In a world where complete transactions can be completed online, there’s little room for customer service representatives to interact with customers in a F2F interaction. So what happens when a customer needs the advice and guidance of a customer service advisor but has little time to contact customer service by phone or email and simply needs a response there and then.
This is where chatbots step in. A smart type of technology utilised by ecommerce businesses to provide website users with a point of contact that is readily available and able to provide a wide range of responses. Using artificial intelligence these online chatbots can respond to product queries, general questions about the brand/business/service, and offer solutions to customer concerns and problems. To the best of their ability and as far as the technology allows them to, a chatbot can become the online face of your customer services.
How do chatbots work?
From the user’s perspective a chatbot is available to contact from across every page of a website. By simply inputting a message or by starting a conversation with the chatbot, the AI technology begins to analyse the message of the user, identifying key words and phrases to help formulate a response. The bot will continue a conversation with the customer, often offering multi-choice questions to help guide the conversation and to achieve a solution.
The responses from a chatbot can be supplied by a list of pre-programmed responses, often readily supplied by the customer service department and the developers. These responses can replicate the response of a real-life customer service representative, providing an almost perfect experience for the user.
The benefits of chatbots for businesses
Utilising the power of chatbots for your business can offer a wide range of benefits. From improving the customer experience to handling a greater number of enquiries at a faster pace.
Some key benefits include:
- 24/7 availability: Chatbots are available to customers at all times, providing a quick and efficient response to their queries without the need for human intervention. This means that your business can provide customer service support around the clock, even when staff is not physically available.
- Cost-effective: By utilising chatbots for customer service, businesses can save on costs associated with hiring and training additional staff. This also allows businesses to handle a larger volume of inquiries without extra cost.
- Consistency in responses: As mentioned earlier, chatbots use pre-programmed responses which ensure that every customer receives consistent and accurate information. This helps in maintaining brand image and trust among customers.
- Efficiency: With the ability to handle multiple inquiries simultaneously, chatbots can significantly reduce response time and improve overall efficiency in customer service operations. This leads to better customer satisfaction and loyalty.
However, it is important to remember that, as with many types of AI used to replace the need for a human role, there are challenges with using this technology.
Challenges with chatbots
- Language barriers: Chatbots may not be able to understand or respond accurately to different languages and dialects, limiting their reach in global markets.
- Limited capability: As advanced as AI technology may be, chatbots still have limitations in understanding complex queries and emotions. They may not be able to answer detailed questions, they can however refer these customers to a phone line or email. While this is not the fastest way to deal with a query, it may help to filter the number of requests that come directly to your phone lines or inbox.
- Maintenance and updates: Chatbots require regular maintenance and updates to ensure that they are providing accurate responses. This can be time-consuming and may add additional costs for businesses.
Overall, chatbots have proven to be a valuable tool for businesses in improving customer service operations. By leveraging AI technology, businesses can provide quick and efficient responses to customers’ inquiries, leading to increased satisfaction and loyalty. As technology continues to advance, we can expect chatbots to become even more sophisticated and capable in handling complex queries.
