AI lifts customer service satisfaction as global happiness falls

NiCE has released the findings of its 2025 Global Happiness Index, highlighting a contrast between a general decline in global happiness and a reported improvement in customer service satisfaction, largely attributed to the impact of artificial intelligence.

The research, which surveyed 12,000 consumers from the United States, United Kingdom, Australia, Japan, Mexico, and Brazil, as well as 270 C-suite executives from large enterprises in the US and UK, found that global happiness dropped by almost 10 percentage points, from 66% in 2024 to 58% in 2025. At the same time, satisfaction with customer service rose by 5 percentage points year over year, reaching 41%.

According to the report, 72% of consumers now say they benefit from AI and automation in customer service. The study also found that trust in AI is rising, with 69% of consumers indicating they trust companies using AI as much as, or more than, those not using the technology.

Among consumers who reported greater trust in AI-powered companies, 62% said they feel happier with customer service and 72% said they feel happier overall. This sentiment was particularly strong among regular users of AI, with 74% of those interacting with AI weekly or daily stating that it has improved their customer service experience.

Despite these findings, the report identified a disconnect between business leaders' concerns and customer attitudes. While 37% of C-suite leaders fear that consumers do not trust AI, the survey indicates that the majority of customers do not share this scepticism. Business leaders also overestimate consumer preferences in certain areas, believing that 24/7 availability is most important, whereas consumers actually prioritise speed of resolution.

Use of AI in customer service is a top priority for business leaders, with 68% of surveyed C-suite respondents identifying it as their main area for investment. However, only 44% report feeling very prepared to manage the transition to AI and automation, and just 37% of C-suite leaders overall feel very well equipped to oversee these changes.

The research also pinpointed a gap between executive priorities and customer expectations in the UK. Just 23% of UK C-suite leaders prioritise investment in human support, such as hiring or training, despite 47% of British consumers naming the inability to speak to a real person as their greatest frustration with customer service.

Omer Minkara, Vice President and Principal Analyst at Aberdeen, commented on the findings: "Rising customer service happiness shows consumers want more than transactions, they want meaningful support when it matters the most. In uncertain times, exceptional service and the ability to cultivate happiness - not just satisfaction – becomes a powerful value-add that sets brands apart."

David Richie, Head of Customer Experience at SSE Airtricity, also addressed shifting expectations: "The truth is that our customers also use Google, Amazon, Netflix, and TikTok, so their expectations of AI-powered experiences are high. We're making great strides with new technologies that deliver richer insights and smarter feedback, shaping our strategy for what's next. Over the coming months, we will accelerate into new areas with agentic AI, virtual assistants, and smarter data insights. This is the beginning of an exciting journey."

Jeff Fawcett, Director, Call Centre & Training at Wine Country Gift Baskets, reflected on the practical impact of AI: "The last twelve months feels like a tipping point for AI and customer service – we've moved beyond theory and today, there's a lot of hard, measurable data that is showing how AI is actually working in the real world, whether it's reducing talk time, reducing staffing needs, or reducing training requirements. Looking ahead, I'm excited by the possibilities of NiCE's CXone Mpower Copilot in speeding up seasonal onboarding and improving overall experience- ensuring agents feel better prepared, while customers feel they are in safe hands."

The report revealed that consumers value stress-free service (41%), effortless service (31%), and personalised service (28%) as top contributors to positive customer experiences. Additionally, automation was seen as desirable for certain tasks, with 38% of respondents wanting automated processes for cancelling or changing subscriptions, 29% for hotel check-ins and check-outs, and 28% for cancelling accounts after bereavements.

Willingness to pay extra for improved customer service experiences was another area of focus. Over half (53%) of consumers said they would spend more for enhanced experiences, with the average monthly spend for an AI assistant to manage customer service needs at USD $35, rising to USD $39 in the US and nearly USD $50 among younger US consumers. The survey found regional differences, with Brazilian respondents most likely to pay extra and British respondents least likely. Executives were found to overestimate consumer willingness to pay, expecting a 76% premium, which is 23 points higher than the reality.