Nearly half of consumers believe that within the next decade, they won’t interact directly with companies at all, instead relying on AI agents to do it for them. But at the same time, those same consumers are signaling something critical for organizations: when it comes to service and support, human interaction isn’t going away; it’s becoming a premium experience. That tension between efficiency and empathy is emerging as one of the defining dynamics shaping customer experience strategy in 2026.
According to Medallia’s 2026 State of Customer Experience report, businesses are rapidly investing in AI-driven CX to reduce costs, improve speed, and unlock value from growing data sets. But while adoption is accelerating, consumer sentiment is far more nuanced.
The Big Shift: AI for Scale, Humans for Value
Consumers are increasingly comfortable with AI, for most types of interactions.
- More than two-thirds expect AI or automation to handle basic service needs
- Nearly half believe AI agents will interact with companies on their behalf in the future
- But more than three-quarters say human interaction “always” or “often” leads to better outcomes
This is creating a clear bifurcation in CX:
- AI = speed, efficiency, and scale
- Humans = trust, empathy, and resolution for complex issues
For operations that regularly engage with consumers, this distinction is critical. It suggests that not all interactions should be treated equally and not all should be automated.
The Premiumization of Human Support
One of the more striking findings: consumers are willing to pay more for human support. Additional signals reinforce this trend:
- More than 4 in 5 consumers say they are more loyal to companies that prioritize human service
- Consumers express significant concern about losing the “human touch”
- AI failures are far less tolerated: only 7% of consumers are more forgiving of AI than humans
In other words, as AI becomes the default, human interaction becomes a differentiator.
The Execution Gap Still Exists
Even as companies invest heavily in CX and AI, a persistent challenge remains: execution.
- 66% of CX practitioners believe experiences improved last year
- Only 17% of consumers agree
Additionally, 30-to-40% of organizations fail to act on customer insights after collecting them, highlighting a breakdown between listening and doing.
What This Means for Collections & Consumer Engagement
- Segment interactions intentionally: automate low-friction, high-volume touchpoints, but preserve human engagement where outcomes matter most
- Train for empathy as a differentiator: human conversations are becoming a premium experience and expectations are rising
- Use AI to augment, not replace: leading organizations are equipping agents with AI tools, not eliminating them entirely
- Act on data, not just collect it: experience improvements will come from execution, not insight alone
The takeaway: AI is reshaping how consumers interact with companies, but it’s not replacing the need for human connection.
For an industry built on conversations, that shift could be one of the biggest opportunities ahead.
