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Unpacking AI agent pricing: Resolution-based vs. conversation-based models

Mike Lidin
Senior Director, Customer and GTM Activation

AI agents have moved from experimental pilots to permanent fixtures in modern customer service teams. They’re resolving inquiries faster, scaling across channels, and helping companies cut costs without sacrificing the customer experience.

But there’s one area where clarity still lags behind: pricing .

As businesses get serious about AI customer service, they’re asking: How should we be paying for this? And more importantly: What are we actually paying for?

Most vendors today offer one of two models: resolution-based or conversation-based.

At first glance, both sound fair. But dig deeper and the differences become more than technical, they shape how you scale, what you can measure, and how your ROI unfolds over time.

This post breaks down the two models, where each one falls short or stands out, and how to choose the right pricing structure for long-term scalability.

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What is AI customer service agent pricing?

AI customer service agent pricing refers to how AI platforms charge businesses for automated customer interactions across chat, voice, and digital channels.

These AI customer service agents—sometimes called conversational AI or AI voice agents for customer service—handle customer inquiries, automate resolutions, and reduce human workload.

Pricing models determine whether you pay for usage (conversations handled) or outcomes (resolutions achieved), and the structure you choose directly impacts cost predictability, scalability, and ROI.

Why AI agent pricing feels more complex than it should

Pricing confusion in this space isn’t accidental. It’s a legacy of the human agent era, where cost was tied to headcount—seats, shifts, and hours worked.

AI flips that logic. Now, we’re measuring outcomes instead of effort. But many pricing models haven’t evolved to reflect that shift. Some vendors still use fuzzy definitions to inflate performance metrics, and others hide complexity behind language that seems clear, but rarely is.

That lack of transparency makes it difficult for enterprise teams evaluating AI for customer experience to compare vendors or accurately forecast long-term automation costs.

So let’s simplify things.

AI customer service pricing models: Resolution-based vs. conversation based

You’ll see different labels in the market, but nearly every AI agent platform pricing model boils down to one of these:

  1. Resolution-based pricing: You’re charged every time your AI agent “resolves” a conversation. The logic here is performance-based: you only pay for results. But the catch is how “resolution” is defined. More on that soon.
  2. Conversation-based pricing: You’re charged based on how many conversations your AI agent handles, regardless of outcome. It’s a simple consumption model that measures usage, not performance.

At face value, resolution-based pricing seems like the more efficient model. But in reality, that promise often falls apart when you put it into practice. Here’s how to evaluate the two models using four key decision criteria.

13 questions to ask before paying for automated resolutions

We put together a list of 13 essential questions to help you understand how the vendor is defining resolutions, what to consider before choosing an resolution-based pricing model, and how to use automated resolutions for growth.

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Resolution-based vs. conversation-based pricing: A side-by-side comparison

1. Definitions and mechanics

Resolution-based

The term “resolution” isn’t standardized. One vendor might define it as there being no customer response for 5 minutes. Another might consider any interaction that didn’t escalate to a human agent as resolved. But did the customer leave satisfied? Did they leave at all?

These metrics often fall into the "containment trap” or counting disengagement as success. That’s not a resolution. That’s abandonment with a different label.

Conversation-based

Conversation-based pricing doesn’t require interpretation. A conversation is a conversation. You pay for what your AI handles, not how it’s labeled. This makes comparisons easier and billing more honest.

Bottom line: Resolution-based pricing is inconsistent. Conversation-based pricing is standardized.

2. Ability to validate charges

Resolution-based

If you’re paying per resolution, you need confidence that a real resolution happened. That often means auditing transcripts, setting up manual reviews, or reconciling data across systems. It’s time-consuming, and the stakes are high if you find inaccuracies.

Mislabelled resolutions can cost teams twice: once when you pay the AI to “resolve” it, and again when a human ends up fixing it through another channel.

Conversation-based

Validation is simple. You count conversations. There’s no dispute, no back-and-forth with vendors, and no time lost second-guessing what’s on your invoice.

Bottom line: Resolution-based pricing requires ongoing verification. Conversation-based pricing is transparent by design.

3. Predictability of costs

Resolution-based

Cost = volume x resolution x price per resolution. Sounds good—until your automation improves and suddenly you’re paying more for the same number of conversations. The model punishes success.

As your AI customer service agent improves its resolution rate, your total spend increases—even if overall conversation volume stays steady.

This unpredictability makes budgeting difficult, especially for teams investing in long-term automation.

Conversation-based

Cost = volume x price per conversation. Straightforward, scalable, and easy to model out for the year ahead.

For enterprise teams scaling AI customer service, this predictability makes financial planning significantly easier.

Bottom line: Resolution-based pricing introduces hidden volatility. Conversation-based pricing is easier to forecast and budget.

4. Scalability and incentive alignment

Resolution-based

Here’s the paradox: as your AI agent gets better, your costs go up. Higher resolution rates mean more “success” but also more dollars spent. That misalignment can stall progress and cannibalize ROI.

That misalignment can slow AI adoption and distort the true ROI of your AI customer service platform.

Conversation-based

With conversation-based, better performance equals more value per dollar. You resolve more inquiries, contain more volume, and reduce human workload, without being charged extra for being good at it.

Bottom line: Resolution-based pricing can punish performance. Conversation-based pricing rewards continuous improvement.

How AI pricing models impact scalability and ROI

Let’s say you handle 500,000 conversations in Year 1 and expect 10% annual growth. Your AI agent starts with a 25% resolution rate and improves to 75% over three years. You’re comparing:

  • Resolution-based pricing: $1.50 per resolution
  • Conversation-based pricing: $0.35 per conversation

By year three, you’re paying more than triple with resolution-based pricing—just because your AI agent got better at its job.

Which AI pricing model is best for customer service?

Is resolution-based pricing bad? Not at all. Measuring resolutions can be incredibly useful. It helps teams understand what’s working, where deflection is happening, and how much volume your AI agent is truly resolving.

But as a pricing model, it creates risk, complexity, and costs that scale in the wrong direction. Resolution is how you measure performance. Conversation-based pricing is how you scale it.

For most enterprises adopting AI customer service at scale, conversation-based pricing offers stronger alignment between performance, cost control, and long-term customer experience outcomes.

How do enterprises evaluate AI impact on customer experience?

Enterprise teams evaluating AI for customer experience look beyond resolution rates alone.

They assess:

  • Reduction in human-assisted volume
  • Improvements in first contact resolution
  • Cost per interaction
  • Scalability across chat and AI voice agents for customer service
  • Overall impact on omnichannel customer experience

The right AI customer service pricing model should support these metrics, not distort them.

AI agent pricing shouldn’t feel like a gamble. You deserve a model that grows with your automation maturity . One that gives you visibility into what you’re paying for, confidence in your data, and room to improve without blowing up your budget.

And best of all, it creates the space for your AI agent to become what it should be: your #1 customer service employee , not a hidden cost center.

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