Call Center AI Market Size, Share & Industry Analysis, By Application (Predictive Call Routing, Journey Orchestration, Quality Management, Sentiment Analysis, Workforce Management & Advanced Scheduling, and Others), By Deployment (Cloud-based and On-premises), By Enterprise Type (Large Enterprises and Small & Medium Enterprises), By Channel (Social Media, Phone, Chat, Website, and Email or Text), By Industry (BFSI, IT & Telecommunication, Retail & Ecommerce, Healthcare, Energy & Utilities, Travel & Hospitality, and Others), and Regional Forecast, 2024-2032

The global call center AI market size was valued at USD 1.60 billion in 2023 and is projected to grow from USD 1.95 billion in 2024 to USD 10.07 billion by 2032, exhibiting a CAGR of 22.7%. North America dominated the global call center AI market share of 36.25% in 2023.

A call center AI is a consumer service operation that uses AI technologies to manage client enquiries, interactions, and tasks through voice and digital channels. This technology automates and improves several aspects of contact center operations, including customer service, data analysis, call routing, and decision-making. It also provides customers with real-time data and suggestions to enhance consumer interactions, leading to better consumer satisfaction and retention. In addition, innovations in AI and M-based technologies to facilitate real-time actionable consumer insight and integration of gesture recognition through AI-based chatbots and IVAs are anticipated to drive the growth of the market. Furthermore, call center AI can examine great volumes of data to classify patterns and trends, enabling industries to make data-driven results to increase their operations and services. However, as a result, call center AI is a powerful tool with the potential to improve the customer experience and operational efficiency significantly. For instance,

• According to the Zendesk Report of 2024, 81% of consumers’ state that the perfect resolution of problems or complaints in contact center AI is responsible for making client data safe. Thus, AI in call center further enhances consumer satisfaction by aiding teams in offering quicker support.

However, the growth of the global market has been propelled by the development of several innovative technologies driven by COVID-19. Improvements in omnichannel solutions, control compliance suite, and quality assurance technology contribute to the increasing adoption of call center AI. Service providers bid advanced contact center solutions that provide a reliable customer experience through all channels to enhance client engagement. Thus, AI in call centers is expected to provide a hyper-personalized consumer experience that would fuel market growth. However, the pandemic has had a significant impact on the market.

IMPACT OF GENERATIVE AI

Leveraging and Incorporating Generative AI in Call Center AI to Increase Operations and Create Market Opportunities

Generative AI has profoundly impacted call center AI by creating more natural and personalized consumer connections. It generates human-like replies, understands nuanced queries better, and familiarizes with numerous communication styles, leading to better client satisfaction and efficacy in call resolution. Additionally, generative AI can examine customer behavior and forecast potential issues, enabling proactive solutions before they even arise. It is used to systematize repetitive tasks, freeing human agents to concentrate on more compound issues, ultimately enhancing productivity and decreasing operational costs in call centers. Thus, this factor boosts the global call center AI market growth.

Call Center AI Market Trends

Advancements in AI and ML-based Technologies to Facilitate Real-time Actionable Customer Insights to Fuel Market Growth

Global organizations are dedicated to investing in ML and AI technologies to increase consumer experience and stay competitive in the ever-changing market environment. AI-enabled solutions have been observed to have wide-scale adoption across numerous applications, including prescriptive and predictive models, bots, search engine optimization, speech recognition, text recognition, and image recognition. Moreover, contact centers across several sectors, including IT & telecom, BFSI, healthcare, and retail, use innovative AI and ML applications to forecast the outcomes and automatically take care of further processes. Thus, AI for the customer service process brings complete balance to the support system. While consumers receive effective solutions, clients fulfil their service promises and release loaded support channels through rush hours. Therefore, this factor is expected to drive the growth of the market.

Call Center AI Market Growth Factors

Increasing Development in AI Technology Across Several Enterprises to Drive Market Growth

With developments in AI technology in recent years, enterprises are now leveraging AI in their client service function, thus shifting their focus from providing customer support services through messages or email to AI-powered chatbots that enhance consumer experience and engagement. In addition, AI can harm contact center agents with robust historical data and insights about a client, allowing agents to provide meaningful up-selling and cross-selling opportunities. Thus, enterprises can leverage AI-enabled virtual agents and chatbots to automate manual and repetitive processes, including balance inquiries, order placement, general inquiries, technical assistance, and other consumer services. Additionally, contact center AI vendor enables businesses to use AI to augment their call centers without the need for deep AI expertise. Therefore, this factor drives the market growth.

RESTRAINING FACTORS

Increased Data Security and Privacy Concerns May Hinder the Market Growth

Ensuring data privacy is the main concern in deploying the AI platform model, where AI-based devices, including ML and NLP, are used. Therefore, these factors slow down the market growth. Furthermore, huge amounts of data are required to build new algorithms and get data about customers to connect with them.  Data privacy and ownership of collected data are the main concerns that risk protecting user’s personal information. Therefore, businesses must stay abreast of the varying guidelines and data-related regulations to safeguard the privacy of the data. Thus, these factors hinder the market growth.

Call Center AI Market Segmentation Analysis

By Application Analysis

Rising Adoption of Predictive Call Routing Solutions among Organizations to Propel Segment Growth

On the basis of application, the market is categorized into predictive call routing, journey orchestration, quality management, sentiment analysis, workforce management & advanced scheduling, and others.

The predictive call routing segment dominates the market by capturing the highest market share and is expected to continue its dominance during the forecasted period. These applications include utilizing machine learning algorithms to anticipate the requirements of visitors and route them to the most suitable department or agent. This adoption can lead to more effective call handling, reduced waiting times and enhanced consumer satisfaction. As AI technologies continue to advance, the extensive adoption of predictive call routing in contact centers improves the customer service experience. Thus, this factor boosts the growth of the market.

Additionally, the sentiment analysis segment is expected to grow at the highest CAGR during the forecast period. It enables call center agents to understand the emotional state of callers during conversations, allowing them to adjust their approach accordingly. Furthermore, this analysis can provide feedback to agents on their interactions, helping them refine their communication skills and better address customer needs. Therefore, these factors boost the market growth.

By Deployment Analysis

Increasing Adoption of Cloud-based Solutions in Contact Center AI to Boost the Segmental Growth

On the basis of the deployment, the market is categorized into cloud-based and on-premise.

The cloud-based segment dominates the market with the maximum global call center AI market share. The cloud segment is rising rapidly as interactive voice response (IVR) solutions for rapidly solving queries over mobile calls are becoming gradually popular. Consumers can use software to resolve product-related issues instead of calling consumer service. Moreover, increased workplace incorporation of innovative systems with remaining ones and a rapid upsurge in demand for the implementation of new call center software are expected to fuel the growth of this segment.

Furthermore, the on-premise segment is expected to grow at the highest CAGR during the forecast period. On-premises AI services and solutions deployment allows corporations and enterprises to modify and implement AI models. On-premises deployment also allows companies to ensure efficient safety and security practices regarding consumer data, further improving the system's safety and proposing a more secure ecological unit to deal with it. Therefore, these factors play a vital role in driving the market growth.

By Enterprise Type Analysis

Rising Adoption of Contact Center Software in Large Enterprises to Boost Segmental Growth

On the basis of the enterprise type, the market is categorized into large enterprises and small & medium enterprises.       

The large enterprises segment dominates the market with the maximum market share. Corporations have accepted the practice of adopting call center software, which has numerous advantages, including increased sales deals, cost-effectiveness, identifying urgent calls, auto-recording, boosting security, and more. Auto-recording permits a manager's cumulative performance calculation over time and delivers feedback as required for performance measurement. In a call-related dispute, paying attention to the recording can aid one in choosing what course of action to take. The above features are anticipated to boost demand for contact center software in large enterprises.

Additionally, the small & medium enterprises segment is expected to grow at the highest CAGR during the forecast period. Adopting call center software has helped many global organizations and small and medium-sized businesses, and call center software is now required at every business level. For instance, ‘Zendesk Talk’ is a prominent software for SMEs. This software aims to increase the complete support process while evading avoidable tasks so workers can concentrate on conversations, solutions, and other serious missions. Thus, agents will have access to the complete client history and extra features, including call recording and automatic ticket creation. Therefore, these factors play a crucial role in driving the market growth.

By Channel Analysis

Rising Interactive Voice Response Technology Across Call Center Locations to Boost Segment Growth

On the basis of the channel, the market is categorized into social media, phone, chat, website and email or text. 

The phone segment is expected to dominate the market with the maximum market share. AI tools, including emotional intelligence, mention consumer service representatives during a call. Call center technology providers could incorporate sentiment analysis to comprehend a customer's requirements, signifying relevant suggestions to consumers. Robust interactive voice response technology can handle multiple call center locations. Moreover, UCaaS and CRM incorporations are expected to be integrated within IVR solutions that would contribute to market growth. Thus, this factor boosts the market growth.

Additionally, the chat segment is expected to grow at the highest CAGR during the forecast period due to its ability to provide immediate assistance, streamline customer interactions, and reduce costs for businesses. Automated chats and video chat are becoming prominent call center technologies. Additionally, social media is expected to gain traction in the coming years, and AI can create social media posts and draft and target social ads. Moreover, it systematizes monitoring and handles consumer enquiries. Due to the growing social media network, AI usage has knowingly abridged human costs and accelerated processes. It has become imperative for corporations to upgrade how customers reach and address their enquiries on social media platforms.  Therefore, these factors play a crucial role in driving the market growth.

By Industry Analysis

Growing Contact Center Applications Among the BFSI Sector Drives Segmental Growth

On the basis of the industry, the market is categorized into BFSI, IT & Telecommunication, Retail & Ecommerce, Healthcare, Energy & Utilities, Travel & Hospitality, and Others.

The BFSI segment held the largest market share in 2023. Implementing AI solutions in the banking industry augments the efficiency and quality of call center interactions, allowing banks to offer better consumer services. The capability of banking applications on smartphones to contact call center agents according to client needs is encouraging banking organizations to deploy AI chatbots and AI voice assistants. This aids them in prioritizing consumer queries, thus decreasing the work of contact center agents and helping them concentrate on more critical consumer queries. Hence, this factor boosts the market growth.

Moreover, the retail & ecommerce segment is expected to grow at the highest CAGR during the forecast period. Retail & ecommerce companies are leveraging AI-powered chatbots and virtual assistants to provide personalized customer support, recommend products, assist with purchases, and handle inquiries efficiently. These AI solutions can handle a large amount of customer interactions simultaneously, leading to a faster response times and improved customer satisfaction. Moreover, this growth is attributed to the consumers' need to understand several features related to order placement, product specifications, and other inquiries related to replacements, refunds, and payments. Thus, this factor boosts the market growth.

REGIONAL INSIGHTS

In terms of region, the global call center AI market is studied across North America, South America, Europe, the Middle East & Africa, and Asia Pacific. They are further segmented into countries.

North America accounts for the largest call center AI market share. The region's highest market share is due to the region's call centers’ rising implementation of contact center AI technologies. The region’s AI services and solutions are extremely operative in most verticals and organizations owing to the growing need to provide businesses with a way to operationalize and get more importance from data assets. The rising adoption of smartphones and technological advancements in call centers have increased adoption across North America. Thus, these factors promote the market growth in the region.

Europe is anticipated to exhibit steady growth over the forecast period. The region is increasingly adopting AI in call centers to enhance customer service, streamline operations, and improve efficiency. AI-powered chatbots and virtual assistants are used to handle routine inquiries, freeing human agents for more complex issues. Additionally, AI analytics tools benefit companies by allowing them to gain insights from customer interactions to improve their services. However, there are also concerns about data privacy and the ethical use of AI in customer service, leading to implementing regulations similar to GDPR to safeguard consumer rights. Thus, this factor boosts the market growth.

Similarly, South America is showing substantial growth in the market due to the increasing adoption of AI in call centers to improve customer service and operational efficiency. Companies in countries, such as Brazil, Argentina, and Colombia, are increasingly leveraging AI-powered chatbots and virtual assistants to handle customer inquiries and support requests. Furthermore, these technologies help reduce wait times, enhance customer satisfaction, and optimize resource allocation. Moreover, as AI technology continues to mature, more businesses in South America are likely to integrate it into their call center operations to stay competitive in the global market. Moreover, the Middle East and Africa (MEA) market is expected to grow in the coming years due to increased investment and government funding for digitization.

List of Key Companies in Call Center AI Market

Market Players to Adopt Merger & Acquisition Strategies to Expand Their Operations Drives Market Growth

Prominent players in the market are actively broadening their global presence by introducing specialized solutions tailored to specific sectors. They are strategically forming partnerships and acquiring local businesses to establish a robust foothold in various regions. These companies are concentrating on creating effective marketing strategies and developing new solutions for maintaining and growing their market share. Thus, the rising demand for call center solutions is expected to create lucrative opportunities for the market players.

List of Key Companies Profiled:

• IBM Corporation (U.S.)


• NICE (Israel)


• Zendesk U.S.)


• BrightPattern (U.S.)


• SmartAction LLC (U.S.)


• Artificial Solutions (Sweden)


• SAP (Germany)


• Oracle (U.S.)


• Avaya Inc. (U.S.)


• Jio Haptik Technologies Ltd. (India)

KEY INDUSTRY DEVELOPMENTS:

February 2024: Wipro Limited launched the Wipro Enterprise Artificial Intelligence (AI)-Ready Platform, which delivers customers an interoperable service that accelerates AI adoption. The partnership with IBM combines Wipro's technology and industry expertise with AI innovation and hybrid cloud to build joint solutions that advance the implementation of reliable, integrated, robust, and enterprise-ready AI solutions.

February 2024: Zendesk declared its acquisition with Klaus. The acquisition of Klaus is a modern addition to the business’s existing WEM solutions, which contains Tymeshift, a recent tool built completely for Zendesk. The acquisition of the WEM portfolio allows businesses to have the best AI-powered automated quality assurance in the market.

February 2024: Bright Pattern declared a partnership with Grupes, the innovative certified contact center software partner in EMEA, to offer the most robust and cooperative industry solutions for industries and financial marketrooms. The partnership offers client experience through the consumer journey while providing world-class quality with the services and tools.

October 2023: IBM and the EY Organization declared the introduction of EY.ai Workforce, an HR solution that aids organizations in assimilating artificial intelligence (AI) into their HR corporate processes. Launching a solution marks an essential next step in the partnership between businesses and an important milestone in the role of AI in growing productivity within the HR function.

September 2022: IBM Corporation declared acquisition with Dialexa, an innovative digital product engineering service firm, to aid companies in driving innovation and achieving their digital growth outlines. The acquisition within the firm deepened IBM's product engineering skills and provided end-to-end digital transformation services for customers.

REPORT COVERAGE

The report provides a detailed analysis of the market for call center AI and focuses on key aspects such as leading companies, product/service types, and leading applications of the product. Besides, the report offers insights into the market trends and highlights key industry developments. In addition to the factors above, the report encompasses several factors that contributed to the growth of the market in recent years.

Report Scope & Segmentation

ATTRIBUTE	DETAILS
Study Period	2019-2032
Base Year	2023
Estimated Year	2024
Forecast Period	2024-2032
Historical Period	2019-2022
Growth Rate	CAGR of 22.7% from 2024 to 2032
Unit	Value (USD Billion)
Segmentation	By Application Predictive Call Routing Journey Orchestration Quality Management Sentiment Analysis Workforce Management & Advanced Scheduling Others (Call center reporting and others) By Deployment Cloud-based On-premises By Enterprise Type Large Enterprises Small & Medium Enterprises By Channel Social Media Phone Chat Website Email or Text By Industry BFSI IT & Telecommunication Retail & Ecommerce Healthcare Energy & Utilities Travels & Hospitality Others (Government and Education) By Region North America (By Application, By Deployment, By Enterprise Type, By Channel, By Industry, and By Country) U.S. (By Industry) Canada (By Industry) Mexico (By Industry) South America (By Application, By Deployment, By Enterprise Type, By Channel, By Industry, and By Country) Brazil (By Industry) Argentina (By Industry) Rest of South America Europe (By Application, By Deployment, By Enterprise Type, By Channel, By Industry, and By Country) Germany (By Industry) France (By Industry) Italy (By Industry) Spain (By Industry) Russia (By Industry) Benelux (By Industry) Nordics (By Industry) Rest of Europe Middle East & Africa (By Application, By Deployment, By Enterprise Type, By Channel, By Industry, and By Country) Turkey (By Industry) Israel (By Industry) GCC (By Industry) South Africa (By Industry) North Africa (By Industry) Rest of the Middle East & Africa Asia Pacific (By Application, By Deployment, By Enterprise Type, By Channel, By Industry, and By Country) China (By Industry) India (By Industry) Japan (By Industry) South Korea (By Industry) ASEAN (By Industry) Oceania (By Industry) Rest of Asia Pacific