AI is rapidly becoming a vital part of how companies deliver customer service, and it’s changing the game in a big way.
In fact, by 2025, it’s predicted that AI will handle 95% of all customer interactions, including both voice and text. This isn’t just a trend—it’s a complete shift in how businesses are approaching customer support.
With AI, companies are able to provide quicker responses, more personalized experiences, and improve overall efficiency. It’s clear that AI is not just the future of customer service; it’s the now.
What is AI in customer service?
AI in customer service refers to the use of artificial intelligence technology to assist or even fully handle customer support tasks. This can range from chatbots that answer simple questions on websites to more advanced systems that help with complex issues or provide personalized recommendations. Essentially, AI tools help businesses deliver quicker, more efficient service by automating tasks that would otherwise take humans longer to do.
For example, when you chat with a bot on a company’s website, that’s AI at work. It can understand your inquiry, give you a solution, or even route your issue to a human agent if needed. Over time, AI systems are getting better at understanding natural language, making them more effective at handling a wider range of customer service tasks with less human intervention. It’s all about improving the customer experience while saving businesses time and money.
7 effective ways to use AI for enhancing customer service
Here are 7 effective ways to use AI for enhancing customer service
1. Automated customer support with chatbots
Chatbots are one of the most common applications of AI in customer service. They can answer frequently asked questions, guide users through processes, and even resolve common issues without human intervention. This ensures customers get quick responses anytime they need them, freeing up your support team for more complex cases. It’s like having a virtual assistant available 24/7.
2. Personalized recommendations
AI can analyze a customer’s past interactions and behaviors to offer personalized recommendations, whether it’s products, services, or solutions. For example, if a customer has frequently asked about a particular product, the AI can proactively suggest it next time. This not only boosts customer satisfaction but also drives sales by offering tailored suggestions.
3. Sentiment analysis for better engagement
AI-powered sentiment analysis tools can scan customer interactions (emails, chats, social media posts) to gauge how customers are feeling. Whether they’re happy, frustrated, or confused, understanding their emotional tone helps businesses respond appropriately. By recognizing negative sentiment early, you can take action before it escalates into a bigger issue.
4. Self-service portals
AI can power self-service portals where customers can find answers to their questions or solve problems on their own. These portals are typically enhanced with AI-driven search functionalities that can suggest articles, videos, or FAQs based on the customer’s inquiry. This empowers customers to resolve their issues without waiting for a support agent.
5. AI-driven live chat
While chatbots handle simple queries, AI-powered live chat can assist human agents by providing real-time suggestions, responses, or knowledge base articles. It essentially acts as a support tool for your agents, making their work more efficient while ensuring your customers get accurate answers quickly.
6. Improving call center efficiency
AI in call centers can be used to route calls to the right agents, transcribe conversations, and provide agents with instant insights about the customer’s history and preferences. It can also help with analyzing call data to improve performance, detect common problems, and suggest improvements. With AI, call centers can handle higher volumes of calls more efficiently, ensuring that each customer receives the best service possible.
Examples of AI in customer service
1. AI Agents
AI agents are revolutionizing customer service by handling a variety of tasks, from answering basic questions to managing more complex issues. They’re used across multiple channels—whether it’s chat, voice calls, or even on the help site. The best part? AI agents can provide personalized, intelligent, and conversational interactions, all without needing human involvement. For example, if a customer asks a common question about product availability, the AI agent can answer immediately. If the issue is more complicated, the AI can direct the query to a human agent, making the transition smooth and efficient. This automation frees up your human agents to handle only the more difficult cases, improving overall service speed.
2. Summarization
One often overlooked but critical part of customer service is summarizing cases. AI can assist here by generating case summaries quickly and accurately. Whether a customer’s issue is being handed off from an AI agent to a human or when it’s being escalated to a supervisor, AI can capture the essential details of the conversation: recommendations, solutions, and any important points. This significantly reduces the time spent by agents in reviewing past interactions and helps them jump straight into problem-solving. It’s especially helpful when closing cases, as the AI can summarize the entire interaction and make sure nothing is missed, improving efficiency and reducing errors.
3. Personalized recommendations
AI can take customer service to the next level by offering personalized recommendations. By analyzing past interactions and purchase history, AI algorithms can suggest products, services, or solutions tailored to each individual customer. For example, if a customer regularly buys a particular brand of shoes, AI might recommend a new pair based on their previous preferences. Or, if a customer is reaching out about an issue with a product, AI can suggest troubleshooting steps or relevant solutions. These personalized recommendations not only enhance the customer experience but also increase the chances of additional sales and create a more tailored, engaging service experience.
4. Automated ticketing systems
AI can automate the ticketing process by categorizing, prioritizing, and routing customer inquiries to the appropriate department or agent. For example, when a customer submits a request via email or chat, AI can automatically assess the nature of the inquiry (technical issue, billing question, etc.) and assign it to the correct team. This ensures that customers receive faster responses from the right agents without human intervention. It also reduces manual work for the support team, allowing them to focus on more critical tasks.
5. AI-powered voice assistants
In customer service call centers, AI-powered voice assistants can help by answering basic questions and handling routine tasks over the phone. For example, when a customer calls to check the status of their order, an AI voice assistant can pull up the information and give an immediate update. If the issue is more complex, the AI can transfer the call to a human agent with all the context already captured, speeding up the resolution process. These voice assistants can also guide customers through troubleshooting steps or help them navigate automated menus.
7. Real-time language translation
AI-powered language translation tools can be incredibly useful for companies with international customers. These tools enable real-time translation during live chats or even on phone calls, allowing support teams to interact with customers in their preferred language. For example, Google Translate or Microsoft Translator can be integrated into customer service systems, ensuring that language barriers don’t hinder the support process. This improves customer satisfaction by making support accessible to a wider audience.
9. AI-enhanced knowledge base
AI can improve self-service options by enhancing knowledge bases and FAQs. AI-driven systems like AI-powered search engines can understand and interpret user queries more effectively. For instance, if a customer types a vague question into a search bar, AI can provide relevant results from knowledge bases, ensuring they find the information they need faster. These systems also learn from user interactions, continuously improving over time to provide better, more accurate responses.
10. Automated post-service surveys
After a customer interaction, AI can automatically send personalized follow-up surveys to collect feedback. AI-powered systems can analyze the responses in real time, identifying common pain points or areas for improvement. This enables businesses to address customer concerns quickly, improve service quality, and measure satisfaction without having to sort through survey responses manually.
Top 5 AI customer support software
Here are the top 5 AI customer support software for businesses in 2025,
1. Desk365
Desk365 is an advanced AI-powered helpdesk platform built to deliver faster, smarter, and more efficient customer support. Features like the AI Agent and Draft with AI help businesses boost agent productivity while maintaining high-quality, accurate customer interactions.
Key features of Desk365 AI Agent:
- Automated response drafting – AI generates accurate and personalized responses using ticket data, allowing agents to respond quickly without spending extra time drafting messages.Â
- Multilingual support – Translate customer conversations into 15 different languages, enabling businesses to serve a global audience with ease.Â
- Grammar & clarity improvements – AI refines responses by correcting grammar, rewording unclear phrases, and ensuring professional communication.Â
- Summarize ticket – Get quick, clear summaries of ticket conversations to save time and improve efficiency.
- Predictive insights & automation – AI analyzes past interactions to predict common issues and suggest proactive solutions, helping agents resolve problems before they escalate.Â
Desk365’s Draft with AI feature makes customer communication seamless by:Â
- Allowing agents to craft, edit, and refine responses until they are perfect.Â
- Offering options to replace, modify, or manually adjust AI-generated responses for better accuracy.Â
- Helping businesses maintain a consistent and professional tone across all customer interactions.
Pricing:
Lowest Paid Plan: $12/agent/month
Highest Paid Plan: $20/agent/month
Free trial available.
2. Freshdesk
Freshdesk AI is an advanced, artificial intelligence-powered tool designed to enhance customer support and service desk operations. Integrated within the Freshdesk platform, it helps businesses deliver faster and more efficient customer service by automating repetitive tasks, providing intelligent assistance, and offering valuable insights. It enables support teams to provide quick resolutions, reduce response times, and improve customer satisfaction.
Key features:
Freddy AI – Freddy is an AI-powered virtual assistant that automates customer responses, categorizes and prioritizes tickets, and suggests solutions based on historical data.
AI ticket routing & prioritization – Freshdesk’s AI routes tickets to the best agents and prioritizes them based on urgency, keywords, and agent expertise.
Smart ticket categorization – Freddy AI automatically categorizes tickets, speeding up resolution and improving analytics.
AI-powered chatbot – Freddy-powered chatbots provide instant responses, handle FAQs, resolve simple issues, and collect feedback without human intervention.
AI-driven analytics & insights – Freshdesk uses AI to analyze data, offering insights into trends, common issues, and areas for improvement.
Automated response suggestions – Freddy suggests response templates based on past tickets, improving consistency and efficiency.
Sentiment analysis – AI analyzes the tone of customer messages, helping agents prioritize tickets and adjust responses empathetically.
Pricing:
- Growth: $15/agent/month
- Pro: $49/agent/month
- Enterprise: $79/agent/month
3. Intercom
Intercom’s AI-driven chatbot, Fin, is designed to provide natural, real-time customer support in more than 45 languages. By delivering precise answers based on a company’s support content, Fin helps businesses reduce support volumes and improve resolution times. It also minimizes common AI challenges, such as incorrect responses or misleading information.Â
Key features:
- Fin AI compose: Helps customer service agents craft better responses by expanding or rewording messages, adjusting tone, correcting grammar, and translating text into different languages. This ensures messages are professional, clear, and tailored to customer needs.Â
- Fin AI summarize: Generates concise summaries of customer interactions or tickets, enabling agents to quickly understand issues and respond more efficiently.Â
- Fin AI autofill: Automates the process of filling in ticket titles and descriptions, reducing manual work and allowing agents to focus on solving customer concerns.Â
- Easy integration: Fin works seamlessly within Intercom’s support platform, offering a centralized space for handling customer conversations.Â
- Smart learning capabilities: With machine learning, Fin continuously improves over time by learning from interactions, making its responses more relevant and effective.Â
Pricing
- Essential: $39/monthÂ
- Advanced: $99/monthÂ
- Expert: $139/monthÂ
4. Zoho Desk
Zoho Desk is a powerful alternative to Zendesk, offering AI-driven customer support through its virtual assistant, Zia. Zia enhances support efficiency by automating routine tasks, providing smart recommendations, and ensuring personalized experiences for both customers and agents. Additionally, Zoho Desk integrates seamlessly with ChatGPT, maximizing self-service capabilities and reducing ticket resolution times.Â
Key features:
- AI-powered chat assistance – Zia acts as a virtual agent, helping customers through live chat on both web and mobile apps. It can pull solutions from the knowledge base, suggest relevant articles, and notify managers about unresolved issues that require attention.Â
- Sentiment analysis for better prioritization – Zia analyzes the sentiment of each ticket, helping agents understand the customer’s mood and urgency. This allows teams to prioritize critical tickets and respond with more empathy.Â
- Automated ticket tagging & smart categorization – Zia automatically assigns tags to incoming tickets, making it easier for agents to identify similar issues from past interactions. This improves efficiency and ensures faster resolutions.Â
- Smart response suggestions – Zia analyzes ticket content and suggests relevant responses from the Knowledge Base. Agents can select and modify these suggestions to provide accurate and quick replies.Â
- ChatGPT integration for smarter self-service – Zoho Desk’s integration with ChatGPT allows businesses to maximize self-service options. Customers can receive AI-generated responses, reducing the need for human agent intervention while improving customer satisfaction.Â
- Automated ticket routing – Zia can intelligently assign tickets to the right agent based on skills, past interactions, and workload, ensuring fair distribution and faster resolutions.Â
- Anomaly detection & trend analysis – Zia monitors customer support patterns to detect unexpected spikes in ticket volume, allowing managers to address issues proactively. It also provides insights into customer trends to improve long-term service strategies.Â
- Multilingual support – Zia supports multiple languages, making it easier for businesses to provide localized support to global customers.Â
Pricing:
Standard: $14/user/month
Professional: $23/user/month
Enterprise: $35/user/month
5. Zendesk
Zendesk provides an easy-to-use helpdesk solution designed to support both IT teams and customer service departments. Its AI tools are seamlessly integrated into the agent workspace, allowing businesses to deliver faster, more efficient customer support.Â
Key features:
- Smart ticket classification – Zendesk’s AI automatically analyzes and categorizes tickets based on key factors like language, sentiment, and intent. This helps support teams prioritize urgent requests and route tickets to the right agents, ensuring faster resolution times.Â
- AI-powered productivity insights – Zendesk provides real-time AI-driven insights to help businesses optimize their support operations. The system suggests best practices, response improvements, and workflow enhancements to boost agent efficiency and reduce ticket backlog.Â
- Advanced AI writing assistance – Powered by OpenAI, Zendesk’s AI features help agents with summarizing customer conversations, rephrasing responses to sound more professional, and tone adjustments to ensure replies are friendly or empathetic as needed.Â
Pricing
- Suite team: $55/agent/monthÂ
- Suite growth: $89/agent/monthÂ
- Suite professional: $115/month/ user
Things to consider when implementing AI in customer service
Things to consider when implementing AI in customer service
1. Focus on the customer, not just the technology
It’s easy to get excited about what AI can do, but never forget who it’s for — your customers. If the experience feels clunky, impersonal, or frustrating, it won’t matter how “advanced” your system is. AI should make customer interactions smoother, faster, and more helpful, not add new headaches.
2. Be transparent
Customers appreciate honesty. If they’re talking to an AI, don’t pretend it’s a person. Being upfront builds trust and sets the right expectations from the start. Plus, if they know it’s a bot, they’ll be more forgiving when it inevitably gets something wrong.
3. Keep your data clean and current
AI is only as good as the information you feed it. If your knowledge base, CRM, or customer history is a mess, your AI will reflect that. Invest time in organizing and updating your data before you deploy — it’ll pay off in smoother, smarter conversations.
6. Protect customer trust
Privacy and security are deal-breakers. Be crystal clear about how customer data is used and protected when AI is involved. Following best practices and regulations like GDPR isn’t just about compliance — it’s about earning and keeping customer trust.
5. Train your team, not just your tech
AI changes the way service teams work. Instead of answering every routine question, agents might shift toward handling complex problems or overseeing AI interactions. Equip your team with new skills, give them confidence, and show them how AI can actually make their jobs more interesting — not irrelevant.
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