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Australian businesses are optimistic about AI’s potential to elevate customer experience (CX) but lack of capacity and capability may make it challenging for them to achieve the results they’re seeking in the short term.

That’s according to research commissioned by Kytec, a leading systems integrator delivering and managing a full suite of IT, CRM and customer experience solutions. The study, recently conducted by strategic advisory firm, Nature, surveyed 306 Australian employees involved in customer experience (CX), customer relationship management (CRM) and artificial intelligence (AI) initiatives across medium and large organisations.

The findings revealed strong ambition and growing investment in AI-enabled CX but also a widening gap between ambition and operational readiness.

Some 85 per cent of organisations already have, or are developing, clear AI goals for CX and 69 per cent expect their CX technology budgets to increase in 2026. Hopes are high, with 58 per cent of respondents stating they are very confident they will achieve their AI ambitions and 78 per cent expecting AI systems will deliver accurate, reliable results.

However, the survey findings revealed a clear capability lag: 49 per cent of organisations remain in the early stages of AI maturity and just 16 per cent have achieved a unified view of the customer. Only one in five employees feel their workforce is very prepared for increasing AI use.

A wave of AI investment is likely to build over the next 12 months, with 69 per cent of survey respondents stating they expected their CX technology budgets to increase in 2026.

“We are seeing - and the research supports this - strong demand for AI-based productivity capabilities that assist human agents supporting their customers. However, the implementation of true agentic AI capabilities is still very limited, and that’s where the major benefits will ultimately be unlocked,” said David Okulicz, CEO of Kytec.

“Unfortunately, many organisations are still caught up in building the foundational elements required to reach their AI ambitions. Our view is that more focus should go into implementing possible use cases now, while the foundations for more advanced capabilities continue to be developed.”

David Okulicz, CEO of Kytec

While enhancing service quality and consistency is the chief driver for 46 per cent of businesses, the survey found that it’s trumped by an even more pressing imperative: speed and efficiency.

This is the primary goal for 56 per cent of survey respondents, closely followed by reduced operational costs at 49 per cent.

This indicates many organisations are currently approaching AI primarily as a tool for operational efficiency rather than as a strategic driver of customer experience transformation.

Businesses are deploying AI to reduce call handle times and improve operational metrics. Revenue growth ranks lower on the priority list than efficiency, with just 31 per cent of businesses seeking to differentiate their brands via deeper personalisation.

Workforce readiness is also likely to prove a constraint for many businesses as they move from project planning to execution phase.

Employees’ feelings are mixed: more than 60 per cent report concerns about the growing use of AI in their roles, and just one in four are very confident their organisation has the capability to fully leverage AI in customer experience.

Only 20 per cent of employees feel their workforce is very prepared for the increasing use of AI while around the same number feel their workforce is not prepared at all.

The fear that using AI in customer experience will damage, rather than elevate, customer trust and confidence is a concern for 51 per cent of employees, with 41 per cent flagging the risk of damage to brand and reputation.

Lack of information appears to be contributing to this confidence gap. Just over a third of businesses have communicated their AI strategies to their teams and updated job descriptions and responsibilities to reflect the technology’s adoption.

While 44 per cent have cited employee readiness as their chief scaling barrier, less than half currently provide AI training.

“Within CX - particularly in the contact centre - CCaaS platforms already have the capability to deliver agentic AI ‘out of the box’. The key is identifying and building the right use cases to take advantage of it,” said David Okulicz, CEO of Kytec.

“Not every use case will be ready immediately due to challenges around data unification and integration. However, organisations should focus on simpler use cases first. These can help drive progress on data unification while also building confidence in AI and the capabilities of their teams.

Ultimately, success will depend on execution rather than aspiration. The challenge now isn’t ambition - it’s identifying the right use cases that will drive the integration and readiness activities needed to scale.”

To explore the full findings and insights, download the AI-Driven CX Trends Australia 2026 research report here: https://go.kytec.com.au/AI-Driven-CX-Trends-Australia-2026

About Kytec

Founded in 2006, Kytec is a leading Australian systems integrator and managed service provider helping organisations turn technology into a driver of business growth. Our certified experts simplify complexity by designing, deploying and managing solutions across contact centre, collaboration, network, security and cloud. Backed by partnerships with world-class providers such as AWS, Salesforce, Cisco , Salesforce, Genesys and Zoom, we deliver solutions that are secure, scalable and outcome-driven.

Trusted by more than 400 organisations nationwide across healthcare, education and telecoms industries - Kytec helps clients overcome challenges, unlock efficiencies and keep their operations moving forward. For further information please visit: https://www.kytec.com.au