Episode 4: Amelia Lowe, VP Operations, SquareTrade

[00:00:00] Hello and welcome to the Conversational AI News Podcast. Today we are talking about insurance

[00:00:05] and I am joined by Amelia from SquareTrade, Amelia Welcome.

[00:00:09] Thank you!

[00:00:10] Let's great to have you here, Amelia. Would you first give us an introduction to yourself,

[00:00:14] Amelia and then let's come to the company?

[00:00:15] Absolutely, hi, it's fantastic to be here. Thanks very much for having me.

[00:00:19] My name is Amelia Lowe, I'm from SquareTrade in Europe. We protect everything from your phone to your

[00:00:29] largest telcos and electronic retailers. I've been with SquareTrade nine years before joining

[00:00:34] my background was in consulting e-commerce, technology focus consumer products and services.

[00:00:40] When I joined SquareTrade, our business was a little different. It was just one year

[00:00:44] of pin market ensuring one product category with a smartphones. Now, nine years later, we

[00:00:49] service 14 markets across Europe, 20 product categories. And over the last nine years, I've had

[00:00:59] the privilege of building that operations team as we've grown. Today, I lead our operations

[00:01:04] team across Europe covering everything from customer experience, customer service, supply chains,

[00:01:08] sustainability, operational compliance and risk. And at the end of the day, my responsibilities

[00:01:14] to our customers, ensuring we provide the best protection products and services possible,

[00:01:19] shown through our market leading customer experience scores. And we do that by balancing

[00:01:23] profitability with customer experience and sustainability and importantly innovation. And that's

[00:01:28] a conversation AI will come in, but we will come back to that. I'm sure. Really, really exciting.

[00:01:34] Yeah, I've got to come to you and ask you just about SquareTrade and how you're using AI

[00:01:38] in just a moment. But in terms of our overview, I think that was a great overview of the business.

[00:01:43] How could you say a little bit more about how does the consumer, the end consumer? How do I

[00:01:48] experience your service? I noticed, for example, on the website, I saw Elga Ganton, big, big brand

[00:01:53] there in the Nordic side. I used to live in Denmark, so I recognize that one. How do I,

[00:01:59] is it once I've bought, then I'm connected to you, give us a just tells about the journey a little bit.

[00:02:05] Absolutely. So SquareTrade was founded 25 years ago and like any good business, it's involved

[00:02:09] over time. We've grown exponentially, especially in recent years. And we do that. We're a B2B2C

[00:02:15] business model. So as a technology company that sells our products B2B, we service our products

[00:02:21] B2C. So if you're a consumer, you might walk into one of Europe's largest retailers or

[00:02:27] consumer electronics stores and you would buy a smartphone or a fridge or a laptop and whilst

[00:02:34] you're purchasing that good, you're able to purchase protection alongside that. Either accidental

[00:02:39] damage, theft, loss, extended warranty etc. And you're buying a future promise. When we think about

[00:02:51] to use that product, but for those that do, when they come to have an incident with their

[00:02:57] device, that's all they're here for. And then we service those customers directly B2C. And because

[00:03:02] of that, we see ourselves very much as a customer-led business, delivering value to both the

[00:03:07] channel partner, but also importantly the end customer. And we try to lead our industry in innovation

[00:03:13] because of that. Velas, I mean how would you say square trade is using AI at the moment?

[00:03:19] So square trade is the fastest growing insurance provider in this space in Europe. And we think

[00:03:25] that's larger driven by what we think of as radical customer centricity. So increasingly,

[00:03:31] we live in a competitive world. Consumer expectations and demands of growing on a daily basis,

[00:03:37] they don't want to be treated as commodities. Customers want to be seen as individuals,

[00:03:41] and they have their personal needs answered. A one-size-fits-all approach really will not cut it anymore.

[00:03:47] So to match the pace of those growing demands, it's time to really get radical as we call it.

[00:03:52] We call it changing the how. I really need to get to the root of what matters and go beyond

[00:03:56] what's expected. We deliver propositions which truly make a difference to customers. And we help

[00:04:02] them enjoy life, safe in the knowledge that we're protecting the products that they love and rely on.

[00:04:07] So to do that, we really put people at the centre of how we do that. It's people at the absolute

[00:04:13] heart of square trade's ethos. It's about being entrepreneurial. It's about looking to catalyze

[00:04:18] and create change. And despite being part of a large organisation, we're part of all state,

[00:04:24] which is one of the largest US private liability insurers. We still have that core DNA so close

[00:04:31] to the centre of how we operate at square trade. We're looking at AI from a holistic perspective.

[00:04:37] If you look at other industries, I don't know food in Japan, transport in the US, we drive

[00:04:41] as taxis, payments in Europe. I think customer experience is a revolving rapidly as new

[00:04:47] technologies are leveraged to transform that customer experience and increase personalisation

[00:04:53] and proactiveness. And the question for square trade is, as you say, how why is AI critical

[00:04:59] to our future success? I think historically there was often a trade-off between commercial

[00:05:05] business objectives and customer experience. Now that is not a trade-off anymore. These are two

[00:05:10] things that we can strive for and obtain simultaneously. And I think our research and analysis

[00:05:16] shows that there's a host of opportunities to leverage AI across our business sector. There's

[00:05:21] a rate, the range of opportunities is so vast. So I think our advice always is for anyone thinking

[00:05:27] about leveraging AI as to think about really what you want to do outcomes. It'd be really

[00:05:32] crystal clear on the outcomes you're trying to achieve. And that would allow you to be really

[00:05:37] user focused on prioritise. It's critical to be laser focused and prioritise because it's really

[00:05:43] easy in this space to get distracted. But it also supports internal conversations on topics

[00:05:48] like the build versus buy, investment strategies, risk modeling, etc., this is like a complicated

[00:05:54] world where it presents enormous amount of opportunity but there's also complexities in the background.

[00:06:01] And so for us adding value through innovation to deliver that sustainable, profitable growth

[00:06:06] is the high level outcome. And when we think about that really we obtain that through growing

[00:06:13] great customer experiences. And there's an interesting dynamic between customer service and customer

[00:06:18] experience. Customer service is quite a transactional and a topic focused on solving a kind of

[00:06:25] immediate problem. You've got a customer in front of you, we service as I said, the customers be to see.

[00:06:30] So we've got a customer in front of us, we need to solve their problem now. The customer experience

[00:06:35] is much more holistic. It's about the end-to-end customer journey in the life cycle.

[00:06:40] It's connected to our brand, it's more about a feeling, thinking about increased lifetime value.

[00:06:46] And I think personalization at scale is really the center of that. So proactive engagement,

[00:06:53] customer's innovation in self-service, those are the types of spaces where we're really looking

[00:06:59] to leverage AI within Squirtrate. And we've started doing that through things like chat boards.

[00:07:05] We also, as I mentioned, operate across 14 markets, Europe. So we service customers in 12

[00:07:11] languages that presents its own complexities. And AI brings again huge opportunities when you're thinking

[00:07:18] about multi-lingual customer service and experiences. But we're learning all the time. We're very

[00:07:23] on in the journey around AI. Digital maturity is growing rapidly and AI is allowing us a real step change.

[00:07:31] I think anything we've probably ever seen since the dot-com boom, to be honest, almost 25 years ago,

[00:07:36] when Squirtrate was founded. Amelia, you mentioned chat boards there. So if you don't mind

[00:07:41] can I jump in on that one and say, you tell us more about your approach with conversationally,

[00:07:46] and then how are you looking to use that? Absolutely. Yeah, I think chat boards are significantly

[00:07:51] enhancing customer service in a show tech by elevating that end to end customer experience.

[00:07:58] And it's really about seamless, intelligent and innovative journeys. The design to go beyond

[00:08:03] meeting that customer expectation, to create those memorable and positive experiences when

[00:08:08] customers engage with the company. And as I said for Whistelling of Promise, so when a customer

[00:08:12] comes to engage with Squirtrate, they're in a time of need. It's often time sensitive. We're

[00:08:18] talking about people without their smartphones. Have any of us got us more smartphone, more than

[00:08:22] a foot from our hands? Never, right? That's like I'm a little caught. That invisible or a

[00:08:28] little caught when it's broken customers need us. And so we have to be able to provide

[00:08:35] that kind of elevated customer experience to give the customers the peace of mind when we're

[00:08:41] taking them through that claims experience and for fitting that claim. I think AI offers a

[00:08:46] great opportunity to achieve this, leveraging traditionally insurance companies had automated

[00:08:52] data for underwriting and pricing decisions. Now with AI, they're achieving radical customer

[00:08:57] centristy by providing personalized experiences. AI powered customer advisors, we have a chat

[00:09:03] what called Sally. There are already supporting customers by providing them with access

[00:09:08] to round the clock support when they need it. It's absolutely fascinating. I was going to

[00:09:12] ask you by the way, how did you come up with a name, Sally? When why I'm asking is because I see

[00:09:18] that West for example, they have Cora, a Santander, a Sandy, whereas Lloydsbank rather

[00:09:26] interestingly, they have virtual assistant. They haven't given a name, so I'm curious

[00:09:30] that you've given it a name. Would you say some more about that? Yeah absolutely. I think when you

[00:09:38] think about AI, AI for me, personally, is very much an extension of our team. As I said,

[00:09:47] we're very purpose sort of about how we grow our team and I think when you're looking at AI's

[00:09:53] technology, how we leverage that for customers, this is really about increasing our ability to build

[00:09:58] a high-forming team, and that's a large part of my role. So we want to create that human touch,

[00:10:05] building a high-forming team is a high human touch process, but quarter that are the personal values

[00:10:14] that encompass the ability to lead a human based team. And personally from my perspective,

[00:10:21] this is about emphasizing integrity, trust, transparency, respect, all this fosters of team

[00:10:26] culture that's inspiring and encouraged is that informed risk taking. And you've got to provide

[00:10:32] a clear structure around that and the governance, and you've got to set well to find expectations.

[00:10:36] And I found that it's possible to create environments where teams can really thrive and be at their

[00:10:42] best, and that may all sound a little bit off topic for an AI podcast, and maybe more of a

[00:10:48] kind of leadership podcast topic, but I think it's really critical to approach conversational AI

[00:10:53] the same way we would the rest of a human team because customers are on the receiving end of it.

[00:10:58] So we have to be able to balance the AI automation with the human touch and by providing

[00:11:05] the AI bot a name, Sally, in our case. You start to be able to bring that AI bot into the team

[00:11:13] slightly, and people, as I said, buy insurance for a promise, you know, where we're hoping that they

[00:11:17] don't need it when they do, it's our chance to show customers why they put their trust in us.

[00:11:25] Imagine you're in that moment of need, you want to be able to feel very much like you've got

[00:11:31] a human touch point, even if it's actually been powered by AI technology in the background.

[00:11:37] I think your point there on the leadership aspects, I think is very, very well-made because

[00:11:45] too often I see a lot of what obsession over the technology and what the technology can do

[00:11:53] and I sometimes see the output of that being quite technical, if you like. You know,

[00:11:59] and the executives, those in charge of steering this aren't necessarily looking at those critical

[00:12:07] aspects there I mean is, I think that's fascinating that you come at that point of view and I think

[00:12:12] that's from my external point of view, the right way too. And I think you're absolutely right,

[00:12:18] there is a lot of technical components to it in the background as well of course there are.

[00:12:22] Like these complex, these technologies are highly complex, they're new, they're evolving rapidly

[00:12:26] and there's a whole world around regulation and testing and compliance in the background

[00:12:32] obviously we're a regulated industry so that's a huge important choice but at the end of the day

[00:12:37] when we approach things from a human center perspective I think that always puts us on the right path

[00:12:44] when you're talking about regulatory obligations, compliance risks, testing. If you start with a

[00:12:50] human mindset and customers at the center of it, I think you're setting yourselves up for success

[00:12:56] and we have a chatbot's handle, sensitive information all the time. We implement, you know,

[00:13:02] robust cybersecurity measures, adhering to relevant legislations like GDPR in Europe and the

[00:13:08] chatbot of course employs all those appropriate safeguards around data collection so that only a

[00:13:13] necessary information is gathered and it's always used responsibly but it's that ethical question

[00:13:21] around how do you use AI and new technologies in a responsible and ethical way? And I think for me,

[00:13:29] the right place to start for that is to be putting the real human center touch right at

[00:13:34] right at the right of the center of it. I mean they're just on the chatbot there, what was your attitude

[00:13:39] from a leadership standpoint on by versus build? I think it's a really interesting question because

[00:13:46] a lot of companies are probably asking themselves the same question. Is it by, is it builds,

[00:13:50] if you're going to invest how much you're going to have to invest to be able to get the output

[00:13:55] you want? I think the reality is to be honest, it's often going to be a case of both. We as I said

[00:14:02] we're a European business with a hugely entrepreneurial mindset and DNA but we're also part of the

[00:14:09] all-state umbrella. So we sit underneath the very large North American business and they

[00:14:15] invest a large large large amount of money in AI partnering with one of the technology giants of our

[00:14:21] world to develop and test AI solutions but that doesn't mean to say that we shouldn't also

[00:14:29] buy in supplementary technology, test learn, pilot, when anything like AI is moving so fast,

[00:14:37] testing and learning and iterating is so key. And to do that using existing platforms, to do that

[00:14:45] in a way that is responsible puts data security and customers trust at the center of what we do

[00:14:50] but it allows us also to fast track learning. That's ultimately better for the business and

[00:14:56] customers in the long term too. So my view by versus builds, a bit of both to be honest.

[00:15:02] I think the by-vis is build also depends on that very specific focus area that you've narrowed down

[00:15:07] as I said earlier you've got to prioritise race we've got to be really clear on the outcomes.

[00:15:12] We've used, we're looking at and looking at using AI across multiple topics across our customer journeys

[00:15:18] we talked about our expansion across Europe over the last nine years in the 14 markets and the

[00:15:27] translation AI is something that could be made become a commodity type product. So using

[00:15:36] chat bots, using IVR with AI built into it whilst you can start to allow agents to potentially

[00:15:44] converse with customers in languages that are not their native language really helped to support

[00:15:50] businesses with these panorapied or multi-lingual needs. And I think as you grow a business as

[00:15:57] whether you're a small business starting out and you don't have the scale yet to be able to

[00:16:02] necessarily staff contact centers to serve as multiple channels in a kind of economically efficient way.

[00:16:09] Some of these translation bots can really help you because you can start gaining some scale

[00:16:14] efficiencies of scale without having the scale yet. So it's going to give some of the

[00:16:20] smaller slightly younger newer businesses in our space, maybe a little bit of opportunity

[00:16:27] to become efficient and learn and test whilst managing that complexity of a multi-lingual

[00:16:32] or international service. I mean, could you talk through any challenges you faced in your journey to

[00:16:38] adopting conversational AI? Yeah absolutely. I think testing is critical and confidence is

[00:16:44] probably one of the biggest challenges we face when it comes to conversational AI. We've got

[00:16:50] customers who we need to service within integrity and that integrity is something that needs to

[00:16:56] be built and we focus a lot around the foundations for building that confidence and that comes through

[00:17:03] iterative testing, learning and also, as I said earlier, conversational AI is another member of our

[00:17:08] team, but it's complex and how looking at how often a chatbot can be updated for example.

[00:17:16] What is the feedback loop for continuous improvement? AI is evolving in such a pace that it's

[00:17:20] likely and it's likely to continue to do so for the foreseeable future. The chatbot is updated,

[00:17:25] needs to be updated regularly to ensure it remains accurate, relevant and of course effective.

[00:17:30] Updates can include improvements to its language model, integration of new data and

[00:17:34] enhancements based on user interactions and feedback. As AI is implemented further across the business,

[00:17:42] it'll become clearer on how we're able to improve that customer experience using AI. So that

[00:17:47] feedback loop for continuous improvement is probably one of the bigger challenges that we see today.

[00:17:53] But this is evolving. The maturity of this is young and as we progress down that maturity curve,

[00:18:00] that confidence will grow, our confidence in the ability to have integrity at the core of it will

[00:18:05] grow and increasingly feel a thing like AI becomes another member of our team.

[00:18:12] I mean, would you say a little bit about how your end customers or clients are reacting to

[00:18:17] you augmenting the experience with the likes of conversational AI?

[00:18:21] Absolutely, yeah. We have all been in that situation where you call up because of a service line,

[00:18:27] there's the kind of robot IVR in the background. It's asking you to put, tell it your

[00:18:35] your reason for calling and you're shouting now the phone on it because it cannot understand

[00:18:39] for the life of it what you're trying to say. We have all been there. It's frustrating.

[00:18:44] It's not one anybody wants. It doesn't produce good seamless, frictionless customer experiences,

[00:18:50] which is what we're after. So when you get it right, we know the digital channels produce

[00:18:56] the highest customer satisfaction schools in our experience. However, the key with AI is to ensure

[00:19:02] that the testing, as I said, in terms of our challenges is so rigorous that the confidence is high

[00:19:07] and the output can subsequently also be high. So clients love it when it works but we've all

[00:19:13] been in a position where it doesn't work and that's something that from our perspective, we

[00:19:20] have to avoid. Amelia, that's been fantastic. Thank you so much. But for those who are thinking

[00:19:26] well, we'd love to know more about your own experiences and the company. How do they contact you?

[00:19:33] Well thank you so much for having me. This has been really good fun. More fun than I was expecting

[00:19:37] in a good way. The police, if anybody wants to reach out, find out more about what we're doing,

[00:19:43] get my views on any topics then please don't hesitate to reach out on LinkedIn. You'll find

[00:19:50] me under a media low, vice president of operations at Squirtrate in Europe or visit our website,

[00:19:56] Squirtrate.edu. You and thank you. Thank you so much. Thanks for taking my time and Amelia.