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Zendesk unveils AI dynamic pricing for flexible integration

Tue, 12th Nov 2024

Zendesk has introduced a new AI Dynamic Pricing Plan aimed at making AI integration more accessible for businesses by allowing flexible investment allocation between human and AI agents.

Tom Eggemeier, Chief Executive Officer of Zendesk, highlighted that the service sector is anticipated to experience significant automation in the near future. "In just a few years, there will be a massive shift in the amount of service that is automated — we predict 100% of interactions will involve AI. With this in mind, we want to give our customers the freedom and flexibility to adopt AI and automation at a pace that best suits their business needs," he said. "The AI Dynamic Pricing Plan allows our customers to adjust as they learn and refine their approach to service without being constrained to one setup."

A report from Zendesk titled "Future of AI Powered CX" indicates that Australian organisations are expecting a substantial transformation in customer service. More than 90% of leaders foresee traditional methods being replaced by AI-based practices. This transformation is expected to redefine the role of customer service agents, with 74% of leaders anticipating agents handling only complex escalation and support tasks within three years.

Kellie Hackney, Country Leader at Zendesk Australia and New Zealand, commented on the implications for regional CX leaders, saying, "Australian CX leaders are telling us they're excited by the potential of AI and the value it can create for their people and customers. We're already seeing organisations start to experiment and implement it into their customer journeys however we recognise that every organisation needs the flexibility to adopt and scale it in their own time. With the introduction of Zendesk's flexible pricing, organisations now have the ability to adopt and accelerate AI at their own pace in a way that reflects the unique circumstances of their own business - without the cost or complexity of being tied to a traditional pricing model."

The AI Dynamic Pricing model by Zendesk, described as the first of its kind, allows companies to gradually integrate AI into customer service, thus enabling strategic flexibility. Under this model, companies can choose to adjust their use of AI and human agents as per evolving business needs, fostering a customised approach to service provision.

Keith Dawson, Director of Research for Customer Experience at ISG Software Research, remarked on the transformation of traditional pricing frameworks. "The advent of AI and automation has transformed the traditional pricing model, as companies embrace outcome-based pricing that shows a direct link between AI and ROI," he said. "However, as businesses adopt AI, they want to be able to adjust without the potential risk of extra costs or complex commitments. Zendesk's pricing model aligns with the market trend of companies seeking a way to explore AI and automation with the added flexibility."

The introduction of AI Dynamic Pricing follows Zendesk's earlier launch of Outcome-Based Pricing, which charges businesses solely for the successful outcomes that AI agents deliver. This flexible pricing model offers a variety of options allowing companies to ensure a strong return on their AI investments across different pricing models, such as outcome-based and seat-based pricing.

Zendesk aims to continue supporting businesses in their expansion of AI use by offering strategies that break free from conventional limitations, allowing companies to effectively enhance both customer and employee service processes.

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