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Retailers Encouraged to Adopt Chatbots for Online Customer Service Savings

09 May 2019 - 11:18 by David Aiken

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Automating the process of dealing with customer queries and complaints could save retailers the equivalent of half a billion pounds over the next four years.

This is according to an investigation carried out by Juniper Research which looks into the benefits of operating AI-powered chatbots in the context of safe shopping online. This is a step which an increasing number of retail sites are taking to both improve customer service quality and reduce the amount of resources they have to dedicate to it.

If customers can quickly and easily ask a key question via a chatbot at any time of the day or night, it will not only improve satisfaction levels and aid in improving retention rates but will also boost the chances that first-time visitors will be converted rather than heading elsewhere.

Of course, there are inherent risks involved with rolling out chatbots, chief amongst which is the likelihood that customers will become disgruntled in the event of an unsatisfactory interaction. The rise of natural language processing (NPL) technology is helping to overcome this, although there will doubtlessly still be a few issues that need to be ironed out as chatbots are embraced more widely.

Analysts further point out that by offloading a lot of the customer service responsibilities to automated software, retailers will be better equipped to focus their attentions on improving other areas of their e-commerce experiences. Given that the UK’s retail market is facing complications caused by outside political and economic forces at the moment, being able to make significant savings in any area will be seen as a boon.

It seems that however consumers feel about chatbots, the prevailing opinion within the e-commerce sector is that adopting more automated services is inevitable at this point.