Generative and agentic AI set to transform customer service into a strategic value driver for businesses

Press contact:
Antara Nandy
Tel: + 91 9674515119
Email: antara.nandy@capgemini.com

Generative and agentic AI set to transform customer service into a strategic value driver for businesses

With less than half of consumers happy with the service they receive and only 16% of agents satisfied with their roles, AI-led transformation can unlock significant commercial potential; but customers still want a ‘human factor’

Paris, March 13, 2025 – Although most consumers say customer service is pivotal in shaping their perception of a brand, less than half (45%) express overall satisfaction with the service they receive. This discrepancy highlights a significant opportunity for brands to enhance their customer service and foster greater loyalty. The Capgemini Research Institute’s latest report, ’Unleashing the value of customer service: The transformative impact of Gen AI and Agentic AI ’, finds that generative AI (gen AI) and agentic AI are emerging as key tools for organizations to make a transformative shift, elevating customer service to a strategic value driver. However, whilst virtual agents are favored for their speed and convenience, consumers overwhelmingly prefer human agents for their empathy and creative problem-solving skills. This indicates that the future of customer service will require a strategic blend of human and virtual agents, enhanced by gen AI and agentic AI.

Customer service remains one of the most powerful tools for driving purchases, encouraging loyalty, and shaping brand perception. In fact, according to the report, almost 60% of consumers view customer service as extremely important in shaping their perception of a brand. However, there’s a need to overhaul the function as both consumers and customer service agents are currently dissatisfied, with only 16% of agents reporting overall satisfaction with their roles, and a majority (65%) of executives admitting low operational efficiencies.

“With over half of consumers prepared to leave a brand due to poor customer service, even if their purchase is good, business leaders now recognize that exceptional customer service is no longer a luxury but a strategic imperative,” said Franck Greverie, Chief Portfolio & Technology Officer and Group Executive Board Member at Capgemini. “Organizations are navigating multiple headwinds, including a lack of call center agent engagement, poor coordination between departments, and outdated legacy systems. Reimagining customer service with gen AI requires businesses to transform their digital solutions, operating model and data foundations; leaders who embrace this change will not only enhance customer satisfaction and operational efficiency but also unlock commercial opportunities for competitive edge in the market.”

Most organizations have implemented or are exploring gen AI and it’s already a gamechanger
According to the research, 86% of organizations have already implemented gen AI, initiated pilots, or started exploring its potential in their customer service functions. The report states that this transformative technology will be key to overcoming multiple challenges, including addressing key customer pain points, improving agent experience and enhancing operational inefficiencies.

Notably, most consumers place a high priority on effective and speedy issue resolution, yet a significant number feel they do not regularly receive it. Prompt responses are also important but often lacking. Among the organizations using gen AI, almost 9 in 10 are either already seeing improved first contact resolution rates or expecting to see this benefit in the future. Similarly, most (89%) are seeing or expecting faster response times, as well as benefiting from or expecting higher agent productivity (85%), and similar proportions are experiencing or anticipating reduced operating costs.

Together, human and virtual agents could provide a seamless blend of empathy and efficiency
According to the report, most consumers (71%) feel that chatbots have improved in quality over the past 1–2 years. With the rapid acceleration of gen AI, there are notable advancements in understanding context, human emotion, and responding with empathy.

Whilst chatbots are valued for speed and convenience, over 70% of consumers prefer human agents for empathy and creative problem-solving. However, this preference varies by age, with younger consumers showing greater inclination towards chatbots and older consumers preferring human agents. Consequently, the traditional customer service function is expected to evolve into a CX center, operated by hybrid teams of human and AI agents.

Less than half of organizations are fully prepared for AI-powered customer service
Despite its strategic importance, only 49% of organizations consider themselves prepared for offering AI/gen AI-powered customer service, indicating the need for a critical shift in operating model, transformation of digital solutions and uplift of their data foundation. Without these building blocks in place, organizations could fail to fully leverage AI as a key transformation lever concludes the report.

For more information or to download the report, visit here.

Methodology

The Capgemini Research Institute surveyed 9,500 consumers, 506 customer service agents and supervisors (315 agents and 191 supervisors) from in-house and outsourced contact centers, and 1,002 executives, at director level or above from large organizations with annual revenue exceeding $1 billion in annual revenue. Surveyed executives belonged to organizations headquartered in countries across North America, Europe, Asia-Pacific (APAC), and Latin America, and operate in 10 industries. The surveys were complemented by interviews with more than 15 industry executives. Capgemini carried out the global survey in November 2024 and December 2024.

About Capgemini
Capgemini is a global business and technology transformation partner, helping organizations to accelerate their dual transition to a digital and sustainable world, while creating tangible impact for enterprises and society. It is a responsible and diverse group of 340,000 team members in more than 50 countries. With its strong over 55-year heritage, Capgemini is trusted by its clients to unlock the value of technology to address the entire breadth of their business needs. It delivers end-to-end services and solutions leveraging strengths from strategy and design to engineering, all fueled by its market leading capabilities in AI, generative AI, cloud and data, combined with its deep industry expertise and partner ecosystem. The Group reported 2024 global revenues of €22.1 billion.
Get The Future You Want | www.capgemini.com

About the Capgemini Research Institute
The Capgemini Research Institute is Capgemini’s in-house think-tank on all things digital. The Institute publishes research on the impact of digital technologies on large traditional businesses. The team draws on the worldwide network of Capgemini experts and works closely with academic and technology partners. The Institute has dedicated research centers in India, Singapore, the United Kingdom and the United States. It was ranked #1 in the world for the quality of its research by independent analysts for six consecutive times – an industry first. Visit us at https://www.capgemini.com/researchinstitute/

Attachments