Dive Brief:
- The lion’s share of consumers — 78% — say they interacted with AI or automation during their holiday shopping, whether through delivery notifications, return systems or virtual assistants, according to a Liveops survey conducted by Pollfish in November and released earlier this month.
- Nearly three-quarters of respondents say it seemed like more of their customer service interactions were handled by AI or automation this holiday season than last year’s holiday season, according to the survey of 1,000 consumers.
- Consumers reported the largest surge in automated support in online chat and website help, followed by increases in automation in customer service phone lines and email or text responses.
Dive Insight:
Consumers are largely happy with AI-powered advancements in customer service, but brands need to be clearer about when and how it’s being used.
The vast majority of holiday shoppers — 85% — say they saw clear speed improvements from AI in customer service, according to the survey. Nearly one-third said benefits from AI include 24/7 support availability, and 20% said AI support was faster than waiting for a human.
“We now see AI increasingly able to resolve issues without involving a human agent,” Terra Higginson, principal research director at Info-Tech Research Group, said in an email. “When an agent is needed, these systems are also able to better support agents in delivering a great customer experience.”
However, AI is not a replacement for human support. Despite the technology’s positive reception, 54% of respondents say humans provided better customer service compared to just 11% who say AI provided better support, according to Liveops’ research.
AI can still enhance the experience even when a customer wants or needs to speak to a live agent, according to Higginson.
“These technologies enable smoother escalations, where agents are more informed and better equipped to handle handoffs without forcing customers to repeat themselves,” Higginson said. “The shift is already improving the customer experience and reducing friction during escalation.”
One area where brands are falling short, however, is transparency. Less than one-quarter of respondents say that companies always disclose when AI is being used, even though 69% say they believe brands should always reveal when they are using the technology.
Lack of transparency around AI and data use is a growing issue, Higginson said. The best practice is to disclose AI use in a clear and simple language, such as referring to it as an “AI-based chat,” “AI agent” or “voice AI agent.”
“Companies must disclose their use of AI,” Higginson said. “This builds trust and ensures consumers do not feel deceived.”