Benefits of Chatbot Technology In Business

Messengers beat social networks

Active audiences of messenger apps far outreached those of the major social networks, as regularly reported by many sources — such as, for example, Business Insider [1]. No wonder that Facebook acquired Whatsapp in 2014, as the media giants already recognized the threat imposed by messengers back then.

Online information consumers tend to get tired of publicity, other people's news, plethora of garbage facts, and intrusive advertising on their newsfeeds. As a result, personal peer-to-peer communication is increasingly moving to separate messenger apps where users do not get overwhelmed with piles of both relevant and irrelevant information [2].

Chatbots instead of mobile apps

Globally, the tendency of transferring communications to stand-alone messengers persists, whether it is personal or professional socializing.  Hence the ever growing adoption of communication and collaboration solutions such as Telegram, Skype, Slack and others messengers. Based on the data of various analytical and consulting agencies, over 70% of online users prefer messaging as a form of services consumption.

Well, today messengers turn into essential competitors to other mobile apps. This is thanks to the growing number of messenger platforms that allow developing chatbots. The said chatbots, or digital assistants, if you like, excel in communicating with users in their own language and fulfilling numerous requests such as fishing for the news, currency exchange rates, helping with travel arrangements, purchasing goods, making dinner reservations, finding a needed book, music or even a date.

A standard chatbot embodies an app that operates on a remote server and uses a certain messenger platform to exchange data, as well as an interface interacting with a user. In fact, messengers become a mobile operating system in a way, and their further adoption and use depend on the level of openness for app developers. 

Speaking of the chatbot technology, it does not consume any downloading traffic, or time for installing any software, it does not take any storage space on a user’s device. At the same time, users may find it increasingly hard to navigate through millions of mobile apps available nowadays, thus, the interest towards separate applications gradually sinks.

What`s in there for business?

Should businesses actively embrace the technology? Some might have huge numbers of their target audience using messenger apps, so it would be reasonable to consider incorporating a chatbot into their business model. On top of that, the given technology might take some of the workload off certain employees. With that in mind, plus the low cost and short time for building a chatbot, the technology benefits over building a mobile app may be manifested.

You do not have to be a big business incorporating a chatbot as yet another way of getting in touch with your customers. The technology may be useful for anybody having to communicate with clients, and it is comparatively easy to build and deploy. For instance, one may simply use a chatbot constructor that will program specific answers to FAQ. 

The beauty of this technology may not be defined by using a chatbot per se. It also implies the possible integration with various messengers as a way to reach out to various audiences, and build personal relationships with them. The heavy users of messengers, one of the largest generations yet, the millennials, are about to come in their prime spending years, and they seek to buy from brands that ensure the maximum convenience and the lowest costs [3].  

There are many perks that chatbots may bring into the business realm. 

Customer-wise:

• intuitive interaction;
• no need to install any stand-alone apps;
• secure to use (the possibility of executing malicious code is excluded);

Partner-wise:

• a modern 24/7 channel for reaching out to the most numerous audiences;
• high audience retention rate;
• prompt hypothesis;testing thanks to the possibility of quick MVP development;
• low development cost compared to mobile apps;
• high level of information security (low risk of hacking, DDoS attacks etc.);

Business-wise:

• quick development (no standard technological processes);
• instant updates and bug fixes;
• possibility of using variety of programming languages.

Chatbots can sell

Chatbots are definitely equipped for closing fast sales, which was already proved by the commercial success of WeChat, for instance. 

The majority of messengers such as WeChat, Facebook Messenger, Line, Snapchat  already feature payment tools integrated into their platforms. They feature simple interfaces, and it would be their logical evolution to allow purchases in just one tap of a finger with the help of a chatbot.

This is a perfect model for driving spontaneous purchases, and it challenges big time the traditional e-commerce sites with their registration forms, and transaction data redirection pages. The experts predict the coming popularity of cross-platform solutions that will enable purchases independently of the type of messenger being used. 

Chatbots-as-browsers

Modern chatbots can answer to the majority of questions if the required data may be found online. This is where the line between chatbot-equipped messengers and browsers may become blurred.

In comparison with browsers the messenger offers many advantages: for once, there’s no need to go to the site or download another application. Also, instant messengers are supported by most smartphones, tablets and computers, and works even with a weak Internet signal. It’s only logical to ask a question in the most convenient way which do not require of you to take unnecessary actions, such as opening web-browser, than going to search services, opening links to external sites etc. All of this a chatbot in your messenger can do faster than you, saving yours resources and time.

Most mobile applications also have convenient system of updates and more intuitive interface than traditional browsers. Easiness of use is another great advantage that can attract a new audience to the services you offer.

Chatbot technology creates a whole new context for interacting with data. It inspires and requires developers to think in new ways, as it had been previously with adoption of the web or mobile apps. It is a useful tool that with piles of available online data brings massive possibilities for many spheres — such as analytics, commerce, trading, entertainment, travel and much more. 

 Sources:

1: http://www.businessinsider.com/the-messaging-app-report-2015-11

2: https://www.theguardian.com/media-network/media-network-blog/2014/mar/07/millenials-social-media-advertising

3: http://www.goldmansachs.com/our-thinking/pages/millennials/