How eCommerce Chatbots Can Increase Your Business Sales And Retention
If you are an e-commerce business owner, then you might have dealt with the worst nightmare of your business – Shopping Cart Abandonment.
Current online statistics show that more than 70% of the products are abandoned when proceeding at their cart. This means out of your 100 potential customers 70 leave your website without furthering to the payment gateway.
Well, you know that number is a great loss.
Now, consider capturing these 70 customers and managing to convert half of them. You’ll be seeing a lot of upscale in your sales graph.
Switching back to reality, why are your customers actually abandoning your business?
There could be some hidden reasons for that, such as,
- They might be doubtful about the product
- Confused about the purchasing process
- Facing a complex checkout process
- The website might be too slow
- Overwhelming Choices
- Poor navigation on the site
- Saving the product for consideration
- Bad website experience
So, how can you stop all this without making big changes or huge investments on your website?
There is an answer to it – eCommerce chatbots.
eCommerce chatbots in the current digital phase are renowned for increasing your sales by turning your business website into an expert online sales professional. These bots have been recognized as one of the most successful tactics for increasing the sales of top-most brands. As experienced by Nike, Chatbots have helped them improve their CTR by 12.5X and also improved their sales conversion by 4X.
But how did they achieve these numbers? Are eCommerce chatbots really capable of boosting your sales? Read below to know the truth!
Chatbot help in Improving the Selling Experience
1. Chatbots offer customized greetings to the customers
Today’s tech-savvy millennials prefer those brands who offer personalized greetings, discounts, and experience. And chatbots are your personal concierge.
They begin personalization based on the user’s variable information provided or present in their database. Hence, allowing different options for different users.
In practice, the chatbot shows specific menus or messages to the user according to their preferences.
Chatbots have also achieved hyper-personalization by conducting customer-centric quizzes, conversational flows, and analyzing customer’s inquiries. Bots at real-time ask the user a few questions to know their preferences to provide a hyper-personalized experience on their website. This is one of the ways to deeply know about your customer behavior. You can hire best chatbot developers to add this type of transcript to your chatbot.
2. Product Recommendations
Product recommendations, like up-sell and cross-sell, are integral features of a chatbot.
When a customer visits a website in search of a particular product, the bot can up-sell models by offering additional features and capabilities of an upgraded device. They can also cross-sell related products to influence bigger purchases.
These recommendations can be suggested based on the customer conversation and previously ordered products. Through such communications, eCommerce websites can effectively introduce customers to their range of products.
3. Product Help Guides
83% of online customers require assistance while completing their orders. And 75% of the customers expect help within 5 minutes.
How quickly a brand responds to its customer’s queries help builds a company’s image, and a chatbot’s response time is its USP. A highly interactive and informational customer service chatbot, working 24/7, can help in presenting product guide whenever a user has a query. The guide can include highlights and benefits of the products, its make, material information, and data to address common issues and objections.
But, this can only be accomplished if you partner with an AI development company that saves the product help guides in your bot’s database.
4. Product Finder
Chatbots are very useful in eliminating product finding time. Eradicating the website treasure hunt, the customers can directly ask the chatbot to display the required product on their screen directly. In order to find the correct product, the bot can ask a series of questions to find the product.
5. Unboxing Products
Unboxing videos are a great content strategy to boost products online.
Customers research about products and look for unboxing videos to get a review. These videos help consumers visualize products in a better way. Through a chatbot, the customers can receive the personalized unboxing videos in your inbox at the right time.
- To develop anticipation in the customer
- If the customer has shown interest in a particular product, the videos can act as a retargeting tool.
- After the purchase but before the delivery, unboxing videos can help build-up excitement and confirms that the purchasing decision was right.
According to Michael Aagaard, former CRO of Unbounce – “Conversion rate optimization really isn’t about optimizing web pages — it’s about optimizing decisions.” So if we apply the same principle to chatbots, that they optimize the purchasing decision of the customers a lot can be done in terms of acquiring new customers and helping the existing ones.
Increasing Customer Retention
1. Transactional Messages
Transactional Messages outperform than promotional messages in terms of CTR and open rates. Consumers like receiving transactional messages as they feel the brand is concerned about their purchases. And sending happy and positive transactional messages offers the opportunity to continue the conversational tract.
2. Support Services Chatbots
After the customer makes a purchase, the best way to retain it is by providing post-purchase services. This is important if you need some instructions regarding your product.
The customers can also rate their products and give feedback directly to the customer care chatbot. Also, if the customer is unhappy and gives negative feedback, the bot can line up a live agent to help dissolve the situation.
Referrals have 18% higher retention rate with 16 to 25% higher lifetime value. Not only referred customers are better, but they are also better prospects.
Bots can make the process of managing referrals easy by –
- Don’t need to capture an email address
- Customize messaging based on prior interactions
- Provide more incentives to share via rewards
- Reduce sharing to one-to-two clicks
4. Encourages Loyalty
Most of the customers do not opt for loyalty programs, and if they do, then forget to redeem their points. An AI-powered chatbot can encourage redemption, update points balance and gamification, and show reward reminders.
At the end of the purchase, if a customer is part of the loyalty program, then the bot can notify the customer about his reward points so that they could redeem then and there.
Chatbots Reshaping the eCommerce Industry
One of the best ways to stay ahead of the competition is by automating your tasks and simplifying the complex ones. Thus, the value of chatbots comes from their capability to make automated processes throughout the system.
For an eCommerce platform, chatbots can help promote a frictionless sales process. They can help simplify a lot of steps in the buying process, resulting in more sales and an increased number of closed deals. On the other hand, helps in maximizing the rate of engagement with the website visitors. Chatbots way of conversing anytime is what attracts the millennials.
An eCommerce website offering 24-hour service is the ace benefit of chatbots according to consumers. The ability for your eCommerce website to be present 24/7 could be the difference between your closed deal and somebody bouncing to a competitor.
With the number of eCommerce website present online, It is important for your business to stay ahead of the competition and for that you can consider outsourcing to India to gain an advantage over your fighting contenders. We at Signity, understand what it takes to build a successful eCommerce chatbot, which works as a powerful sales tool for your business but doesn’t lose the humanized touch of a live agent. Get in touch today to know how we can help transform your business.
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