In a strategic shift towards smarter customer support, IKEA has deployed its AI chatbot, Billy, to manage a large share of everyday customer interactions while enhancing its service model.
The chatbot is now handling over 50% of customer queries, including tasks like order tracking and providing product information. This has helped reduce workload on support teams and improved efficiency without removing the human element from customer service.
At the same time, IKEA has taken a different approach for more complex needs. For queries that require deeper expertise, such as interior design advice, the company has retrained its support staff to work as paid consultants.
This transition has not only helped retain jobs but also opened up a new revenue stream. In its first year, the initiative generated nearly €1 billion in additional income by turning specialised knowledge into a paid service.
The move highlights how automation can streamline routine tasks while allowing human workers to focus on higher-value roles, creating a balanced and more effective customer experience.
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