
The online retailer's AI transformation was prompted by the realization that they could reduce operational costs by replacing their expensive local workforce with AI bots for customer support. This decision led to a significant drop in operational expenses, but also negatively impacted the quality of service and sales.

AI bots and offshore teams led to a significant reduction in operational costs for the online retailer. However, this came at the expense of service quality and sales, which also declined as a result of the transition. The shift to AI bots and offshore teams impacted customer support, as the local workforce was replaced with less expensive alternatives.