Just because it discharges to 97% and then back to 100% does not count as "using the battery". Your battery, just like Moriarty, has died prematurely. Your battery is rated for 1000 cycles at 80% health. You are at 339 at 87% health. At that rate, it would be almost impossible to hit 1000 cycles before dropping below 80%.
So that is at least 2 examples of why I am saying keeping it plugged in 24/7 is really bad. Batteries must be used in order to maintain health.
As to your question. When the laptop reaches 100%, it stops charging and the unit runs off the power adapter. But the battery naturally loses charge on its own. Once it reaches 97%, it charges back to 100% then goes in "stand-by" mode again.
I didn't say that discharging down to 97% counted as using the battery, but more asking if that is what actually happens out of curiosity. Eh, I get what you mean, although I would just rather have an 87% battery with 339 cycles than an 80% battery with 1000 cycles at the same point in time after my purchase? Why do I need to reach 1000 cycles; is there a particular reason I should be aiming for that? I mean at the end of the day I am trying to get the longest period of time/years out of this laptop before I have to replace it regardless of cycles or battery life. It lasts about 6 hours off the charger with light use atm, would it last longer if it had more cycles?