App Modernization

5 reasons why E-Commerce Chatbots are Essential to your Business Now

15 May 2021

Over the years, e-Commerce has evolved in profound ways with the increase in internet penetration and accessibility. Also, the rise in the use of mobile devices has contributed significantly to the growth of e-Commerce. “A recent report states that more than 22% of the people shop online globally, and the retail e-commerce sales are expected to reach $5 trillion by the end of 2021.”

Data-driven nature and improved customer experiences are the key factors responsible for the growth of the e-commerce business in a very short period. But online shopping does not follow a single path – there are multiple channels like apps, email, social media, etc., where you can list your products and enable people to make online purchases.

But these many options can be disorienting to customers if they don’t find a clear route for reaching out to your business. That’s where ‘conversational commerce’ comes to the rescue enabling enterprises to leverage AI chatbots to instantly communicate with their customers and resolve their issues timely.

AI chatbots offer e-Commerce enterprises a competitive edge with its ability to infer customers’ preferences and create a valuable shopping experience.

Widely, the e-commerce business is leveraging AI-powered chatbots to

  • Personalize customer experiences
  • Drive conversions and
  • Reduce customer support costs

while keeping them engaged throughout their buying journey.

Here’s A Quick Look at the Top 5 Benefits of Leveraging E-Commerce Chatbots

1. Elevate Customer Experience

We are in the ‘NOW’ world where customers are used to multiple choices and readymade solutions. They want to instantly communicate with the vendors to resolve their issues on any possible platform- social media or their online store. That is exactly where round-the-clock AI e-commerce chatbots come to the rescue!

E-commerce chatbots

  • Immediately cater to customer’s needs
  • Integrate with multiple channels
  • Interact with customers from where they are
  • Offer 24 hours support & ensure customer satisfaction
  • Infer customer’s preferences and create a valuable shopping experience

2. Personalize Customer Journey

Online shopping is booming, so the e-commerce business should clearly understand their customers’ requirements to serve them better. The benefits of using e-commerce chatbots for personalization services are many:

a. Chatbots quickly understand customers’ needs and preferences and personalize their product pages accordingly, building customer loyalty and affinity.

b. E-commerce chatbots can notify customers when items go out of stock and suggest alternate products based on their search preferences while keeping them informed of the delivery date and time.

c. AI chatbots can help visitors find the exact product they are looking for in the maze of millions of products, enabling them to make purchases on the fly.

d. The e-commerce chatbots can even be programmed to collect customer styles and offer products accordingly as a real sales associate.

E-commerce chatbots are enabling e-tailers to foster better shopping experiences for their customers!

3. Cart Recovery is a Gift

Abandoned carts are always a worrying factor for e-commerce businesses. Failing to convert customers after having them in the last cycle of the buying journey is a significant letdown. Leveraging e-commerce chatbots helps companies solve this by reminding potential customers about their abandoned carts with personalized reminders when they revisit their website. Certainly, chatbot reminders can re-engage customers by offering them limited period discounts for their abandoned cart products.

4. Track Customer Behavior

When E-tailers use AI-powered chatbots to track customer behavior, the machine learns to provide insights on the gender of the shopper, his/her store affinity, brand affinity, price preference, frequency of visit, the volume of purchases, etc. The machine learns more in detail about the customer with data and time.

The e-commerce chatbot analytics enable businesses to make data-driven decisions with chatbot KPIs such as

  • Sentiment analysis – Whether the buyer’s attitude is positive, negative, or neutral
  • Customer Segmentation – Categorizing customers into smaller groups with some common traits
  • Purchase Intent Prediction – Understand customer’s thoughts

and other data insights.

5. Bots Drive More Sales

E-commerce chatbots help in generating more positive leads driving sales. The upselling and cross-selling capabilities of the AI-powered chatbots push customers to make instant purchase decisions. E-commerce chatbots can predict purchase intent, take purchase orders and convert potential service requests into sales, resulting in better conversions. By better understanding the customer requirements, the AI chatbots help e-commerce businesses shorten their sales cycle and promise a hassle-free shopping experience.

Reimagine Customer Experience with Azure AI Chatbots!

Retail companies are increasingly adopting AI-powered chatbots to boost conversational commerce because they work like a shopping guide or an assistant shopper. These automated e-commerce chatbots simulate real-life conversation through artificial intelligence creating a unique, personalized customer experience. The 24×7 bots keep customers digitally engaged, offering them quality service while optimizing operational expenditure.

The e-commerce chatbot empowers the work system while allowing employees to focus on high-quality work because

  • 80% of customer queries are repetitive and can be automated
  • up to 67% of call-center traffic can be diverted to messaging
  • FAQs and workflows can be automated

As a result of which, you can

  • Reduce wait times to seconds and be available to your customers 24×7
  • Save person-hours and $$$$ with the messaging-first approach

Are you looking to implement E-Commerce Chatbots but don’t know where to start?

With over decades of experience and an expert team with real hands-on experience in offering AI and ML solutions, we help you build intelligent, enterprise-grade e-commerce chatbots by leveraging Azure cognitive and bot development services. We continuously work to make a difference to our customer’s brands. BoingoCigniti, and 50+ customers trust us!

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