Posted on May 9, 2025 by Danny Snow
From guest blogger, Danny Snow.
The big question on everyone's mind lately is whether AI will replace human jobs, particularly in customer service.
I think we should be asking a different question altogether: Should AI replace customer service?
The answer, based on recent data, is a resounding no.
I recently came across a survey done by Kinsta (https://kinsta.com/blog/ai-vs-human-customer-service/) that revealed some eye-opening statistics that every business owner needs to pay attention to:
• 94% of customers prefer human interaction over AI
• 50% would consider switching companies if they over-relied on AI
• 41% would willingly pay more for human-centered service
• 78% reported faster issue resolution when dealing with actual people
I’m guessing that many (if not all of you) have spent time interacting with a company’s AI at one point or another. I truly dislike it, and the worst culprit I’ve experienced is in the airline industry. Unless you have an elite status with one of them, it can be rather challenging to get a human on the phone.
I’ve spent hours texting with their AI and messaging through their site, and more often than not, I grow frustrated and give up before I’m able to resolve my issue.
While these companies try to make their AI sound human, it’s obvious and often leads to frustration rather than resolution.
We all know that companies implement AI primarily as a cost-saving measure, even though they attempt to disguise it as "enhancing customer experience."
But here's the truth: when half of your customers are willing to walk away due to excessive AI adoption, those initial savings could turn into significant losses down the road.
It’s leading companies like Klarna, a payment processing company, to walk back their AI customer service push from a couple of years ago when they replaced 2/3 of their human customer service team. Their CEO, Sebastian Siemiatkowski, even put out a statement saying, “We just had an epiphany: in a world of AI nothing will be as valuable as humans.”
This shift in customer preference creates a unique opportunity. Companies that maintain strong human elements in their customer service while strategically implementing AI could find themselves with a significant competitive advantage.
Now don’t get me wrong. There are plenty of amazing uses for AI so the point of this is not about avoiding AI altogether.
It's about finding the sweet spot where technology enhances rather than replaces human interaction.
The key lies in understanding when to use AI and when to keep the human touch. AI can be incredibly powerful for:
• Processing large data sets
• Handling routine inquiries
• Supporting customer service representatives with information
• Streamlining basic processes
But when it comes to:
• Complex problem-solving
• Emotional situations
• High-stakes decisions
• Relationship building
Nothing beats human interaction.
Step 1: Embrace the Hybrid Approach
✓ Keep your core customer service team human
✓ Use AI as their sidekick, not their replacement
✓ Let AI handle the boring stuff (data entry, basic FAQs)
✓ Save your people for the moments that matter
Step 2: Make Human Contact Easy
✓ Provide clear "talk to a human" options
✓ No more "hide the phone number" games
✓ Train your team to handle the complex stuff
✓ Create multiple channels for human contact
Step 3: Create the "Wow" Moments
✓ Empower your team to make judgment calls
✓ Allow for personality and humor in interactions
✓ Enable quick decision-making for customer satisfaction
✓ Celebrate and share success stories
Will AI replace customer service? Hopefully not.
Should it? Absolutely not.
The future of customer service isn't about choosing between AI or humans. It's about creating a thoughtful blend that puts customer needs first.
At Snow & Associates, we specialize in guiding organizations to elevate their customer service standards, helping teams craft experiences that not only meet but exceed customer expectations, fostering loyalty and satisfaction. If you’re ready to embark on a transformative customer service journey, we’re here to help you every step of the way. You can reach out to us anytime at https://snowassociates.com/contact.
If you’d like to read more articles by Danny Snow, be sure to check out the following;
What are the Key Qualities of Good Customer Service? - https://snowassociates.com/blog/what-are-the-key-qualities-of-good-customer-service
How To Have Fun At Work: Practical Tips For A Happier Workplace – https://snowassociates.com/blog/how-to-have-fun-at-work-practical-tips-for-a-happier-workplace