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Intermediate10 min

Cost Per Conversation

Track and optimize cost per conversation for AI vs human.

Understanding Cost Per Conversation

Cost per conversation (CPC) is your most actionable cost metric. It shows exactly how much each customer interaction costs and helps you optimize spending.

AI vs Human Cost Comparison

ChannelTypical CPCIncludes
AI Chatbot$0.10 - $0.50API costs, platform fees
Live Chat (Human)$5 - $12Agent salary, tools, overhead
Phone Support$8 - $20Agent, telephony, longer handle time
Email Support$3 - $8Agent time, async handling

Calculating Your AI CPC

Monthly AI Costs ÷ AI-Handled Conversations = CPC

Example: $1,200/month ÷ 8,000 conversations = $0.15 per conversation

Reducing CPC

  • Increase AI containment rate (fewer escalations)
  • Optimize prompt length to reduce token costs
  • Use caching for common queries
  • Choose the right AI model tier for each use case

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