AI More Expensive in the Longrun: Customer Experience

Let me paint a picture for you: It’s a typical Tuesday just after closing – say 5:30 – and one of your customers calls in with a real concern about their order. They’ve been almost exclusively using you for the past few years, they trust what you do, and they’re likely to give you more business. But instead of reaching a person, they end up with a bot that mangles their name, cycles them through useless prompts, and finally says something like, “Sorry, I didn’t get that.” They hang up irritated—and that might be the experience that pushes them somewhere esle.

This kind of thing is becoming more prominent as more compaies are choosing to use AI services to replace traditionally human-centric experiences. The appeal is obvious: it can trim your operating costs. But what the advertising often skips is that if AI starts turning off your customers, the damage over the long haul can far outweigh those initial savings.

The Initial Appeal of Going Automated

Answering services handle the straightforward stuff well—taking messages, setting appointments, and directing basic inquiries. They don’t take days off, they scale up to match your call volume, and they’re a lot less expensive than in-house staffing methods. For a small operation or one with consistent after-hours volume, it’s a smart move. And the appeal of AI answering services seem to bootstrap onto that by suggesting even cheaper prices (theoretically).

Many businesses have jumped in feet first to the AI rush, with startup software-as-a-service options popping up everywhere promissing the stars and more. The same “solutions” have popped up for answering services and customer support options too. Look at Klarna back in 2023—they replaced 700 human agents with chatbots and highlighted the efficiency gains. Others followed, assuming faster and cheaper would keep satisfaction high.

Where It Starts to Backfire

The issues crop up when real people with actual problems call in.

Customers aren’t just looking for quick facts; they want to feel understood. AI often stumbles on accents, nuances in tone, or anything not in its playbook. It can’t sense frustration or provide that genuine support during a billing issue or a delicate matter. In the end, people end up feeling like they’re talking to a wall.

The numbers tell the story:

Roughly 79% of Americans prefer dealing with a human for customer service.
About 75% want a person involved when things get complicated.
And 64% would rather companies drop AI from support altogether.

The repercussions? A single frustrating AI interaction could prompt 70% of customers to switch brands. We already see U.S. businesses losing around $75 billion yearly from subpar service. That money slips away when callers feel ignored.

Lessons from Real Experiences

Some stories drive the point home:

Klarna’s heavy AI shift led to more complaints and declining satisfaction. By mid-2025, they were bringing back human agents to steady the ship.
Air Canada’s chatbot gave incorrect bereavement fare details to a grieving customer. The airline tried to back out, but a tribunal held them accountable for the bot’s error.
Delivery company DPD had a chatbot malfunction that resulted in it swearing at customers in exchanges that spread like wildfire online.
Even apps like Duolingo and some nonprofits faced pushback and boycotts after emphasizing AI over human help.

These are reminders that removing the personal element from important interactions can erode trust in a hurry.

What You Get with Real Customer Suport

A skilled live operator goes beyond logging a message. They build a connection quickly, pick up on tension and ease it, ask the right questions, and represent your business with authentic professionalism. This approach delivers tangible benefits: stronger customer retention, better reviews, deeper loyalty, and higher value from each relationship over time. And I’d venture to say that even a partially trained human will subconsiously result in a better experience than an acceptable AI interaction.

At Answering Specialists Inc., we’ve been providing real human interactions since the 1980s. Every call is handled by a real, U.S.-based operator fluent in English—no automated voices, no endless menus, no binding contracts. We charge per call, not per minute, so we have an incentive to value your wallet and your customer’s time. Our team acts as a seamless extension of yours, whether it’s a simple note or managing a detailed request.

And we offer some of the most affordable rates you’ll find for telephone answering services, all while maintaining that high level of quality.

A Wiser Approach Moving Forward

I’m not saying AI has no role. It can be useful. But relying on it entirely for your primary line? That’s risking the relationships that sustain your business.

Before getting an AI service, consider this: What’s the true cost of losing even a handful of customers who feel dismissed? Or missing out on the positive word-of-mouth from someone who felt truly valued?

Your phone line is frequently the main personal touchpoint with customers. Don’t let it become the spot where loyalty fades.

If you’re interested in giving your callers the service they deserve, let’s talk. Reach us at (866) 503-7025 or head to https://answeringspecialists.com. No commitments, no hidden fees—just real people handling your calls as if they were our own.

Your customers—and your business—will be better for it.