As more and more businesses have recognized the advantages that come along with an online presence, new technology has risen to meet these needs. While customer service, sales, and data analytics remain jobs in and of themselves, the rise of the artificial intelligence chatbot is changing the way we approach both securing new buyers and assisting the current customer base.
As more and more businesses have recognized the advantages that come along with an online presence, new technology has risen to meet these needs. While customer service, sales, and data analytics remain jobs in and of themselves, the rise of the artificial intelligence chatbot is changing the way we approach both securing new buyers and assisting the current customer base.
What Is a Chatbot?
Before diving into how artificial intelligence chatbots are changing the game for many companies around the world, it’s helpful to first establish what we mean by “chatbot.” Chances are that you’ve interacted with a chatbot while visiting various websites, whether you were aware of it or not.
In the most simple terms, chatbots are pieces of robotic software that are designed to imitate human conversation. These bots can be controlled through voice or text commands, and can use artificial intelligence to provide relevant information to a customer’s queries. Most people are familiar with the likes of Apple’s Siri, Amazon Alexa, and Google Assistant – all sophisticated chatbots that are designed to respond intelligently and provide useful information.
While chatbots on your web page will probably not have the same power behind them as these famous virtual assistants, they have an advantage in that they can be tailored to suit the needs of your company. This allows them to offload some of the work from your customer service and marketing teams, while adding convenience and saving money.
Chatbots At a Glance
- The global Chatbot market is anticipated to reach $1.23 Billion By 2025. That’s a compounded annual growth rate of 24.3%.
- In September 2016, there were 30,000 chatbots on Facebook, and that number continues to grow.
- 47% of customers would buy a product from a chatbot.
- Chatbots save more than four minutes per customer interactions when compared to traditional call centers.
- 57% of customers are interested in chatbots due to their instantaneous response.
How Can Chatbots Help My Business?
As mentioned above, there are several ways in which automated chatbots can be integrated into a business’ online presence to increase revenue and provide a better customer experience. As more and more companies start to recognize the benefits that these chatbots provide, having access to the service will help keep your operation competitive and allow you to provide personalized customer service and sales – all with little to no input on your end.
An Almost-Human Experience
Even the biggest businesses can’t staff full departments of sales and customer service representatives that can engage each customer immediately and provide relevant information and assistance on demand. Believe it or not, the power of these artificial intelligences is starting to get to the point where a single Chatbot AI can replace multiple dedicated employees.
An automated chatbot takes information from the customer and analyzes it using complex algorithms and machine learning in order to provide assistance. The more advanced chatbot companies have managed to create a product that can almost pass for a human. By providing customers with a “friendly face” that is available 24/7, every visitor to the site will be provided with instant service that is intelligent enough to respond to common questions and complaints.
A Social Media Powerhouse
One of the primary ways that chatbots have been employed is to handle customer queries and complaints on social media. It’s easy to see from the statistics above that a huge number of chatbots are being used for customer service over these platforms. Additionally, the messaging feature on social media applications is becoming the go-to method for communication when it comes to resolving complaints. With more than 25% of the world’s population expected to be using mobile messaging apps by 2019, companies that aren’t responding to changes in the way that customers seek help and information may see their sales and retention start to suffer.
Social media is here to stay, and using chatbots to provide an instant response to customer requests can be a viable way to set your business apart from competitors.
Cost-Effective Customer Service
While increasing sales is one of the primary ways in which a business can see increased revenue, cutting costs is another way to maximize profits. Research shows that a one-time investment in Chatbot development can show significant savings over time.
Juniper Research found that the average cost savings per customer interaction when using these artificial intelligences ranged from $0.50 – $0.70. That may not seem like very much, but when you consider the vast quantity of customer support requests that will come in over an average-sized business’fiscal year, the savings can be substantial. Chatbot technology is not yet perfect, but by 2022 it’s anticipated that 80% of customer queries will be resolved without any human intervention.
The field of intelligent chatbots is flourishing and continues to grow, and getting in on the ground level gets your company ahead of the curve and well on its way to cutting costs by a significant margin.
Personalized Sales
When you integrate an automated chatbot into your website, artificial intelligence is keeping an eye on customer interactions with the various pages. By approaching visitors with personalized recommendations and figuring out which products will best suit them, Chatbots can contribute a significant amount of sales to an audience that would be nearly-impossible to cater to with a traditional sales team. 48% of millennials are open to receiving advice or recommendations from a chatbot, and 26-36 year-olds are willing to spend up to $675.89 via a chatbot interaction.
Data Analytics
While most people think of customer interactions when it comes to chatbots, they can also provide a substantial amount of data about the way customers interact with your site. By keeping statistics such as the time that users spend engaged with a chatbot, the time they spend on various pages, the products they are most interested in, and the most common questions, these AIs can give your business valuable information. Using data gleaned from customers interacting with your chatbot can influence other aspects of growing your business, such as making adjustments to a marketing plan or focusing attention on improving less effective aspects of your websites.
Keep Your Company Ahead of The Curve
There’s no doubt that investing in fully-featured Chatbot development can be a significant investment, but when you consider how quickly you may be able to recoup that expense via customer service savings and targeted sales, it quickly becomes a no-brainer. Ensure that you’re on top of this important marketing trend to keep your business moving forward into an AI-powered future.
SOURCES
https://www.hubspot.com/stories/chatbot-marketing-future
https://www.juniperresearch.com/press/press-releases/chatbots-a-game-changer-for-banking-healthcare
https://www.emarketer.com/Article/More-Than-Quarter-of-World-Will-Use-Mobile-Messaging-Apps-by-2019/1014773
https://www.16best.net/blog/chatbots-gone-wild/
https://www.huffingtonpost.com/advertising-week/chatbots-a-guide-for-bran_b_13629352.html
https://www.grandviewresearch.com/press-release/global-chatbot-market
