10 Benefits of Live Chat Tool For Your Business Website

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You don’t believe me, but the truth is that 60% of website users return to your website because you offer live chat support. 63% of users purchase from websites with live chat widgets. And 38% of people will likely complete their first purchase on live chat support websites (Source).

Yes, we are talking about that small live chat button often found in the dead-end corner of websites. But wait, there is more about this button than meets the eye. You're in the right place if you're curious how integrating live chat into your business strategy can benefit you.

What is Live Chat?

Live chat software is installed on your site, allowing customers to communicate with your business in real time. This enables them to have immediate conversations with customer service teams, avoiding delays in email responses or long hold times. Using live chat software, customers can quickly send their questions to someone who can provide swift replies, ultimately helping convert visitors into customers.

Suppose you sell clothing online and a customer has questions about a product before adding it to their cart; they can message a customer service representative for fast answers. This can provide the exact information needed to make a purchase. Live chat features include connecting with multiple customers simultaneously through unlimited chats, support monitoring, chat notifications, and detailed analytics and customer data, offering insights into your customer service strategies.

While the primary purpose of live chat is to facilitate communication between companies and their clients, it also offers several other benefits, such as boosting sales and enhancing the overall shopping experience, which can increase brand loyalty.

Live Chat vs. AI Chatbot

Live Chat 

AI Chatbot 

The interaction is carried by humans. Live chats allow website owners to replay contextually while guessing the users' emotions. 

The interactions are carried by machines that can translate and respond without considering emotions. 

Delivering personalized services becomes challenging if the live chat cannot track customer information. 

Modern chatbots can pair conversational data with the visitor’s profile, thus enabling you to customize the entire customer experience. 

Live chat can handle complex customer queries - especially when the queries include difficult technical terminologies. 

New AI-driven bots can be trained to handle complex queries. However, most companies still need help with command-based rather than intelligent AI-driven chatbots. 

As human resources are involved in the process, there are limitations when handling multiple concurrent chats simultaneously. 

A chatbot can handle any number of chats provided the solution is scalable and supported by an AI mechanism. 

Live chat is useless when customer queries are simple, common, monogamous, and repetitive. 

Chatbots are exceptionally useful when customer inquiries are simple and repetitive. 

What are the benefits of having a live chat tool for your business website?

Increases customer satisfaction

Customer service is crucial for your business. Companies with poor customer service lose clients and suffer from bad reputations, ultimately affecting their overall growth and profitability.

In fact, 41% of consumers prefer real-time support via live chat because they value interacting with a human who can answer all their questions rather than a robot that might only address a few inquiries.

Boost customer engagement

Your website's product and service pages answer most consumer questions. However, your website can only cover some things, and you can only predict some questions prospective clients might have. Enabling online chat software can boost engagement with your brand by providing helpful content and information to customers while they’re immersed in the buying journey.

If a customer is interested in a product but has a question, you want them to refrain from calling or emailing for answers because it disrupts their journey. When a customer is nearly ready to make a purchase, they should receive answers to their questions immediately while they are still engaged, increasing the likelihood of a sale.

Also Read: The Future of Live Chat and AI: Current and Future Possibilities

Provides 24X7 support

With the best live chat software, businesses can offer 24/7 support to customers. However, this capability depends on your available resources. Many small businesses may need more staff to cover 24 hours daily. Nevertheless, providing answers anytime can improve customer satisfaction and boost engagement.

Immediate communication

Website chat software offers immediate communication, eliminating customers needing to use their mobile devices to make phone calls or leave your website to send emails, hoping for a quick response. When customers have serious concerns about a product or service, they want an immediate answer.

The best chat software helps your agents to respond promptly to these concerns. Providing fast and efficient customer service can resolve issues quickly, protecting and enhancing your reputation.

Acquire more customers

The goal of businesses is to gain more profit by increasing sales and to achieve that, they need to acquire more customers. While the primary purpose of online chat software isn’t directly to boost sales, providing better customer service can help you reach these objectives.

In fact, 38% of shoppers are likelier to buy from companies offering live chat support because they value personal and fast interactions. If a potential customer has a question about a product before purchasing, you'll want to provide an immediate response without making them wait.

Improve user experience

User experience describes the interaction between the end user (your customer) and your brand from the moment they first discover your business until they are no longer customers. It includes elements like the quality of the products and services, customer assistance, and modern website design. For example, using online chat software on your website will improve the user experience of your website and the company as a whole because it offers consumers an easy way to chat with a real human and answer their pressing questions.

Also Read: 8 Best AI Tools For UX Designers To Know In 2024

Save money

While online chat software requires customer care agents to answer questions, it can save you money in the long run because it is more efficient than email and phone calls. Agents can handle multiple customers simultaneously, reducing the need to hire additional employees.

Improve productivity

We know how efficient chat support software can save you time. Still, it also enhances productivity by enabling your customer service representatives to address multiple issues simultaneously instead of handling them sequentially.

Unlike phone conversations, where representatives can only assist one person at a time, online chat software permits them to manage multiple chats concurrently, swiftly responding to individuals and resolving issues promptly. This capability enables your customer care specialists to handle a higher volume of daily inquiries, significantly reducing wait times for assistance.

Resolve issues quickly

Resolving customer issues promptly is very necessary for the success of your business. For instance, depending on your policies, if a customer's product breaks during shipping, it's your responsibility to provide a refund, exchange, or replacement promptly. Customers who have made purchases expect timely resolution of their concerns. Delayed resolution can lead to negative online reviews and damage your reputation, adversely affecting your business.

Access to analytical tools

Online chat software provides analytics that allows you to measure the effectiveness of your customer service strategy. For instance, you can track metrics such as daily resolved support tickets, monitor agent activity to recognize top performers, and review chat history. Additionally, you can analyze customer inquiries to identify common complaints, enabling you to address these issues on your website proactively and reduce the volume of incoming questions.

What Are The Limitations Of Live Chat?

Limited Human Interaction

One of the main disadvantages of live chat is its limited scope for human interaction. Unlike phone calls or face-to-face meetings, live chat lacks the personal touch that can be essential for increasing strong customer relationships. Users may need help connecting with a faceless, text-based interaction, potentially resulting in lower customer satisfaction.

Technical Glitches

Live chat systems are susceptible to technical glitches. From server downtimes to connectivity issues, the reliability of live chat hinges on the stability of its underlying technology. Businesses that depend solely on live chat for customer support may encounter challenges if these technical issues occur, potentially disrupting customer service operations. Businesses must have contingency plans and alternative support channels to mitigate the impact of such technical difficulties on customer satisfaction and overall operations.

Waiting Time

One of the benefits of chat support software is its potential to reduce customer wait times. However, customers may experience prolonged response wait times if they need more resources. For customers, website chat software implies real-time interaction, and they expect prompt replies without delays. This underscores the importance of adequately staffing and managing chat support to meet customer expectations for immediate assistance.

Resource Intensive

Implementing and maintaining a live chat system demands technology, training, and personnel resources. Small businesses with limited resources may struggle to invest in an effective live chat platform and provide comprehensive training for support agents.

FAQs

Does live chat software slow down your website?

Live chat software typically only significantly keeps your website up if properly implemented. Modern chat solutions are designed to be lightweight and load asynchronously, minimizing impact on page load times.

Does live chat increase sales?

Yes, live chat can increase sales by providing immediate assistance to customers who have questions or need help during purchasing. This real-time interaction can reduce barriers to completing transactions and improve customer satisfaction.

Why is live chat so popular?

Live chat is popular because it offers instant communication between businesses and customers. It increases customer service by providing quick responses and solutions. It also allows for personalized interactions, improving overall customer experience and loyalty.

Why is live chat better than email?

Live chat is often preferred over email for customer support because it provides real-time responses, whereas emails can involve longer wait times for replies. Live chat allows for immediate clarification and resolution of issues, resulting in faster problem-solving and higher customer satisfaction.


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Tapan Patel
Article by
Tapan Patel- BDM

As the head of sales & marketing, Tapan has expertise in the execution and planning of business growth strategies aligning with marketing trends. Tapan has over 10+ years of experience in IT marketing for creating growth strategies and managing sales.

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