in its customer service operations by reducing its call centre staff by 2,000 and introducing chatbots in place of human agents. This move comes as the broadcaster plans to close three of its customer service centres in Stockport, Sheffield, and Leeds and cut 7% of its workforce.
To adapt to changing customer preferences, Sky will focus more on online chat representatives available 24/7, located overseas, as well as utilizing AI chatbots. The company noted that most customers now prefer managing tasks like contract renewals and bill payments through its app and website rather than calling in.
Due to shifting consumer behavior towards digital interactions, Sky anticipates a decrease in customer calls from 25 million to 17 million annually by 2029. The decision to overhaul its customer service infrastructure coincides with Sky's strategy to address financial challenges, particularly in transitioning from traditional satellite contracts to streaming services.
Sky incurred a significant loss of £773 million in 2023, attributed to financial adjustments in its Italian and German operations, higher expenses related to football broadcast rights, and a decrease in satellite TV installations as more users opt for internet-based TV services.
Despite the shift in its customer service model, Sky aims to maintain quality service and customer satisfaction. The company plans to retain thousands of phone advisers and invest in enhancing its Livingston campus in Scotland by establishing a "centre of excellence." This strategic decision is informed by customer feedback, reflecting a growing demand for multi-channel communication options beyond phone support.
By embracing digital transformation, Sky aims to provide efficient, accessible, and round-the-clock customer service. This initiative aligns with the company's commitment to prioritize customer needs and deliver seamless service through advanced technology. Additionally, other companies like BT and NatWest are also exploring the integration of AI technologies to enhance their customer service offerings.