Customers often have questions when viewing your website. This can be questions about pricing, shipping, payment options or company policies. If the information they need is not available, they are likely to leave your site.
Live Chat Software can help.
Live chat is a traditional form of live chat. It allows people to chat to Customer Support via a chat box on your website. However, this can become time-consuming if there are a lot of customers asking questions.
Using AI Live Chat Software can help. Using artificial intelligence they can understand what your customers are asking, provide them with relevant answers and automate certain parts of the Customer Support.
For an online store they can help customers with queries around delivery times, product availability and returns. For software companies they can help guide customers to the right subscription.
How Does AI Live Chat Software Work? Will it be right for my business?
We’ll explain the key features, benefits, practical uses, potential issues and how to choose the right option.
What Is AI Live Chat Software is a customer communication tool that uses artificial intelligence. It can understand the questions your website visitors have and provide them with relevant answers.
They can understand simple questions and provide answers based on available information.
Unlike basic chatbots, AI powered chat assistants can often understand different phrasing of questions.
For example:
How long does it take to deliver?
When will I receive my order?
What are your delivery times?
An AI chat assistant will realise these are all related to delivery information.
Depending on the software, they can also help customers find products, explain services, gather information on their queries and help them talk to a real person.
AI Live Chat Software can be used by online retailers, service providers, financial companies, travel companies and software businesses.
How Does AI Live Chat Software Work?
AI live chat uses multiple technologies to understand messages and provide relevant answers. How they work can vary depending on the platform. Here are the key points.
1. Customer Starts A Conversation
A visitor opens up the chat box on your business website and asks a question.
For example, a visitor to an online electronics store may ask if a particular laptop is in stock.
The chat assistant will then begin to process the message.
2. AI Understands The Question
The system will use natural language processing to understand the question being asked.
This can help understand what they’re asking.
For example, if they ask about refunds they can provide them with information from your returns policy.
3. Find Relevant Information
The AI chat assistant will use the information and resources available.
This can include:
- FAQs.
- Product descriptions.
- Delivery policies.
- Returns information.
- Service information.
- Help centre articles.
Depending on the platform they can sometimes integrate with your business systems.
4. Provide An Answer
Once the system has found relevant information it will send them an answer. If the customer needs further help they may ask further questions or refer them to a real person.
You should regularly check the answers they are providing to ensure they are giving customers the right information.
Benefits Of Using AI Live Chat Software
AI chat can help your business manage customer queries. Here are some of the key benefits.
1. Faster Answers To Customer Questions
Customers may not want to wait for an email or for someone to be available to help them.
AI chat assistants can provide quick answers to common questions. This can help customers to easily find the information they need.
For example, if someone visits a hotel website and asks about check in times the AI assistant can provide them with the relevant information if the hotel policies are available.
This makes it easier to provide basic answers.
2. Available Outside Of Working Hours
Some businesses only have real people available within set working hours.
This can be inconvenient if a customer is visiting your website in the evening or at the weekend.
Depending on the platform, AI Live Chat Software can provide automated assistance outside of working hours.
For example, if someone is browsing an online store based in the UK late at night they can still ask about delivery policies or product information.
Complex queries may need to wait until someone is available.
3. Reduce Repetitive Tasks
Customer Support teams often get asked the same questions.
This can include:
- Opening times.
- Payment options.
- Delivery information.
- Account sign ups.
- Returns/refunds.
- Subscription plans.
AI live chat can provide answers to many common questions using approved information. This means your employees have more time to spend on complex queries.
4. Improve The Customer Experience
A confusing website can make it difficult for customers to find what they’re looking for.
An AI chat assistant can help to guide customers to the right pages, explain what services you offer and answer common questions.
For example, someone visiting a software company website may not know what subscription plan would be right for them.
The assistant can explain what options they have using the information provided by the company.
This can make your website easier to use and help customers make informed decisions.
5. Handle Multiple Customer Queries
Your business may receive many customer queries.
Real people don’t have unlimited time to answer each message.
AI live chat can help to answer multiple common queries. Depending on the platform they can answer multiple at once.
This can be useful for businesses who get busy, such as online retailers during seasonal sales.
However, you should ensure the quality of the conversations and that they can be passed onto real people.
6. Gain Useful Customer Insights
Some AI live chat platforms provide reporting and analytics.
This can help you see:
- What are the most common questions?
- What are customers getting confused about?
- What information can’t they find?
- How many chats need to be passed onto real people?
- What queries can’t be resolved?
For example, if customers keep asking about size options for a product you may decide to make this information more visible on your product pages.
This can help organisations improve their website and Customer Support.
Common Uses For AI Live Chat Software
AI live chat can help with many aspects of your business. It will depend on what type of customers you have and what information you have available.
E-Commerce & Online Stores
Online retailers can use AI chat assistants to answer customer questions.
This can include:
- Explaining product features.
- Delivery information.
- Return policy questions.
- Helping to find products.
- Payment options.
- Passing customers onto order support.
For example, if someone is buying a mobile phone they may ask about storage and colour options. If the chatbot has access to accurate product information they can provide the answers.
Small Businesses & Service Providers
Small Businesses may not have a large Customer Support team.
An AI chat assistant can help answer common questions about your services, pricing, appointments and opening times.
For example, a local cleaning company could use the chat function on their website to explain what services they offer and gather basic information about their queries.
They can then follow up with customers.
SaaS & Software
Software companies often get questions about subscriptions, setting up accounts and technical support.
AI live chat can help customers understand what features your product has, compare subscription plans and find the right articles to help.
Existing customers can be guided to troubleshooting instructions.
Travel & Hospitality
Hotels, travel agencies and booking companies can use AI chat assistants to answer common questions about bookings, facilities, check in times and booking policies.
For example, someone visiting a hotel may ask if breakfast is included in a particular room package.
If they have the right booking information they can provide an answer.
Key Features To Look For In AI Live Chat
Not all live chat platforms will have the same features. Consider what features you need.
Understands Natural Language
The software should be able to understand common customer questions. This includes understanding different ways of asking the same thing.
This can help customers to speak naturally.
Handover To Real People
Not all customer problems can be solved by AI.
Choose a platform that lets you pass the conversation onto a real person. The process should be clear and not make customers repeat their information.
Knowledge Base
A knowledge base provides useful information about your business. This can include FAQs, product information, policies and help articles. Some AI live chat platforms can use this to provide answers.
Consider how they integrate with your existing knowledge base and how you can update the information.
Integrations With Website & CRM
The software should integrate with your existing systems. This can include:
- Website platforms.
- CRM software.
- E-commerce platforms.
- Customer Support.
- Email.
Consider if these are included in the subscription or if there are extra charges.
Reports & Analytics
Look for reports to help you understand your chat activity and Customer Support.
This can include how many conversations you’re having, what are the most common questions, quality of answers and how many conversations are passed onto employees.
Security & Privacy
Customer conversations can include personal or business information.
Consider how the software stores and processes Customer Information. Who has access to it? What security features can you use? Consider what privacy requirements apply in the areas you operate in.
How To Choose The Right AI Live Chat Software
Not knowing what you need can mean you pay unnecessary amounts and have a complicated system. Follow these steps to choose a more suitable option.
1. Know What You Need From Customer Support
Consider what are the most common questions your customers ask.
For example, an online store may get lots of questions about delivery, returns and product availability. Whereas a software company may get more questions about setting up accounts and technical issues.
Identify what conversations you could automate.
2. Set A Budget
Some AI live chat platforms can be free, some may charge a monthly fee and some may charge based on usage. The cost can depend on how many conversations you have, what features are available, integrations and how much AI you use.
Consider the overall cost.
3. Consider The Features
Create a list of the features you need for your business.
A small business may just need simple automation and handing over to real people. Whereas a larger company may need integration with CRM, reports and more advanced conversation management.
4. Try It Out
If possible try out the software. Ask real life customer questions and consider:
- Can they understand common queries?
- Are they providing the right information?
- Can they understand unclear questions?
- Do they know when they can’t answer?
- Are complex conversations handed over to real people?
5. Check Privacy & Security
Read up on the privacy and security features. Consider:
How is Customer Information stored? Are they using it to train AI models? What security features can you use? Choose a solution that fits with your legal and security requirements.
6. Monitor Performance
Once your chat assistant is up and running regularly check how they’re performing. Are they providing the wrong answers? Are customers complaining about the same thing? Are there questions they can’t answer? Update the information and settings as needed.
Potential Issues With AI Live Chat
Whilst AI live chat can be useful there are some things to consider.
Providing Incorrect Information
AI can sometimes misunderstand questions and provide incorrect information. This can frustrate customers and cause a loss in trust. Ensure you have reliable information sources, test the assistant and monitor what they’re providing.
Not Understanding Real People
Some conversations will require empathy, judgement and detailed problem solving. An automated assistant may not be able to handle complaints, sensitive issues or unusual requests. Ensure customers have access to real people.
Cost Of Setting Up
AI live chat may have costs associated with it. This can include subscription fees, integrations, training employees and maintenance. Ensure this is worth the issues you’re trying to solve with Customer Support.
Customer Data
Chat conversations can include personal information such as names, contact details and order information. Ensure you understand how your chosen provider handles this information and that you’re following the correct privacy requirements. For example, in the UK you should consider UK GDPR and relevant data protection. In the USA you should review the relevant federal, state and industry requirements.
Frequently Asked Questions
1. What Is AI Live Chat Software is a tool that uses artificial intelligence. It can understand customer questions, provide them with relevant information and automate some Customer Support.
2. Can Small Businesses Use AI Live Chat Software?
Yes! Small Businesses can use AI live chat to answer common questions, explain services and gather customer queries. It will depend on your budget and what support you need.
3. Can AI Live Chat Replace Real People?
No. Whilst AI can answer common questions, you’ll still need real people to answer complex issues, complaints and sensitive conversations. A good system should make it easy to pass conversations over.
4. Can AI Live Chat Be Used Outside Of Working Hours?
Many AI live chat systems can provide automated answers at any time. However, you may still need real people during working hours.
5. How Much Does AI Live Chat Software Cost?
Costs can vary. Some are free whilst some charge a monthly fee or based on usage. Consider what features are limited, how many conversations you can have and if there are any extra costs.
6. Is AI Live Chat Secure?
This will depend on the provider and how you use it. Consider what security features they have, how they store data, who has access and what their privacy policies are. Don’t ask for unnecessary sensitive information.
Conclusion
AI Live Chat Software can help your business manage customer queries, provide quicker answers and reduce repetitive tasks.
It can be useful for online stores, Small Businesses, service providers and software companies who want to make their website easier to use.
However, you should consider more than just features and pricing when choosing the right platform. Consider how accurate the answers are, real people, integration and customer data.
Start with common customer questions, carefully test the software and improve over time.
Used responsibly AI live chat can help your customer service teams and make everyday interactions easier for you and your customers.
