Zendesk has released its 2024 Global Holiday Survey, which reveals Australians are increasingly turning to AI-powered chatbots in search of the best deals. Driven by a desire to uncover the best bargains for gift-giving, it found shoppers have become more comfortable with using chatbots, with nearly one-third of respondents more open to using them to complete their holiday shopping compared to the same time last year.

The holiday shopping insights highlights that shoppers aged 18 to 24 years old are the most avid chatbot users, with one in two saying they are likely to use a bot during the upcoming holidays. It isn’t just younger generations turning to AI, however, with shoppers aged 55 and above agreeing one of the top reasons they would use a chatbot during the holidays is to help them find the best deal.

Despite consumers increasingly turning to AI, close to two-thirds (63%) of survey respondents agree chatbots lack empathy and a personal touch, with many expressing a strong preference for more human interactions.

Zendesk country leader for Australia and New Zealand, Kellie Hackney said, “The holiday shopping season can be stressful for many as people search for the best deals and rush to complete their shopping.

“Consumers prefer brands that offer experiences that make shopping simpler and help them get the best value. Many are embracing digital assistants like chatbots, seeking interactions that feel more human. They want to compare products, receive alternative suggestions, and get personalised recommendations whenever they need them. This approach provides a quick and easy shopping experience, ensuring they find great deals this holiday season.”

With chatbot use on the rise, consumers want bots that understand their unique circumstances and are able to deliver personalised interactions, however their experiences are falling short of their expectations.

The insights highlight only 34% of respondents agree chatbots can understand their unique shopping needs with just 37% agreeing they can give personalised recommendations. Furthermore, while respondents agree chatbots can provide suitable product alternatives, only 38% of respondents find that digital shopping assistants are helpful when searching for product information or the best product.

According to the insights, one in two (49%) shoppers agree they would likely shop with a brand again if they received an excellent personalised experience. This finding is particularly pronounced among younger shoppers aged 18 to 24 years old, with 66% more likely to return to a retailer if their experience was uniquely tailored to them.

While consumers are looking for highly personalised experiences, many still express concerns around how their data is being used. The insights reveal 68% of respondents have concerns regarding privacy and data security with just 26% of respondents comfortable with a business storing their data for more personalised chatbot assistance.