Salesforce says AI is helping save $100M every year
What's the story
Salesforce, one of the world's largest software companies, has revealed that it is saving around $100 million a year by using artificial intelligence (AI) in its customer service operations. The announcement was made during the company's annual Dreamforce conference in San Francisco. Salesforce has started using AI tools to automate tasks previously handled by human customer service agents. These include answering common queries, resolving basic problems, and assisting in early sales stages.
AI adoption
AI tool adopted by over 12,000 businesses
Salesforce is using its own AI platform, which has been adopted by over 12,000 businesses. Reddit is one such company that has used the tool and reduced its customer support resolution time by a whopping 84%. The automation of customer support processes has enabled Salesforce to cut down on the number of human agents it needs to employ.
Cost benefits
AI can respond faster, handle more queries simultaneously
Salesforce CEO Marc Benioff has said that the shift to AI has helped the company save about $100 million annually. He also noted that AI can respond faster, handle more queries simultaneously, and doesn't require breaks. This makes it cheaper and more efficient for many routine tasks. The technology has also helped Salesforce reach customers who were previously not getting follow-ups from employees, opening up about $60 million worth of new business opportunities.
Market impact
Shift hasn't been all positive for Salesforce
Salesforce's move to adopt AI in its operations is a clear sign of how the technology is changing the way big businesses operate. By showing its own savings, Salesforce is also trying to convince other companies to buy its AI tools. However, the shift hasn't been all positive as the company has cut thousands of customer support jobs since rolling out AI. Despite its heavy investment in this technology, investors remain cautious with Salesforce's stock falling 27% this year.