Digital assistants, chatbots, are impacting rapidly into the businesses. As per BusinessInsider, the chatbot market is projected to grow $9.4 billion by 2024. As per our research, here are the 3 ways that chatbots will impact all types of businesses.
1. Chatbots Will Improve Customer Service
First of all, chatbots will improve customer service but not replace jobs. Chatbots will answer the questions that are equipable and then refer the customers to a real-agent depending on the questions asked.
There are two cases of improvement in customer service:
Extensive Customer Assistance
Customers, such as online shoppers, have shown to need assistance during their shopping sprees online. In fact, a survey shows that 83% of online shoppers need help figuring out what products fit their needs and what are the best options for their budgets.
Chatbots can help with navigation of websites, purchasing, questions about payment/checkout/delivery, and so much more. Chatbots can give faster responses about more specific details about various products, shipment time, and more, that a real-agent would take some time to return with.
Beyond being able to give clear information and help, chatbots are available 24/7, meaning that a customer can receive help at any time of the day. Not only does it mean that customers will be able to get support at any time, but it also means that they can get help faster, as the chatbots handle cases that are easier, but if it requires further assistance, they’ll immediately get connected to an agent.
Also, because of chatbots, businesses can take care of multiple tasks at a time, meaning that no customer will have to wait.
2. Chatbots Will Cut Down Operational Costs
Going further on the idea of always-available support, implementing a chatbot is much cheaper and faster than creating apps or hiring employees for every single task. Rather, these employees could be used towards development, rather than using their skillsets to manage different questions in customer service. There will be savings in costs for training and hiring employees to be available all day.
Businesses already have many options for ready-made chatbots that can be tweaked to be used for their needs, making the job even simpler and less costly. Chatbots will be able to help multiple people at once and save money. Also, there will be the eradication of the costs of human errors. Chatbots will also be able to scale chat support during busy hours without any additional costs.
According to Chatbots Magazine, implementing virtual agents or chatbots can help businesses to save up to 30%. Also, according to industry research, chatbots are predicted to handle 90% of all customer service inquiries within 5 years, which would save business costs by $8 billion.
3. Chatbots Offer Avenues for Marketing and Sales
Firstly, chatbots can create personalized interactions with customers, being able to go back to previous conversations. Chatbots will be able to provide proper shopping advice as well based on previous purchases and items looked at.
This will allow chatbots to be able to predict customer behavior and display the right notifications on a customer’s screen, broadcasting new products and services that can be tailored to what that customer would enjoy. This will also let customers feel appreciated and will pull them further into the business. Research by Bain & Company says, “businesses that successfully engage with their customers were able to increase the customer spend by 20% to 40%.” Customers are constantly searching for the products they seek, and chatbots can recommend similar products to heed to their needs. 37% of all consumers and 48% of millennials are happy to receive recommendations/advice from chatbots.
Chatbots can reach to all the different social media platforms instantly, something that a group of humans would take much time to do so. For marketing, chatbots are the best and cheapest option. Chatbots can monitor user data, and according to Forbes, this is how companies “which products to market differently, which to market more and which to redevelop for relaunch”.
Chatbots also sell, developing to such a degree that they can now hold payment options. More than 1 in 3 Americans would be willing to buy through a chatbot, making them an important buying avenue with their recommendations and ability to lead customers to different websites and videos, such as what Sephora is currently doing.
What’s your opinion on chatbots? How is your business gonna be impacted? Share through the comments below.