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What is Live Chat Customer Service and Why You Need It

Thursday 26th September 2024

Blog Author Beth Perrin by Beth Perrin

When shopping in-store, customers’ questions, queries and issues can usually be resolved quickly by staff members on the shop floor. Whether they want to know more about specific products, ask for additional clothing sizes or find out when an item will be back in stock, an employee is likely just a few steps away to help provide the required level of care and attention. But with 63% of buying journeys now beginning online, the role of eCommerce within the retail market has never been bigger - and with that role comes the responsibility of offering a standard of customer service that’s on par with the one seen in physical stores.

That’s why a Live Chat plugin is an essential tool for your business to incorporate into its website. In fact, today, more than 41% of consumers expect to see this feature when visiting an eCommerce site. Read on to discover the benefits.

 

Live Chat Increases Personalisation

80% of consumers prefer to buy from companies that provide a tailored experience and 66% of them expect brands to understand their individual needs - and Live Chat is a great place to offer this level of personalisation. Talking to customers while they’re right there on your website means you can suggest items, services and deals that suit their preferences and requirements instead of leaving them to navigate their way through products and information that aren’t right for them, while also showing them that your brand is highly attentive and cares about them on a personal level.

Personalisation is becoming more and more important, as customers find themselves increasingly frustrated with seeing content and messaging that doesn’t reflect their needs, and more loyal to brands who offer bespoke experiences. 92% of shoppers agree that they’re more likely to make a purchase after being provided with personalised recommendations.

All Live Chat plugins vary, but many of them include a chat history feature which allows you to see whether a visitor has previously chatted with your company and what’s already been discussed. 72% of people expect an agent to remember their details, including support history and product information, without having to request them again - plus 9% of consumers say having to repeat themselves is the most frustrating part of a customer service experience, indicating the need for genuine recognition rather than simply viewing them as another ticket number.

 

Live Chat Reduces Cart Abandonment

More than half of cart abandonments happen as a result of customers not being able to find quick answers to their questions, demonstrating how crucial it is to be available to chat to shoppers before they become frustrated and decide to give up on their purchases. Whether they need more information about the products in their cart, details about an offer or promotion, shipping and delivery options or payment methods, it’s essential to monitor for strong buyer signals so that you can jump in and assist them with their queries before it’s too late.

Interacting with a Live Chat agent makes customers 2.8 times more likely to end up buying a product, and those that do so tend to spend around 60% more than non-chatters, proving the tangible link between Live Chat conversations and ROI.

 

Live Chat Encourages Repeat Purchases

As well as reducing the likelihood of cart abandonment, Live Chat also helps facilitate repeat purchases, with 63% of customers saying they’re more likely to return to a website that offers this service. Think of it from a buyer’s perspective: if you’ve had a great interaction with a business online, they’ll be at the top of your list the next time you need to order a similar product. Testing the waters with a different brand you’ve never bought from before can be risky as you don’t know what level of service to expect, whereas sticking with the best is exactly how brand loyalty and brand love are formed.

Repeat purchases increase a customer’s CLV (customer lifetime value), a metric that measures the total revenue your business can expect from a single customer throughout the relationship. Achieving a high CLV for each customer will help you reduce the costs associated with acquiring new customers, while also boosting the likelihood of advocacy and helping you predict your churn rate - naturally, those with a high CLV are less likely to churn.

 

Upsells and Cross-sells

Upselling and cross-selling are another important part of Live Chat. Upselling means suggesting a higher value item to a customer than the one currently in their cart, while cross-selling means encouraging customers to purchase add-ons or accessories to complement the item they’re currently buying, therefore increasing the total value of the sale.

Of course, you should avoid being pushy with your customers when it comes to these kinds of interactions, as suggesting too many extras can be off-putting and may deter them from completing the purchase at all. However, there’s nothing wrong with using Live Chat to gently make them aware of the benefits of a higher-end product or additional item and show them how it will meet their needs.

 

Insights and Data Collection

Live Chat’s forward-facing abilities aren’t the only beneficial aspect for your business - the backend also provides valuable data and insights about your customers. Most chat plugins will show you information such as which device and operating system each shopper used to access the chat, which page of your website they were on when they began the conversation, and how long they spent on your site before getting in touch. Combined with a post-chat survey, these findings can help you shape future business decisions and refine your customer service strategy based on the wants and needs of your chatters.

 

Outsourcing Live Chat

Outsourcing customer service to an external agency is becoming a popular option for many businesses, as it saves valuable time and resources for their internal teams and allows them to focus on what they do best - and the good news is that 78% of businesses feel positive about their current outsourcing partners. Live Chat is no exception, as the expectation of rapid responses can be challenging for in-house teams to keep up with while managing the rest of their incoming customer support requests. Because of this, enlisting the help of a dedicated team can be a great idea for businesses big and small.

Almost 54% of all companies already use third-party support teams to connect with customers and this number is only expected to grow, so if your brand is considering outsourcing its Live Chat facility to an agency, you don’t need to worry about being in the minority. Here at 3sixfive, our team will study your website, products and services in depth before we start interacting with your customers, and will adopt your brand’s tone of voice to ensure consistency with the rest of your communications. You can rest assured that your website visitors won’t be able to tell the difference between messages from our team and yours!

 

Summary

From product questions and shipping enquiries to personalised recommendations and restock requests, there are lots of different things your customers might want to ask you while they're browsing your website that will impact their retention rate - that’s why a Live Chat widget is a great option for your brand.

Are you considering installing one but aren’t confident that you'll be able to keep up with all of your incoming messages? Don’t hand the process over to an unreliable chatbot (86% of consumers prefer interacting with a human over a bot!). We’re here to help. Our team of live chat agents are available every day of the year to respond on behalf of your business and will ensure every customer receives a quick response to their enquiries. We’ll use your brand voice to guarantee a smooth and cohesive experience, plus we’ll take the time to learn everything there is to know about your products and services so that we can provide 100% accurate answers. Contact us today to get started.