Voice Assistants Set to Revolutionize Commerce in the Next Three Years
User Spending via Voice Assistants Is Expected to Grow as Much as Six Times in Three Years
Capgemini’s Digital Transformation Institute has recently released a new report titled, “Conversational Commerce: Why Consumers Are Embracing Voice Assistants in Their Lives,” which highlights how consumers are using voice assistants and the opportunities this creates for businesses to connect with their customers. The report, which surveyed more than 5,000 consumers in the US, UK, France, and Germany, found that voice assistants will become a dominant mode of consumer interaction over the next three years, with shoppers who use the technology willing to spend 500 percent more than they currently do via this mode of interaction.
Voice assistants will revolutionize ecommerce
Consumers are developing a strong preference for interacting with companies via voice assistants. The research found that today around a quarter (24 percent) of respondents would rather use a voice assistant than a website. However, in the next three years, this figure will rise to 40 percent. Close to a third – 31 percent – said they will prefer a voice assistant interaction to visiting a shop or a bank branch, compared to 20 percent today.
Voice assistant users are currently spending three percent of their total consumer expenditure via voice assistants, but this is expected to increase to 18 percent in the next three years, reducing the share of physical stores (45 percent) and websites (37 percent).
While streaming music and seeking information remain the most popular usages for voice assistants today, over a third of respondents (35 percent) have also used them to buy products such as groceries, homecare and clothes. Currently, 28 percent of users have already used a voice assistant to make a payment or send money, but 44 percent of users have expressed interest in using voice assistants for banking transactions as more smart speakers enable functions such as credit card payments via voice.
Consumers are highly satisfied with the voice assistant experience
Consumers who use voice assistants are very positive about their experience, with 71 percent being satisfied with their voice assistant. In particular, 52 percent of consumers cite convenience, the ability to do things hands-free (48 percent), and automation of routine shopping tasks (41 percent) as the biggest reasons why they prefer using voice assistants over mobile apps and websites.
The ability for the voice assistant to understand their human user is also critical; 81 percent of users want the voice assistant to understand their diction and accent. The report also revealed that voice assistants are most popular among 33-45-year-olds, while close to one in five (17 percent) have an annual pre-tax household income of more than $100K.
Voice assistants will yield concrete benefits for retailers and brands
Brands who provide good voice assistant experiences will generate more business and positive word-of-mouth communication. The report found that 37 percent of voice assistant users would share a positive experience with friends and family, and even 28 percent of current non-users would want to transact more frequently with a brand following a positive experience. This equates to serious potential financial gain, as consumers are willing to spend five percent more with a brand following a good experience with a voice assistant.
Mark Taylor, Chief Experience Officer, Digital Customer Experience practice, at Capgemini, said, “Voice assistants will completely revolutionize how brands and consumers interact with each other. What makes voice assistants so exciting is that they are woven into the fabric of our lives, offering a simplicity and richness of interaction that consumers have never experienced before. Brands that are able to capitalize on the huge consumer appetite around voice assistants will not only build closer relationships with their customers but create significant growth opportunities for themselves.”
Capgemini’s Digital Transformation Institute surveyed over 5,000 consumers in the U.S., the UK, France, and Germany. The quantitative research was complemented with focus group discussions with consumers from each country, conducted virtually. The survey – as well as the focus group discussions – had a healthy mix of demographics and user/non-user persona.