Over Half of Online Shoppers Who Use Chatbots Are More Likely to Shop From Brands Using Conversational AI

67% of ChatGPT users feel understood often or always, while only 25% of shoppers feel understood by current chatbot technology

E-commerce retailers are eager to improve their chatbot integrations to better address customer needs, from order tracking to personalized recommendations. Capterra’s 2023 Retail Chatbots Survey of over 1,000 U.S. shoppers found that over half of them have negative experiences with retail chatbots, opening the door for ChatGPT integration.

Read More about AiThority Interview: AiThority Interview with Jon Zimmerman, Chief Executive Officer at Holon Solutions

“With natural language processing, better handling of nuance, and a greater ability to personalize responses, conversational AI has the potential to improve chatbot experiences by simulating the personalization and creativity provided by human agents.”

Widespread adoption of conversational AI chatbots is expected as large companies partner with ChatGPT or roll out their own bots. As AI-driven customer service becomes the status quo, growing businesses will follow suit, turning to chatbot vendors for affordable options. AI-enhanced shopping experiences will greatly benefit businesses by tracking behavior and guiding decisions throughout the buying journey with greater personalization.

Traditional chatbots fail to meet customer expectations and lack sales prowess. Only 17% of retail chatbot users have used a bot to search for products, and just 7% have used it to receive product recommendations. With greater capacity to handle customers’ nuanced and complex queries, ChatGPT-like integrations can improve the most common issues with retail chatbots. In fact, 67% of ChatGPT users feel understood by the bot often or always, versus 25% of traditional chatbot users.

AiThority Interview Insights: AiThority Interview with Kyle Wong, Chief Strategy Officer at Emplifi

ChatGPT wows consumers and business leaders alike, but so far is underutilized in e-commerce. Retailers are enthusiastic about what ChatGPT could do for their businesses—many have used it for email marketing and content, but without an available integration, they can’t yet leverage the AI for day-to-day customer service chatbot needs. Capterra’s research indicates untapped opportunity here: 56% of respondents who have used ChatGPT say they’re more likely to shop from a brand offering a similar tool.

“Most retail chatbots are rule-based bots and are best used for basic functions, like order shipping status or inventory checks,” says Molly Burke, senior retail analyst at Capterra. “With natural language processing, better handling of nuance, and a greater ability to personalize responses, conversational AI has the potential to improve chatbot experiences by simulating the personalization and creativity provided by human agents.”

When making software purchasing decisions, it’s important to select chatbots that have, or plan to, integrate AI functionality. Read the full report on Capterra.com to see expert recommendations based on data and testimonials from growing businesses.

Businesses looking for tools to address their customer service needs can check out Capterra’s current list of customer service software or conversational AI platforms.

 Latest AiThority Interview Insights : AiThority Interview with Malcolm Koh, Director, CX Practice at Zendesk

 [To share your insights with us, please write to sghosh@martechseries.com]