Kiwis spent 22 million hours on hold last year, but AI may be making inroads

Wednesday, 11 March 2026

AI is improving productivity by reducing the time people are having to spend on hold sorting out issues by phone, survey suggests.

Artificial intelligence is starting to reduce the amount of time Kiwis are spending on hold, waiting to resolve customer service issues, according to a study released today.

The survey commissioned by US-based technology company ServiceNow estimated New Zealanders spent 22 million hours on hold last year, about 9% fewer than in 2024.

“We are seeing companies and government agencies invest in AI and we absolutely can see that there’s an improvement,” New Zealand country manager Kate Tulp said.

She said some organisations were starting to investigate using text-to-voice technology for handling voice calls, which would mean the “service rep” talking to customers in future could be an AI engine, rather than a person.

“There are explorations and pilots, not in production but in a testing mode to make sure that they’re safe and giving the outcomes that that organisation has set as a standard.

“I think that we'll definitely start to see some really interesting things by 2027.”

ServiceNow surveyed more than 34,000 people globally, including 1125 from New Zealand, on their interactions with support services.

About 72% of the New Zealanders surveyed said they preferred to try self-service before calling an agent, the company reported.

Tulp said that suggested attitudes had moved beyond a tipping point.

“Customers believe that engaging with technology will get them a faster outcome and a better quality of service.”

Fragmented technology systems were one of the biggest barriers to better service. Contact centre staff commonly had to consult four different systems to resolve issues, she said.

“AI needs good data and that data can only be useful if those systems are connected.”

Tulp said the goal should not be replacing humans with AI but combining the strengths of both.

“We’re really clear that it’s AI for speed and scale, and people for empathy and complex decision-making,” she said.

“Used the right way, it should mean faster service for customers and a better experience for the people working in those roles.”