
Pragmatic AI, Real Business Value: A Q&A With Chad Dunavant

Communication service providers (CSPs) are under pressure to uncover and pursue new applications for AI—whether that’s to improve customer experiences, streamline management of their networks or apply myriad other potential use cases.
But it’s a complicated road ahead for CSPs trying to draw value from AI implementation. Gartner predicts that by the end of 2025, 30% of generative AI projects will be abandoned after proof of concept . The main reasons: poor data quality, inadequate risk controls, escalating costs and unclear business value.
Which AI initiatives will bear fruit for CSPs? The ones that take a pragmatic approach, according to Chad Dunavant, CSG’s EVP and chief strategy and product officer. He sat down with Doug Green of Technology Reseller News to discuss proven AI use cases that cut through the hype and create real value for telecom operators.
Catch the highlights of their conversation below or jump to Technology Reseller News to see the full video .
The transcript has been condensed and lightly edited for clarity.
Finding AI Use Cases With Real ROI
Doug First of all, can you even measure ROI [for implementing AI]? Can a CSP do that? Chad I think so. And I think it starts with defining the specific use case you want to solve for. Let me give you an example. We launched a product at the end of last year called Bill Explainer . And the intent around Bill Explainer was to use AI to [improve] what has typically been a pretty static process. If you think of electronic bill presentment and payment EBPP [electronic bill presentment], you direct a customer to a website, they pull up a bill, they view the bill, they may have questions about it. If they have questions about it, they may engage with a chat session or pick up the phone and call a call center agent. We wanted to be a lot more proactive about how you engage with customers around that bill confusion that happens during a monthly statement process. And if we proactively outreach to Doug and say, ’Hey, Doug, what we've noticed on your bill is a change—a $20 change and fees this month—and it's a result of you watching a sporting event.’ Or maybe you bought a movie, or maybe a rate change happened because you moved out of the promotion. Having that conversation upfront can actually drastically reduce the conversations that happen inbound with a customer. In this case, the outcome is we want to create a better experience with the customer because we are proactively communicating something that would have likely led to a call in the call center. And if we could then see the reduction in call center calls, or in the time it takes a customer to pay—speeding up that process—we can put a very tangible ROI in front of an operator based on those results. And this takes us to the opportunities for the CSPs. Where do you think they are? A lot of times we start with cost savings. What is the ROI based on the cost savings that you have with a specific AI use case? And I think the differentiation for operators is, how do they create a much more personalized, rich experience with my customers by leveraging this data? Forever, they've developed products and solutions that have kind of been one-size-fits-all. They develop offers or promotions based on large groupings or subgroupings of customers, on profiles of customers. I think they can get much more personalized in the way they engage with customers now that they leverage this technology. If I go back to that Bill Explainer example, that outreach could be very personalized. How I want you to pay or interact can be very personalized, and then that can lead to really dynamic bundling. If I know more about you; if I just ask you the question, ‘What do you like to watch? How much do you want to spend? When do you watch specific shows? How do you engage with your friends and family across this medium?' I can then start to tailor a specific offer, a specific promotion that's based on your specific attributes versus maybe a collection of people within my database or within my processes that don't match your specific wants and needs. I think that's where we can start to focus AI technology, is creating that unique customer experience with each individual customer, and that will then lead to increased customer satisfaction, increased retention and increased NPV [net present value] scores for the operators going forward.
