Chatbots have become a popular tool for businesses of all sizes, and eCommerce companies are no exception. With numbers for eCommerce retail sales expected to reach $8.1 trillion by 2026, it’s safe to say the competition is fierce. The advent of new chatbot technology just may be what you need to adopt to stay ahead and future-proof your eCommerce business.
by Vijay Talreja
Developed by OpenAI, ChatGPT is an emerging chatbot that interacts with users in a conversational flow. ChatGPT’s ability to accurately and intelligently engage with consumers and fetch responses transcends anything the public has seen before. According to Open AI, the dialogue format makes it possible for ChatGPT to admit its mistakes, challenge incorrect premises, and reject inappropriate requests. What’s more? During the research preview, usage of ChatGPT is free.
Let’s take a look at some use cases of ChatGPT in eCommerce.
1. Enhanced Product Descriptions
Ecommerce is a very competitive industry. Between the number of marketplaces and individual etailers, consumers having seemingly endless choice. Companies must go the extra mile to stand out. For many, this comes down to captivating the customer on their first site visit. They want to dazzle the customer from the onset by showcasing an impressively designed site, which is easily navigable, offering clear and concise content.
One way to win over customers and increase satisfaction is to have product descriptions that provide immediate value to the customer. Product descriptions are an integral part of your website and can be the reason why your sales sink or soar.
Due to the competitiveness of the industry, differentiation can increase your chances for success. By providing a text description of your product, ChatGPT can produce unique product descriptions which you can further refine based on your needs. Giving accurate descriptions to your customers helps to build loyalty and credibility because they know they are getting exactly what was described.
2. Product Recommendations
Not all eCommerce websites are created equally. Difficult navigation combined with unexpected product placements can easily lead to browser fatigue, which leads to a less than desirable customer experience. What if you could help your customers find the right products? The ability to train ChatGPT to make product recommendations for your customers, based on their browsing and purchase history, can be a game changer for your site. Knowing your customers leads to an increased sense of customer satisfaction and can help to improve sales.
3. Customer Service
Chatbots can access and retain information to a greater extent than a human being, thus giving them the power to create a highly personalized customer experience. Another advantage of using chatbots in eCommerce is around-the-clock availability to offer service no matter what time customers are online shopping.
ChatGPT can be used to handle customer service inquiries related to:
- Frequently asked questions (FAQ’s)
- Order tracking- ChatGPT can provide customers with real-time updates relating to order status, tracking info, and estimated delivery timeframe
- Returns
This helps to reduce the strain on customer service teams and improve response times without compromising quality. At the end of the day, whether through human or artificial means, or a combination of both, good customer service delights customers and improves their customer journeys.
4. Personalized Promotions Through Email Marketing Campaigns
Based on browsing and purchase history, ChatGPT can be used to send promotions to different customer segments through personalized email marketing campaigns. Personalization helps to engage customers, boost loyalty, and drive repeat sales. Personalized emails can help to increase the effectiveness of your campaigns, but also lend favorably to your long-term marketing strategy.
5. Social Media
When it comes to eCommerce, it’s fair to assume that most businesses wouldn’t mind a few more “Likes,” “Shares,” or “Views.” Social media platforms enable eCommerce companies to connect with large audiences and promote their products. The challenge for many businesses is actively connecting on these platforms and engaging with their customers. ChatGPT can help with posts, promotional content, and product announcements. Higher engagement can lead to greater website traffic.
6. Upselling and Cross-selling
Based on your customers’ shopping interaction with the bot, ChatGPT can be used to make related product suggestions to customers during the checkout process. Additionally, customers can be informed of additional deals. This can drastically improve the overall customer experience by helping them to save money and increasing the average order value (AOV), driving product sales and revenue.
Early Adoption of ChatGPT: Is it Right for You?
If the pandemic taught us anything, it’s that companies are implementing digital initiatives at a greater pace to remain competitive. Although ChatGPT can be considered early stage, taking advantage of this technology in its current state offers many benefits as detailed in the use cases. ChatGPT can be a powerful tool for eCommerce businesses looking to improve the customer experience and increase sales. With its ability to understand natural language and provide personalized recommendations and promotions, ChatGPT can help eCommerce companies gain a larger market share, build stronger relationships with their customers, increase satisfaction, and incrementally drive sales. It may be just what your eCommerce business needs.
Vijay Talreja is Senior Vice President, Digital Commerce at Apexon
Apexon is a digitally native company that is helping E-Commerce and D2C companies across the globe rethink their business processes, modernize customer engagement, and leverage digital technology and data-driven insights to create a sustainable competitive advantage. Our combination of technical expertise and software accelerators enable our clients to deliver new digital services to market faster and more efficiently with the highest possible service levels. To personalize engagements across commerce channels for increased revenues and improved customer satisfaction, check out Apexon’s Digital Commerce services.
This article originally appeared on Apexon. Photo by DeepMind on Unsplash.
