How Chatbot In Ecommerce Simplifies Experience

Alka Singh
Alka Singh, Technical Writer and Content Strategist at OnGraph Technologies Private Limited
Published on Aug 01, 2019 in Custom Software Developers Resources
How Chatbot In Ecommerce Simplifies Experience

Chatbot has emerged as a new commerce tool and leads to the popularity of custom chatbot development services. AI-Powered bots were the talk of the town in 2016. Experts were stipulating the most appropriate chatbot use-cases in 2017. It just took three years, and now chatbots are everywhere.

These conversational bots with AI have begun transforming how a business interacts with users. Among many use-cases, the chatbot in eCommerce is making life easier for marketers.

Oracle finds in a survey that 80 percent of brands are planning to use chatbots by 2020. On the other hand, Ubisent study found that 35 percent of consumers want to see more companies using chatbots.

What Is A Chatbot?

A chatbot is a software program that converses with humans using live chat interface. Chatbots can talk to users on a business website or app, or platforms like Facebook Messenger, Skype, WhatsApp, Slack, and even on Alexa and Google Home (voice-powered devices).

Brands like eBay, Aerie, H&M, Pizza Hut, Bank of America, HSBC, and Starbucks are already integrating live chat interface to deliver an enhanced experience for the customer and facilitate sales.

How Chatbot works

When we say chatbot, that means a Chabot is AI, ML and NLP powered bot. These chatbots are sophisticated as these works on four building blocks such as intent, utterances, entities, and dialogs and deal with the most complex part of conversation i.e., create responses and conversations on their own.

Though in custom chatbot development, developers program the chatbot software to respond to human queries, AI chatbots are more flexible when speaking with humans as it learns from the conversations they had with customers and marketers.

The eCommerce is using AI, ML, and NLP powered conversational bots to address the on-demand requirements of customers. The eCommerce is integrating chatbots within CRM and CMS platform that helps them to tap into customers information and provide a personalized experience.

For instance, take a look at the difference in response provided by a programmed chatbot and an AI-powered chatbot for given questions:

  • User: Hey, what time is your store open in New York today?
  • Programmed chatbot: Hi! We’re open until 8 pm today.
  • AI chatbot: Hi Jonathan! We’re open until 8 pm today. It’s snowing in New York, so dress warm!

Role Of Chatbot In Enhancing The eCommerce Experience

Companies in eCommerce that are using chatbots leveraging ample of benefits like cost reduction (You can keep live chat support staff in lower count). As chatbot will handle most of the repetitive tasks while serving customers, the service staff can focus on other vital business requirements.

Here are seven ways a chatbot in eCommerce can help companies enhance the customer experience.

1. 24/7 Customer Service And Seamless Conversations

We are in an on-demand world, and customers are expecting you to respond to their queries when they would not even outside business hours. Traditionally, a customer had to write an email to customer service regarding specific issues or needs, and then he had to wait for the response. No matter how quickly a customer service professional responded to a specific email, it always took him a day or more.

Chatbot, when deployed to handle customer services, they serve users 24x7 throughout the year. The most interesting thing with a chatbot is that it can invoke a conversation by itself. Since AI-Bots uses natural language processing, a chatbot in eCommerce engages with a customer as a human does. Using NLP, these conversational chatbots also analyze the customer's question and deliver a response that meets the customer's needs.

2. Endless Queries

Although chatbots have to be capable to simulate human intelligence for natural interaction with a customer, their ultimate goal is to leverage computing efficiency to perform dull or mundane tasks. It could be calculations, database searches, answering queries for the same question asked by multiple users, and so on. The goal of developing chatbot in eCommerce is to satisfy customer's requirements through simulating human-like conversation via using CMS and CRM database.

That means if a customer asks to have their password reset for the fourth time in a week — a chatbot would not mind doing it again and again!

3. An Enhanced Website Navigation And Customer Journey

Online shoppers come under three different categories based on an individual's expectations, intentions, and needs. For simplifying the shopping experience online, a chatbot can pop up on product page and share additional information such as a blog, video content, warranty certification, or even available discount/discount code which helps a customer make decisions quickly.

Chatbot ensures a smoother website navigation and customer journey for the customer. Who knows, maybe those dreaded shopping cart abandonment rates will finally drop, too.

4. Simple Checkout Process

People, in general, would like to have uncomplicated online transactions. Many companies usually do not pay attention to simplifying checkout processes, but a user appreciates those efforts through doing shopping or business with a company.

While customers shop around, a pop-up of a chatbot may be useful if a user would like to add an item in his shopping cart. Using a chatbot to convey information like the availability of a product in inventory or similar product recommendation as per user's specific price range helps a business eliminate hassle from the user journey.

Chatbot developer Helpshift found in the survey, where 70 percent of the participants responded, that they would prefer communicating with a chatbot to complete much-needed tasks. It helps companies reduce the time needed to resolve issues, eliminate the time often spend on the phone to connect with a customer service representative, and streamline the entire customer service process.

5. Replacement of IVR

Chatbots are a perfect replacement of those time-consuming customer service process where a customer was bound to act as per IVR (interactive voice response) systems to connect with a customer service agent on phone call. Instead of pre-programmed voice commands of IVR, chatbot interacts with customers instantly.

Besides live chat where there is a wait time defined 3-5 minutes, chatbots in eCommerce mean real-time response. Chatbots are intuitive also as they have your data and can suggest you the most appropriate next step. Moreover, a chatbot can try to lead customers towards either an answer based on previous situations or to a human representative for ultimate customer service experience.

Conclusion

Chatbots are here and now. Though chatbots in eCommerce are also in the learning stage, they are evolving day by day as their supportive technologies are evolving.

Chatbots are helpful, but not human thus, a customer should also be requested to be patient with these software programs that are still learning.

However, eCommerce has already leveraged opportunities that chatbot offers to engage with customers in new and different ways while helping customers fulfill their specific goals more efficiently.

When a chatbot is good at what it does, then the customer walks away with a better experience for having used it.

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About the author
Alka SinghTechnical Writer and Content Strategist at OnGraph Technologies Private Limited

Alka Singh a Technical Writer and Content Strategist. She has 7 years of experience working in different industries such as IT/Software, Digital Marketing, B2B and B2C. Her latest interest includes emerging technologies like Chatbot, voice-bot, RPA, ...

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