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Why Businesses Ranging From Banks To Retailers Need Chatbots For Growth

Why Businesses Ranging From Banks To Retailers Need Chatbots For Growth

Chatbots Are Ticking Off Majority Of The Boxes For Profitability And Growth

The rules of conducting business is slowly evolving as industry leaders are up to the task in replacing manpower with technology to scale up their operations . This has created a powerful environment where technology is rigorously developing its constituents for the benefit of the business scenario- leading to new practices coming forth in terms of how one engages with the brand, through conversations. Conversations have always been a perquisite ingredient to a killer strategy and in this era of building an intrinsically evolved experience, they have made a huge difference on brand perception.  The two most common categories of conversations are:

  • Pre-sales conversations – for marketing and selling the product
  • Post-sales conversations – for customer service and upselling

Previously, conversations were steered under human jurisdiction and businesses were at the mercy of man-made errors and redundancy. Fortunately, technology has synchronized process under the sheer power of chatbots and chat applications. The recent advancements have resulted in a unique opportunity to replace human- generated conversations with machines- made ones. In fact, over 53% of consumers are warming up to connect with businesses over chat applications, reveals a recent study done by Facebook. This can be contributed to the fact that they are easy to conduct and have a fast response- thanks to a man-made marvel named chatbots.  They are the perfect solution to 1:1 integrated marketing, where there needs to be a steady flow of engagement.

Pre-programmed chatbots can simultaneously hold conversations with each and every user, automating the tedious task on response while saving time. Chatbots are leveraging messaging, an online communication channel on its prime, to create a simple communication channel between businesses and customers. This creates a win-win situation for both the parties- customers get the desired experience and businesses get to create a brand value.

Here are a few reasons why chatbots are essential for business:

  1. To scale up operations

Chatbots eliminate the presence of man-made limitations to create a platform for a streamlined engagement. Chatbots are known to operate without an upper limit, boosting organizational requirements to enter new markets.

  1. To synchronize the query system

Often, business receives a lot of inquiries with the support system lagging behind in managing the outflow and quality of response. Chatbots can take the load off the customer support team by becoming the first point of contact and screening calls from customers. Pre-programmed responses make the need to handcraft every answer, redundant.

  1.  To capitalize on marketing content through online channels

It is an old adage that more you interact with your customers, the more business you get from them- which can be only made possible through a digital medium.  Content marketing on online platform, therefore is an essentiality that can be simplified through the incorporation of chatbots.

  1. To build an interactive marketing platform

The digital media is known to depend upon static mediums such as apps and websites to create engagement.  Chatbots are the players that elevate these platforms by creating an interactive framework, helping the message reach to the core of human psyche.

While chatbots are revolutionizing industries at large, here are two verticals where these entities are creating maximum impact-

Chatbots in Banking Industry  

The world has already got used to the transition of online and mobile banking, in place of physically visiting the banks. Now we are witnessing an emerging presence of chatbots in the banking sector are providing help in managing our finances, make payments and even shop through a seamless medium. Many leading banks and financial institutions have implemented chatbots as one of the services available to their customers, therefore creating an engaging experience for customers to be marvelled at.

Chatbots in Retail Industry  

Retail industry is THE sector where chatbots have really made a humungous difference. The creating of a rousing e-commerce faction in our industry has been possible through these developments. There are two types of conversations that chatbots help in capitalize on :

  • Pre-sales bots help in acquisition by generating new revenue from fresh clients
  • Post-sales bots help in retention and loyalty

Many online stores are now adopting chatbots to act as shop assistants through which one can get a detailed description of the inventory, compare prices and get supplementary products to maximise on the purchase. They mimic the compliance of a real life assistant to help consumers make smarter decisions- aiding the business in escalating profit and visibility. Finally, chatbots help brands in acquiring better leads and get more conversions out of minimal effort applied.


In this era of integrated marketing paired up with creating a profound experience, chat bots are ticking off majority of the boxes for profitability and growth.


Note: The views and opinions expressed are solely those of the author and does not necessarily reflect the views held by Inc42, its creators or employees. Inc42 is not responsible for the accuracy of any of the information supplied by guest bloggers.