Thursday

21-05-2026 Vol 19

Automation in Customer Service Is Here. Here’s How Leaders Can Prepare

Customer service as we know has always been defined as this: a company employs workers to assist and support its clientele. It refers to the basic idea of prioritizing the customer experience, whether that means responding to questions, selling a product, or troubleshooting processes.

Traditionally, customer service also involved collaboration from both the employee and the consumer. If a customer wanted to buy an item from a retail store, it was their job to seek support from the workers at the register. If a family planned to eat at a restaurant, it is the server’s responsibility to take care of their needs. At its core, customer service usually meant an equal exchange of both parties.

A New Kind of Service

Yet today, artificial intelligence is slowly changing the dynamic of customer service. While previously, it has always been human-centered, the rise in automation has completely redefined what it means to serve in any work space.

“By 2029, customer service as we know it will look completely different,” warns Brian Sathianathan, CTO and Co-Founder of Iterate.ai

Customer service will transform in the next few years because of AI’s capabilities to handle a certain level of work. With the help of agents and chatbots, AI in customer service has the capacity to streamline experiences that humans simply cannot do on their own. With skills like interpreting complex data, uncovering skeptical patterns, or even operating 24/7, AI works in a matter of minutes to help get tasks done.

For every business, AI integration is undoubtedly encouraging. Repetitive duties can finally be accomplished more efficiently, while humans themselves will have more freedom to focus on other priorities. On the customer side, no longer would they have to wait on employees to get the service they need.

Everyday, AI’s presence in this space proves to be working. In one recent report, it found that about 69% of consumers prefer to use AI-powered self-service tools for quick issue resolution, showing growing comfort with AI agents. Meanwhile, 75% of customer inquiries can now be resolved with AI, without the need of human intervention.

It is true that this is the shift we are seeing across every sector of the industry. But as this trend continues to evolve, it is important to recognize where humans play a role in this new era.

Sathianathan puts it like this, “If AI can autonomously resolve 80% of common issues, it will fundamentally reshape the customer support job market. Routine, transactional roles will decline, but new opportunities will emerge for specialists who manage, train, and optimize these systems. Human agents will evolve into ‘customer experience strategists,’ handling complex emotional interactions, product escalations, and relationship management that machines can’t replicate.”

How Leaders Can Keep Up

If businesses want to succeed, Sathianathan implies the key will be how employers can adapt to these emerging technologies. That could look like anything from investing in training programs, rearranging responsibilities, or hiring experts who can add value among these changes.

Sathianathan adds, “The real challenge for business leaders will be reskilling teams fast enough to keep pace with that transformation.”

Importantly, the future of customer service isn’t about humans versus machines, but about how employees are elevated by automation. Customers still want the personable interaction, especially when AI falters or misinterprets certain scenarios. This means that AI should handle the speed and scale, but humans must handle the emotion when it is necessary.

By putting both humans and machines at the forefront, this is what technologists believe is the best approach to work. AI delivers routine tasks, while the people oversee the overarching picture.

Modern Work As We Know It

Like any new technology, AI is advancing quickly and shifting how people come into work everyday. Modern workspaces will never look the same, and that is especially evident in the customer service field.

In a world where AI surrounds us all, customer service teams are in for an exciting treat. In the next few years, it will be interesting to see how companies and AI handle workflow together.

Headlines Team