It’s a thought-provoking question that has sparked plenty of online debates and the answer isn’t as simple as picking one over the other. The truth is, that the benefits of AI are undeniable in terms of efficiency and handling increasing customer demands. AI can handle massive volumes of interactions while simultaneously providing immediate and consistent responses which frees up more time for human agents to handle the more intricate and complex matters. Customers can access AI support 24/7 which ensures they can always get help outside of normal business hours.
On the flip side, AI lacks the fundamental elements of human empathy and the intricate understanding of customer needs and emotions meaning it doesn’t truly ‘understand’ customers in the same way a human can. AI doesn’t deal well with anomalies or scenarios that vary from its training data. Sure, it can scan customer sentiments with its predictive algorithms, but it still cannot replicate a human’s emotional intelligence.
So, should we be encouraging contact centres to replace human agents with AI?
The contrasting realities of human agents and AI show that both have value in customer service. The question of replacing human agents with AI is not simply about replacing one with the other, but rather about a strategic integration of both.
The case for AI? Efficiency, speed and smarter support.
AI has completely changed the way contact centres operate, unlocking new levels in operational efficiency and productivity. It has ultimately shifted the paradigm in customer satisfaction. From a business perspective, AI’s value proposition is quite compelling. It reduces operational costs by taking care of the repetitive tasks which frees up more time for human agents to handle the more intricate and complex matters. Customers can access AI support 24/7 which ensures that they always get help. Additionally, AI improves first-contact resolution through its ability to quickly process information and provide immediate responses.
Businesses are paying attention! Capgemini’s 2023 report revealed that AI was on the agenda in 96% of boardrooms globally. This was followed by a July 2024 Capgemini Report, which showed a significant increase in AI investment, with 80% of organisations globally having increased their spending on AI since 2023.
From a customer’s perspective, the benefits of AI are just as outstanding. With AI, lengthy queues are a thing of the past. Answers to commonly asked questions are readily available for those customers who prefer to quickly resolve issues themselves.
“An American Express report revealed that over 60% of US consumers prefer automated self-service options for simple customer service tasks”.
While the benefits in business efficiency and customer convenience make a strong case for integrating AI, replacing human agents would be a short-sighted move that ignores the value of human connection and understanding in customer service.
The case against full AI replacement? The human element still matters.
AI-driven efficiency is undeniably appealing but for all its advantages, AI has limits. And when things go wrong, customers want real people to step in.
Microsoft’s “2023 Global State of Customer Service” Report shows that 68% of customers still expect a human agent to be available if needed.
Another concern is that AI can’t completely understand and respond to feelings and emotions the way a It can detect frustration but can’t empathise. It struggles with complex or unexpected issues – AI follows patterns; humans think outside the box.
Look at the following example:
Sarah keeps getting billed for an international roaming package on her mobile phone contract she never signed up for.
In need of assistance, Sarah reaches out and is met by the company’s AI chatbot which quickly pulls up her account and offers standard troubleshooting:
“Check your last bill in the app.”
“Would you like details on our roaming charges?”
“Here’s how to deactivate international roaming.”
Sarah follows the steps, everything looks fine on her end, but the problem persists.
The chatbot continues to provide the same programmed generic responses, unable to diagnose the root cause of the issue. As Sarah navigates this frustrating experience, it becomes clear that while AI can offer quick responses, it often falls short when addressing complex issues that need human intuition and understanding.
Sarah then decides to dial in and speak to a human agent. The agent thoroughly investigates her account history and discovers a system glitch that mistakenly added the roaming package due to an old promo offer. The AI wasn’t able to detect this because it wasn’t trained for this specific scenario. This was an anomaly and varied from its training data. The human agent not only waives the incorrect charges but also makes sure the issue doesn’t happen again next month.
Sarah’s case highlights that AI struggles with non-standard, complex issues that need critical thinking. In contrast, the human agent successfully managed to isolate the case and address it with the necessary flexibility.
The best approach? The case for humans and AI working together.
Instead of thinking about AI as a replacement, the best contact centres use it as an enhancement, a tool that makes human agents more effective.
AI efficiently handles the heavy lifting, quickly handling FAQ’s and repetitive tasks freeing up human agents to step in to handle complex, high-emotion, queries that require empathy and critical thinking.
When they work together, they create a seamless experience that offers a faster service, with smarter support, which leads to happier customers.
Final thoughts?
The smartest contact centres don’t see AI as a way to replace people—they see it as a way to empower them. AI speeds up service, reduces costs, and improves efficiency, but it should never come at the expense of the human touch.
Ultimately, we believe the future isn’t AI alone—it’s the winning combination of AI and human agents working together.
