Consumers Wary of AI Customer Service, Majority Consider Switching Companies: Gartner Survey

A recent Gartner survey finds that most consumers are wary of AI-powered customer service, with many preferring to switch companies rather than deal with AI assistants.

Key survey findings: The survey, conducted in December 2023 with 5,728 respondents, reveals significant consumer concerns regarding AI in customer service:

• 64% of customers would prefer that companies not use AI for customer service at all.
• 53% indicated they would consider switching to a competitor if a company was using AI for customer service.
• The top concern, cited by 60% of respondents, is that AI will make it more difficult to reach a human agent when needed.

Challenges for companies adopting AI: Despite the pressure on customer service leaders to adopt AI, the survey highlights the potential risks:

• Companies investing in AI platforms to replace or expand customer service may face a negative reception from customers.
• Those hoping AI will solve customer service issues may actually drive customers away, with over half considering switching to competitors.

Consumer fears and concerns: Beyond the immediate interaction challenges, the survey uncovers broader consumer fears related to AI in customer service:

• 46% of respondents expressed anxiety over potential job losses due to AI displacing human roles.
• 42% worried about AI providing incorrect information or mishandling customer inquiries.
• 34% cited data security as a significant concern, given the vast amounts of personal data involved.

Implications and potential solutions: To address these concerns and maintain customer trust, Gartner suggests that companies must demonstrate the value of AI-infused customer service journeys:

• AI-powered chatbots should clearly communicate their ability to seamlessly connect customers to human agents when needed.
• The AI-to-human handoff must be efficient, with the human agent picking up where the AI left off.
• Transparency and clear communication about AI’s role in the service experience are crucial for building customer confidence.

Balancing AI benefits and customer preferences: While the allure of cost savings and improved efficiency drives AI adoption in customer service, companies must carefully consider customer preferences and fears. If the survey findings reflect broader consumer sentiment, some AI customer service projects may be short-lived, with customers seeking out more human-centric alternatives.