Just what is "conversational commerce"?

Simon Edward • Sep 09, 2022

A recent development in eCommerce is "conversational commerce". Read on to find out just what it is and how it can help your brand to grow.

Just what is

The face of eCommerce is always changing, and a recent development has been the phenomenon of "conversational commerce".


Until recently, interactions between consumers and online stores have been through email, or phone at a push. We're heading further and further away from having a chat with a shopkeeper to find out what's new in stock – perhaps the original example of conversational commerce.


More recently, website chatbots have proliferated. You'll have seen these pop-up chat windows on company websites. They function as a kind of customer triage. The bot asks pre-set questions to see if the problem can be solved. If the problem is persistent, or the customer's inputs are difficult to decipher, the conversation gets transferred to a live agent.


Chatbots, by contrast, are fully automated. They're attractive to businesses because, like any form of automation, they are cost-effective.


Because chatbot responses are pre-saved, they are excellent at answering FAQs. If the query is more complex, they tend to be of less use. That said, the technology is evolving constantly, so user-friendliness is likely to improve.


The next step is for companies to integrate their online stores with messaging apps and even voice technology. Consumers are increasingly able to chat with retailers via Facebook Messenger and WhatsApp.


When we say "chat with the company", this could be with a human, a chatbot or a combination of the two. Domino's, for instance, has a Facebook Messenger chatbot called Dom, which responds to the word "pizza" or a pizza emoji (🍕).


Why messaging apps?


This development is in response to the ever-increasing volume of messages being sent on messaging apps. In the era of WhatsApp groups, people are using them for all forms of communication – and businesses are embracing this fact.


Let's crunch some numbers. According to
recent research, 41 million messages are sent out every minute, and around 2.9 billion people now use Messenger and WhatsApp. And this industry shows no sign of slowing down, with those two apps growing 30% year on year. Messaging apps have outstripped social media – and conversational commerce reflects this shift in the market.


Conversational commerce has the potential to create a more direct bridge between customer and retailer. The transition from high street to eCommerce is going one step further – consumers are now able to select and purchase products and services within a messaging app.


The main advantage is, of course, convenience. This is partly because it means one less app cluttering up your home screen. But it's mainly because many consumers want to be able to engage in a conversation, something that has been somewhat lacking from eCommerce. Conversational commerce is integrating the experience of chatting to a shop assistant with the advantages of online shopping.


Let's say you're looking for a fine bone china tea set, with a budget of around £200. You message the Fine Bone China Tea Set Co. (established 30 seconds ago) with your request. The FBCTSC's chatbot Terry replies with pictures of possible options, product descriptions, and shipping and delivery details. If you like what you see, you're then able to make the purchase, all without closing the app. If you don't, the bot can suggest alternatives.


Of course, many consumers enjoy doing their homework before making a purchase – reading reviews and product descriptions and comparing prices, their browsers bristling with tabs. For these buyers, the chat will be part of their research – for others, a self-contained shopping experience.


From the business's point of view, this not only recreates some of the experience of chatting to a sales rep but also provides opportunities to cross-sell and upsell.


Setting up another private line


One advantage of conversational commerce is that it creates a private line between consumer and company. In the event of a complaint, this has the potential to help contain the exchange so it doesn't spill over onto public social media posts.


Other possibilities


Conversations can also take place via video or voice assistants. Skincare brand Clinique, for example, provides skincare advice and makeup tips through video chat.


Meanwhile, voice assistants like the Amazon Echo can be used for shopping. It makes personalised recommendations based on users' purchase histories.


Advantages of conversational commerce for retailers


We've touched on some of these already, but let's take a look at some of the ways that conversational commerce can benefit your eCommerce brand.


1. Reduce cart abandonment


Many shoppers use their online store as a wishlist, bookmarking products that they're considering buying. Conversational commerce can help close a deal by keeping the transaction within a live chat, chatbot, or app.


2. Close potential leads


Because you're providing one-to-one support through conversation, you have the opportunity to seal the deal in a way that web browsing doesn't allow.


3. Gather feedback


Rather than relying on web forms for feedback, you can gather your customers' thoughts on their journey through conversation. This has the potential to seem less of a chore, which in turn can improve customer satisfaction.


4. Create opportunities for upselling and cross-selling


By conversing directly with customers, you have the chance to upsell and cross-sell in a chatty, relaxed way.


How do we use conversational commerce?


At Stowsafe Fulfilment, we provide bespoke logistics services to help you save time and grow your business.


Our website features Stow-Bot, our own eCommerce and fulfilment superbot. This provides an easy-to-use portal for finding out about our services and how we can meet your requirements. If you need more information, it puts you in touch with one of our experts.


If you're looking for help with order fulfilment, get in touch via Stow-Bot or take a look at our
fulfilment services to see what we can offer. We aim to take routine logistics tasks out of your hands so that you can focus on building your brand. Get in touch – we'd love to hear from you.

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