Is Conversational AI Best New-Age Solution For Ecommerce?
In the recent 2-3 years, digital shopping has emerged as the most convenient and popular way for consumers as well as business owners to interact with them.
There are numerous advantages but of the many functions virtual assistants help to automate and most importantly help increase sales. The spearheading of virtual conversational assistants has been backed by advancements in Natural Language Processing (NLP) and Natural Language Understanding (NLU).
“Customers in Tier II and III cities have a very unique set of needs and aspirations from retail and ecommerce players compared to their Tier 1 city counterparts. Customers prefer a very personalised and social experience with online shopping. “Companies require to break through the incumbent technology barriers that customers in these markets face - vernacular language support, chatbots and conversational AI helps improve customer acquisition and customer retention,” Roshan Farhan, Co-founder, GoBillion explains the on-ground reality.
What Is Expected ROI?
The trend is on such a high rise that in the next five years, conversational AI tools would move beyond websites and push personalised communication on platforms. “WhatsApp commerce will change how ecommerce brands plan their ‘direct-to-consumer’ strategy, to an extent where brands might first launch on WhatsApp before they launch a website or an app,” Ankit Samaria, Product Development Manager, Adyogi expresses.
Brands can improve product discovery by analysing and asking about users' preferences, controlling drop-offs, cart abandonment, placing orders, returns, cancellation, and order status and also optimising the conversion funnel – all of this is possible with chatbots.
“The other big benefit of this technology is that these conversations result in millions of data points. This is a goldmine for brands that can make data-backed decisions. AI and automation can be a big boon as it results in scaling and improving operational efficiencies,” foresees Mangesh Panditrao, Co-Founder and CEO, Shoptimize.
Enhancing Customer Experience
Conversational AI is at the cusp of a revolution, and today, brands have an opportunity to break all language barriers by making conversations customer-centric and truly vernacular. Most users find messaging the most convenient way to stay connected with businesses. An average user checks their WhatsApp most frequently in a day, so it’s a no-brainer for brands to be present on this channel.
"We’ve seen multiple large-scale brands deploy Hinglish chatbots to connect with their customers. Another breakthrough feature has been WhatsApp Voice Notes. This will help brands unlock the power of Voice and AI," Aakrit Vaish, Co-founder and CEO, Jio Haptik.
What’s The Road Ahead?
The new-age consumers are already tech-savvy and prefer end-to-end digitized services to meet their needs. With increased smartphone penetration and data proliferation, consumers have increased their social media engagement beyond just recreation. They are increasingly turning towards this platform to connect with brands and fellow users.
Small town India remains an untapped opportunity – India is still in the early stages of online commerce. By utilising a variety of tech-enabled formats, including conversational commerce and group buying, companies are required to focus more on vernacular and voice commerce. India’s retail market is rapidly evolving, finding innovative ways to sell directly to consumers.
