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Five Reasons Live Chat Is a Cash Factory

By Zohaib Liaqat - 233 Comments
Sometimes the connection between an action and a result can be foggy.

Businesses often make investments in new tech and software-based more on hope than a real understanding of the benefits. Right now, business models are adopting live chat to increase customer satisfaction and income.
Yet, the reasons the best live chat software works so well can be unclear.

Here are five ways live chat turns customer service into a money production line.

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Fast Response

In the e-commerce world, patience is for losers. Customers want their answers, and they want them now!
Live chat delivers in record time. It seems like we’ve all been on hold with customer service for a half hour or waited a day for an emailed answer.
Then comes live chat with its average response time of just 23 seconds!
And it doesn’t stop there. Most chat conversations are just 6-12 minutes long.

Customer Preferences

We all want to make our customers happy, right?
Then we should all focus on live chat. 79% of customers say they want live chat because it is immediate and that it solves problems faster than all other options.
Furthermore, among voice, forums, email, Facebook, and Twitter, live chat comes out on top of the customer satisfaction mountain with a 92% approval rating.
In addition, live chat may be immediate, but it is not urgent. Over half of customers prefer it because it allows them to multitask. Over 20% of consumers even say it allows them to shop while at work.

Software Help

Online businesses can excuse themselves from live chat no longer. Today, a wide variety of chat-enabling software options are available. LivePerson and JivoSite have over 300,000 subscriptions each. LiveChat, Olark, and Intercom are all hot on their heels with over 150,000 subscriptions each.

Optional packages give businesses the power to acquire customer information, proactively offer assistance – even see what the customer is writing before the message is sent.

Conversion Rates

Great service sells. Live chat is a proven winner when it comes to conversion.

Over half of customers state they are more likely to buy when they use live chat. In addition, 29% say they are more likely to purchase items when live chat is offered proactively, even if they don’t use it.

Overall, those who take advantage of live chat convert three to five times as often as an average customer. That success also transfers to business-to-business commerce, where chat boosts conversions by over 20%.

Return of Investment

The numbers are certainly impressive, but is live chat worth the investment of time and money?

Studies demonstrate it is. The return on investment from typical live chat software hovers around 300%.

It’s easy to see why. Chat costs 400% less than phone support. And it reduces call volumes by a reported 40%. Additionally, the average chat employee can do the work of 15 email support reps.

Also, live chat grows order sizes. Carts increase 10% for customers who utilize live chat. The average chatting visitor brings four-and-a-half times the value of a non-chatter.

Live chat is boosting the revenues of businesses across the spectrum.

Why not put this cash factory to work for you?

Guest Author

Josh Wardini | Community Manager at  Webmastersjury | Location Incapable Internet Enthusiast | Re-Designer of the World Around | Bodybuilder trapped in a Computer Geeks Body. 

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