To Bot, or Not to Bot

If you’re wondering whether or not chatbots are right for your business, check out our infographic.

Chatbot use is growing – and having a system in place to understand what return you can get from this technology will be vital for any successful roll-out.

Why Chatbots?

61% of consumers feel that having Chatbots in customer service is the way of the future.

Nearly 50% of consumers already engage in automated conversations with Chatbots.

80% of organizations call artificial intelligence “important”.

Sixty-one percent have plans to incorporate (or continue incorporating) AI into their customer experience.

How Can Chatbots Help Me Save?

Chatbots currently account for business cost savings of $20 million globally.

Chatbots are expected to trim business costs by more than $8 billion per year by 2022.

29% of customer service positions in the US could be automated through Chatbots and other currently available technology.

Researchers predict that within the next five years, between 75 and 90% of queries will be dealt with by Chatbots, with cost savings of up to $0.70 per interaction. See below for a potential ROI model.

Calculating the ROI of Chatbots

Identify Eligible Queries. First, examine what queries your company currently receives over live chat. Then, identify the top simple queries that could be resolved by a Chatbot.

Calculate the Percentage of Chats Dealing with Eligible Queries. Calculate how many of your chats are made up of simple (what a bot could answer) vs complex queries (what an agent should answer). Note that the 80:20 rule usually applies – 20% of queries represent 80% of query traffic.

Calculate Agent Time Spent on Eligible Chats. Calculate the estimated handle time for these types of simple inquiries.

Estimate the Annual Cost of Handling Eligible Chats. Multiply the hourly pay of your agent by the hours spent on these kinds of interactions. Get your annual cost by multiplying your monthly cost by 12.

How Does the Chatbot Stack Up? Compare your annual cost with your quoted Chatbot cost to find out how much you could save.