Kim.cc, an AI-driven customer support platform serving more than 200 e-commerce brands worldwide, has released its AI Customer Support Sentiment Report based on a June 2026 survey of 1,000 consumers across the United States. The report highlights a growing consensus among customers regarding the appropriate role of artificial intelligence in customer service and where human assistance remains indispensable.

One of the report's most significant findings is that 35% of respondents experience immediate frustration when they discover they are interacting with an AI-powered support system. While consumers generally appreciate AI handling straightforward inquiries such as order tracking, delivery updates, and frequently asked questions, they continue to prefer human representatives for situations that require empathy, critical thinking, or nuanced decision-making.

Key findings from the survey include:

"Customers are not opposed to AI in customer service," said Sachin Jaiswal, Founder and CEO of Kim.cc. "What they reject are poor service experiences. Brands must strike the right balance by combining AI efficiency with human expertise. Customers appreciate automation when it helps them save time, but they also expect the option to connect with a real person when situations require it."

The findings suggest that businesses should adopt a blended customer service model that combines automation with human support. Consumers value AI for handling simple, repetitive requests because it improves speed and efficiency. However, they do not believe AI should completely replace human interaction.

By automating routine and low-complexity inquiries, companies can free their customer service teams to focus on more sensitive, complex, and context-driven issues where human judgment and empathy remain essential.

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Americans Feel Customer Service is Declining, But Younger Generations Remain Hopeful
Nearly half of U.S. consumers believe customer service is deteriorating, according to GoDaddy’s latest Consumer Pulse survey. Despite this growing concern, younger generations—namely Gen Z and Millennials—maintain a more positive outlook than their older counterparts.

GoDaddy surveyed 1,500 Americans and found that only 20% felt customer service had improved recently, while 42% reported a decline in service quality. Among Gen X and Baby Boomers, skepticism was more pronounced, with just 12% saying things had gotten better and 46% stating service had worsened.

In contrast, 29% of Gen Z and 31% of Millennials believe customer support is improving, indicating a more optimistic view among younger shoppers.

“There’s a notable generational gap here,” said Amy Jennette, GoDaddy’s Small Business Trends Expert. “Younger customers tend to be more forgiving and are willing to give companies a chance—but their expectations around speed, friendliness, and flexibility are higher.”

Older generations, however, are less tolerant, often frustrated by impersonal experiences or limited access to live support. Jennette emphasized that companies must recognize how delicate customer trust can be and take action to preserve it.

Key Takeaways from the Survey:

Opportunities for Small Businesses
Despite these concerns, the survey also reveals promising opportunities for small businesses to differentiate themselves. A significant 68% of consumers expect small businesses to match large companies in professionalism and digital security. Customers also appreciate flexible return policies and a fast response when issues arise—clear signals that a company prioritizes its customers.

“Small businesses can strengthen relationships by being responsive,” Jennette noted. “Even those with small teams can use modern AI tools to enhance their service capabilities.”

GoDaddy Conversations: Helping Small Businesses Stay Connected
Managing day-to-day operations can make it hard for small business owners to maintain consistent communication with customers. Tools like GoDaddy Conversations offer a solution—this all-in-one platform consolidates messages from live chat, social media, and email into one convenient inbox.

With GoDaddy Conversations, businesses can respond promptly, personalize communication, and build trust—no matter how their customers reach out.

Click here to know more about GoDaddy's full suite of products to help businesses grow.