Chatbots: What Are They and How They Could Help Your Business

Chatbots: What Are They and How They Could Help Your Business

Introduction

In 2017, many businesses are starting to use new technology to their advantage.  Chatbots, for example, have become a great e-commerce tool that has helped several companies grow their customer base, their conversion rate, and their bottom line.  However, as you will see, jewelry retailers who have started using this feature have especially been able to engage with their customers, and they learn the cost effectiveness of the feature.

What Are They?

But, what is a chatbot?  It is a term used for several different natural language user interfaces.  These interfaces allow people to accomplish different tasks such as communicating online.  The chatbot responds via certain cues, and responds accordingly.  Basic chatbots use an “if…then” format.  However, newer chatbots allow for more detailed conversations that allow you to take the conversation further.

Chatbots: What Are They and How They Could Help Your Business

Chatbots And Jewelry

In fact, many popular stores and jewelry retailers are using chatbots to communicate with their customers.  You can look at their different products, and select what you want from the comfort of your own home.  In fact, stores such as Macy’s, Barney’s, and Jared all allow you to go onto their website instead of going to the store right away – if at all.  Being able to go to a company’s chatbot has made it much easier, and simpler, to decide what type of jewelry you want to buy for the special person in your life, especially when the decision is as important as choosing an engagement ring.

Brand Advantage

In fact, many businesses have started using chatbots.  Although the technology is still young, there are several ways to create a successful chatbot.  First, use it to add value to the conversation, and let customers control it.  As you learn more about him or her, you can help meet their needs better with more information.

You can also evaluate the chatbot’s “net promotion score”.  Monitoring recommendations, and frequency of use of the chatbot, will be a great indicator of success.

Lastly, use your chatbot as a brand ambassador that uses your voice.  Let them get the same vibe from the chatbot as they would from you.  By reducing customer effort, you will create a more pleasurable purchasing experience.

How Much Will It Cost?

While creating a chatbot that will enhance your brand is worthwhile, you may wonder how much it will cost.  But, deciding that entails many things.  First, how big is your business?  While that answer may be simple, you need to consider your merchandise, and the information you want your chatbot to know.

Next, think about your goals.  Your bot needs to be configured for support, retention, and any other service you want it to provide.  So, decide which ones are important.

Choosing a platform is also important.  While Facebook Messenger has become popular, there are other messaging platforms to consider.  Knowing which one your customers use will help you decide on the best platform for your business.

As for numbers, the setup for the average chatbot is between $5,000 – $10,000 per bot.  So, you’ll want to consider how many of them you use.  Regarding service, there are many options that can cost as little as $20 per month up to $30.  You’ll also want to know how many interactions, and messages to provide each month.

There is no one-quick-fix number for everyone.  So, decide the services you want to provide, and platforms you want to use.  That information will clear up your decisions.

Chatbots: What Are They and How They Could Help Your Business

Conversion Rates

Once your business, and its customers, start communicating with each other through chatbots, you will find your conversion rates increase dramatically.  Your company’s chatbot will be able to communicate with customers during non-business hours such as midnight, and other late-night hours.  

Additionally, using chatbots will reach more customers.  The ability to ask certain questions about jewelry, and receive responses on-the-fly, will be appreciated.  Your customers will be pleased that they can get answers on their schedule, and will be more willing to continue doing business with you.  Furthermore, those customers will also spread the word about your company, expanding your customer base, and your bottom line.

Conclusion

Chatbots have helped several businesses reach more customers by giving them a way to communicate back-and-forth on their own schedule.  Once they understand that their information, and data, is secure, they will be willing to start talking about the specific services, and products, they are looking for.  Monitoring the cost-benefit analysis should also show that it is worth it in the end.

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