Top 5 Benefits of AI-Powered Chatbots for Customer Service
April 15, 2025
AI is invading every corner of our world at a lightning speed we’ve never seen before. It equips factory robots with intelligent brains to control quality and transport packages with high precision. AI also helps validate documents and transcribe phone calls. And now, it can be present 24/7 to support customer service agents in interacting with customers. So, what benefits can AI give to customer service? How can you use them effectively? You can find out all the answers in this article! But first, let’s see how companies use AI-powered chatbots for customer service in real life.
Top 5 Real-World Examples of AI-Powered Chatbots in Customer Service
Many companies around the world are leveraging AI chatbots to improve their customer service, make their agents more productive, and boost customer satisfaction. Let’s take a look at how the following five companies are using these smart chatbots:
1. Salesforce
A few years ago, Salesforce used Einstein bots to help sales reps handle common problems, automate customer interactions, and offer personalized support. Yet now, the company has moved forward to a new AI-powered chatbot for customer service. It’s called Agentforce.
Inheriting the jobs of its predecessor, Agentforce supports service agents by answering common questions about Salesforce’s products, features, and pricing based on trusted knowledge bases. For example, when we asked about Salesforce cloud services, here’s what it offered:
Further, it can connect you directly with human sales reps and provide personalized recommendations based on your unique queries.
Like Einstein Bots, Agentforce is also integrated directly into the Salesforce CRM. This means that if you leverage Salesforce services, you can customize Agentforce to perform any task, like summarizing customer interactions or updating order contracts for customers.
2. Microsoft
Microsoft offers the Store Virtual Assistant, an AI-powered chatbot for those who visit Microsoft.com and want to look for the company’s products. The chatbot improves customer experience by helping you look for products for your unique needs (like Microsoft 365’s pricing plans for a business team).
Further, it helps you check whether a specific product is in stock, compare product functionalities and pricing plans, and look for promotions. You can also ask the Store Virtual Assistant to locate different Microsoft site resources, from support information and policies to pricing. As the chatbot intends to support product search and chat experience, it only helps with basic inquiries. If you want technical or purchase-related support, it can connect easily with the right person.
3. Zalando
Zalando is an eCommerce fashion and lifestyle platform for the European region. The platform uses the Zalando Assistant powered by OpenAI to help you find the right products and offer fashion-related advice (e.g., how to dress better in sportswear) based on your input queries.
You can access the Zalando Assistant from the homepage, product detail page, or catalogue. Further, your chat history will be available in 20 minutes. So, you can get back to your last chat during this time.
4. Bank of America
Bank of America provides its clients with a virtual financial assistant called Erica to help them spend, save, and plan smarter. You can ask Erica any question about your account, for example, checking account balances, seeing recurring charges, tracking past transactions, or reviewing monthly spending.
Further, you can set up Erica to remind you of scheduled bill payments, credit score changes, and merchant refunds. You may even request a live chat with the bank’s specialist through Erica.
5. Zendesk
Zendesk is a SaaS (Software-as-a-Service) platform that supports your business to manage customer interactions across different communication channels. To offer better, faster customer service, Zendesk has equipped an AI-powered chatbot on its website. Z Bot, a Zendesk AI Agent, answers all your questions about Zendesk’s products, pricing plans, and your accounts. You can attach images or files to help Z Bot better understand your inquiries. In case you want to have a conversation with human sales agents, ask Z Bot for direct connections.
5 Key Benefits of Using AI Chatbots for Customer Service
We’re witnessing the growing demand for AI chatbots and virtual assistants in customer service. One research study predicted that the global revenue of this market will surpass $15 billion in 2025 and continue to grow 25.6% annually in subsequent years. This is an inevitable result of the transformative benefits these AI chatbots bring to us:
1. 24/7 & Immediate Support
Customers now prefer receiving help anytime and anywhere possible, even during off-hours or weekend breaks. But your human agents can’t be available 24/7 to handle all the requests. This increases response time and reduces customer satisfaction, especially when they’re in urgent situations.
That’s why AI-powered chatbots appear as unsung heroes. They never sleep and hardly feel tired, except for maintenance and update times. Therefore, they can instantly solve your customers’ common questions by extracting suitable information from your business’s knowledge base. This allows you to offer continuous service, improving customer experience and driving sales.
2. Increased Efficiency & Productivity
According to Zendesk, 79% of customer service agents believe that having AI-powered chatbots empowers their ability to deliver superior support to customers. Indeed, instead of spending time on answering simple, common questions, human agents leave this repetitive, mundane work to AI assistants. These smart chatbots are trained on your company’s knowledge base and equipped with advanced natural language processing to understand a customer’s input inquiries and find suitable information. This not only connects with your customers all the time and makes them satisfied but also frees up your human staff to focus on more complex, strategic issues.
Besides, these chatbots can now see and understand images or files (like some examples we mentioned above) and even voice commands. This increases their ability to help different people, even including those with disabilities, handle their problems. Hence, it improves customer experience while boosting service efficiency.
3. Cost Savings
In the era where eCommerce is booming (with an estimated $4.32 trillion in 2025), the number of customer inquiries is definitely increasing. This requires businesses to have enough customer service agents to handle. However, this also translates to a cost increase in hiring a human workforce. Not to mention that when new products and information are introduced, your company has to spend on training employees about these new things.
To reduce this operational cost while ensuring high quality service, AI-powered chatbots are effective solutions. With these smart assistants, you don’t need to spend much while processing multiple inquiries efficiently at the same time. Further, these chatbots can automatically update new information from your knowledge base without much training. Therefore, using AI-powered chatbots will significantly reduce costs related to customer service.
4. Data Collection and Analysis
Some AI-powered chatbots can collect and analyze customer data to improve customer service in many ways. By tracking frequently asked questions and inquiries, AI can detect common patterns or trends about your customers’ preferences, needs, and pain points. In other words, it can discover which products your customers are most interested in, what parts of your service are confusing them, and where you need to improve.
For example, you have an eCommerce fashion website. Through the data collected from AI chatbots, you may recognize that your female customers often ask about how to dress elegantly. Your team can use this data to create content (articles or videos) guiding women with different body shapes to dress your clothes. This engages your customers proactively into your website’s products, improving their experience and boosting sales.
5. Personalized Interactions
Also, according to Zendesk, the majority of CX (Customer Experience) trendsetters believe that emerging technologies like AI will help them personalize customer service and enhance customer loyalty like never before. Indeed, chatbots (like Salesforce’s Agentforce), powered by advanced machine learning algorithms, can analyze a customer’s specific inquiries to suggest content, products, or services personalized to that customer. They offer not only on your commercial site, but also customized support for other communication channels like WhatsApp. Playing a role as a personal stylist, an AI-powered chatbot can help your customers find suitable products and make purchases faster.
FURTHER READING: |
1. Chatbot Integration With ChatGPT: A 5-Step Guide |
2. 10 Best Tools to Automate Chatbots for Your Business in 2025 |
3. AI Chatbots in Customer Service: Trends and Future Predictions |
How to Use AI Chatbots Effectively in Customer Service
We can’t ignore the growing importance of AI-powered chatbots in today’s customer service. However, they can’t completely replace customer support agents in human interactions. Zendesk indicated that 67% of customers consider empathy, creativity, and friendliness as the most critical traits leading to successful customer support. Besides, customers will feel satisfied if their feeling is heard first. AI chatbots, despite offering instant, quick answers, still lack these human traits. Therefore, only investing in AI chatbots hardly helps your business achieve effective customer service. Instead, focus on human-AI collaboration. Here’s what your business can do:
- Your business needs to understand what roles human and AI agents should take over in customer service and how both can work together to bring the best outcomes. AI chatbots excel at processing simple requests in real-time, while human agents are in charge of complex situations that require problem-solving and empathy.
- Human agents need to be trained well to use AI chatbots and their data effectively. For instance, they have to read the data these chatbots have already collected and analyzed to better understand customer behaviors and preferences, hence offering appropriate solutions for customers.
- AI chatbots need the ability to route a customer directly to the right person to resolve complex issues they can’t handle. They accordingly should transfer all the conversations and important information to the human agent so that the customer doesn’t need to repeat his/her problem. This ensures seamless communication and improves customer experience.
- It’s crucial to continuously check the training data’s accuracy and the performance of AI chatbots. Like humans, AI offers information based on what it’s taught. If the training data has errors, AI-generated responses may be faulty. Further, if your business updates new information (i.e., about new product lines) without training AI chatbots on that, they can also produce the wrong answers to a customer’s questions. Therefore, regularly checking how your AI chatbots perform and whether their results are accurate helps enhance customer service.
Improving Your Customer Service with Designveloper’s AI Solutions
Do you want to upgrade your customer service with AI-powered chatbots? Let’s let Designveloper help you solve this issue with our top-notch AI development services! Partnering with Designveloper, your company will receive the following benefits for customer service:
Scalable, Custom AI Chatbots
Our excellent team has deep expertise in cutting-edge technologies like AI to build smart chatbots that not only align with your business but also scale up with your growing demands. Your sales reps and customer service agents don’t need to do mundane, repetitive tasks anymore. Let’s leave these jobs for AI chatbots to handle, and your staff can focus more on complex inquiries. Besides, our tailored chatbots can be seamlessly integrated into your current system, ensuring smooth data exchanges and improving customer experience.
Projects Delivered On Time and Within Budget
We adopt Agile approaches (SCRUM, Kanban) to divide your project into small, manageable tasks and focus on the most critical features of your chatbots. Additionally, we use estimation techniques (e.g., Planning Poker or Pomodoro) to estimate the possible timeline and cost, along with tasks that can be done. We also leverage project management tools and strategies to ensure the whole project is on the right track. All these things help us deliver digital solutions on time and within budget, ensuring your planned time to market.
Regular Updates about Work Progress
Do you want to know how everything is going during development? Don’t worry, as we will keep you updated through regular meetings. Accordingly, you can offer feedback, evaluate what needs to be changed in accordance with your needs, and more.
Ongoing Maintenance
For us, deploying AI-powered chatbots is not the end. We provide ongoing support and maintenance to help you debug your chatbot and keep it updated with the best functionalities or technologies. This helps you always reach the full potential of AI-powered chatbots for customer service and deliver the best experiences for customers.
Conclusion
Now, you’ve discovered the benefits of AI-powered chatbots for your customer service. They’re present 24/7 to handle common customer queries. Besides, they help collect data and use machine learning algorithms to recommend personalized content for customers, hence improving customer experience and reducing costs.
However, AI hasn’t reached the level of presenting emotional responses to show sympathy with customers or handling contextual problems. Therefore, human-AI collaboration is always an effective approach to help you achieve the best customer service.
If you want to improve your customer service with AI-powered chatbots, don’t hesitate to contact Designveloper! Let’s discuss your problem further and receive free estimates!
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