Chatbots are becoming increasingly important for businesses worldwide to streamline their everyday operations, improve operational efficiency, and gain higher return on investments. So much so, Gartner predicts that chatbots will become a primary platform in customer service by as early as 2027.
Chatbots have become these massive digital assistants that the commercial world cannot have enough of. Their impact on businesses, especially customer service has been prominent and most businesses using chatbots have reported massive reductions in customer service costs
Here, in this article, we explore chatbot statistics and their significant impact on small, medium, and large-sized businesses worldwide across various industries.
Chatbot Statistics 2023-2024: The Statistics of the Worldwide Chatbot Market – An Overview
Chatbots have seen enormous growth in recent years and the global market of chatbots has reached exorbitant heights. Their impact on businesses, especially customer service has been prominent and most businesses using chat boards have reported massive reductions in customer service costs.
Previously, in the year 2022, the chatbot market was worth a colossal amount of $4.7 billion.
This chatbot market worth is growing rapidly and shows no sign of slowing down anytime soon. The technical and financial experts have predicted an extensive growth rate of $5.4 billion in the year 2023 to $15.5 billion in the year 2028 with a compound annual growth rate of 23.3%.
The Global Chatbot Market Size and Countries With the Highest Chatbot Market Net Worth
With every passing year, chatbots may grow even more extensively considering the advances in technology and the substantial changes and upgrades in chatbots. With the results chatbots have been providing, in the near future, almost all companies and businesses are likely to embrace chatbot usage which has led to the rapid growth of the chatbot market.
Here are some stats of the global chatbot market
- The chatbot market at the global stage was valued at $4.7 Billion in 2022.
- The market study has shown a CAGR (Compound Annual Growth Rate) of 23% on a global level.
- Attributing to the CAGR of 23%, the chatbot market is projected to grow from $5.4 Billion in the year 2023 to $15.5. Billion in the year 2028.
In terms of the chatbot market share, the leading countries are: –
1. United States – It amounts to 20.4% of the global chatbot market share.
2. Germany – It amounts to 10.1 % of the global chatbot market share.
3. Japan – It amounts to 8.2% of the global chatbot market share.
4. Australia – It amounts to 2.9% of the global chatbot market share.
In terms of the chatbot market CAGR, the leading countries are: –
1. China – China has the highest chatbot market CAGR of 24.3%.
2. United Kingdom – The United Kingdom has a chatbot market CAGR of 23.2%.
3. India – India has a chatbot market CAGR of 22.5%.
What Are the Major Benefits of Using Chatbots? A Quick Analysis
1. Chatbots are the long-awaited solution to Customer Service
Chatbots have had extensive growth in the customer service domain.
- Businesses have gradually been adopting Chatbot and have reported a jaw-dropping 30% reduction in customer service costs after its adoption.
- This definitely helps businesses to generate more revenue at a lower investment cost and there has never been anything as such before.
- The customer service cost reduction is estimated to increase with time as chatbots are improved and updated with more data.
- Also, when the employees in businesses are kept away from monotonous and tedious tasks with chatbots taking care of such tasks, the productivity rate of employees has shown improvement leading to a better work environment.
2. Round-the-clock Availability (Chatbot Statistics 2023-2024)
Major businesses have almost always faced difficulties with providing around-the-clock service. When businesses can provide around-the-clock customer services with the help of chatbots, what more can someone ask for?
- Adopting chatbots has effectively attended to this difficulty profoundly. The artificially powered chatbots provide a 24/7 service interminably and this has been one of the most intriguing features.
3. The E-Commerce Genius
If you are engaged in the e-commerce domain, chatbots are definitely your most yearned companion.
- Studies have shown that the usage of chatbots could possibly boost sales by a towering 67%. Chatbots have made this possible through their elite capability of generating more leads for businesses.
- Chatbot usage has helped businesses generate 36% more leads. Such high productivity numbers show how crucial chatbot usage can be in growing businesses around the globe.
4. High Returns on Investments
Extensive return on investments – Strategic implementation of chatbots can help businesses gain a significant ROI.
5. Staying in the game
In a world where every business is competing and trying to become better than the rest, you need all the tools and technologies at your disposal to stay ahead of the competition.
- In the modern world, one can never stay away from technology and more importantly, chatbots, as they have been at the forefront lately.
- Embracing the use of chatbots and making the most out of this technology will always keep your business in the game and at par with the competition existing today.
- Chatbots are not just fast but also precise in the data and response they provide. Reports suggest that the response rate of high-quality chatbots is 80-90%.
- Furthermore, chatbots have been developed to be sensible enough to leave any question that compulsorily requires a human answer to be omitted and redirect the same to human customer service support.
Chatbot vs Live Chat (2023-2024)
As major businesses have started using chatbots, it is very important to know the differences between chatbots and live chat. Owing to the growing personalization trend, modern chatbots have more human-like features. However, there are still major differences between a chatbot and a live chat with an actual person.
- Chatbots can definitely answer your queries 24/7 but they are not been able to handle complex issues and therefore require human intervention.
- Although a chatbot offers instant responses, 73% of the customers feel that live chat provides more satisfactory communication.
- Chatbots are highly cost-effective and help companies to keep employment to a minimum and it also helps in allowing the live agents to deal with more complex questions.
How Many Chatbots Are There?
Have you ever wondered about the number of chatbots that are currently active in the digital realm? We are definitely gazing at myriad. You would be surprised to know that Facebook Messenger alone claims to have over 300,000 active chatbots.
The figures are astounding. Furthermore, chatbots are said to be the most proficient multitaskers. Their profound abilities and capabilities are applicable in multiple industries. Travel, finance, healthcare, telecommunication, and much more.
How Many Companies Use Chatbots?
Have you ever wondered how many companies and businesses are currently using chatbots? The figures that the reports show are definitely intriguing. Chatbot usage is growing extensively and with the advancement in technology, businesses are definitely going to increase their dependence on chatbots in the future.
- Approximately, 58% of businesses in the B2B sector from around the globe are already relying on chatbots in several ways. Chatbots play a vital role in generating leads for B2B sector companies.
- Even in customer organizations, about 23% of the businesses use chatbots currently and take it from the experts as they have estimated 31% of the businesses dealing with customer service to engage chatbots within the next 18 months.
- In the B2C sector, 42% of the companies are currently using chatbots.
Most Common Uses of Chatbots by B2C Companies
Have you ever wondered about how and why B2C companies use chatbots? Chatbots have become extremely popular in B2C companies, especially in the banking sector where 43% of respondents have reportedly preferred using chatbots over going to the bank branch in person or searching for answers on a website.
- Chatbots are often used to answer the common and repeatedly asked questions and queries by customers.
- Several B2C companies deploy chatbots for marketing to send promotional messages to attract more customers.
- Various B2C businesses and companies use chatbots to allow customers to schedule their appointments and set reminders. This feature has helped companies increase the productivity of its employees.
- Another common use of chatbots is to track orders. Chatbots can easily provide updates about their orders etc. to all customers.
- B2C companies also use chatbots to generate leads. Chatbots have shown massive productivity in generating leads. Chatbots owe this to the initial data collected by initiating conversations, collecting contacts, etc.
- Chatbots are extremely efficient at conducting surveys, gathering information and opinions from customers at a large scale, and helping in market research and the development of products.
- With the massive data, speed, and storage capacity, chatbots have become very effective in comparing products and selling and purchasing smoothly so companies use chatbots for assistance in e-commerce.
- For companies working at a global scale, chatbots have become extremely useful and have made it easier to communicate with customers by actively helping with language support.
- Many B2C companies use chatbots for collecting data. Chatbots are used to gather information about the customers to list and categorize their preferences and improve customer satisfaction and experiences.
- Chatbots are used by B2C companies to recommend the correct product. Chatbots are experts at recommending products to customers according to their preferences and purchase history.
Chatbot Statistics 2023-2024: Major Industries Thriving on Chatbots in 2023
The capability of being available 24/7 with no breakdown or deterioration in the service provided has made chatbots the favourite of major businesses around the globe. All businesses worldwide, from start-ups to large-scale enterprises have made chatbots an integral part of their daily functioning. Here is a list of some of the major industries that have made the most out of chatbots.
1. The Manufacturing Industry
In the manufacturing industry, chatbots have played an integral role in allowing managers and companies to stay updated on the status of their supplies, delivery schedules, etc.
The advanced chatbots have also been able to play a decisive role in keeping a check on the working conditions and giving updates on devices and equipment that could be malfunctioning and need updates and repairs.
2. The Healthcare Industry
Recently, chatbots have become extremely important in the healthcare industry. This industry relies heavily on chatbots for scheduling appointments and answering simple and generally asked questions on repeat. This has made the healthcare teams work faster and reduced the hours and the costs to the patients.
3. The Hospitality Industry
From a general perspective, one might think that chatbots might just be used in the hospitality industry to make and cancel reservations but that is not the case. Chatbots mostly deal with all the minor queries about the amenities, rules, and offers, building customer profiles, etc.
4. The Entertainment Industry
The entertainment industry is one such industry that profits largely from the use of chatbots. From reaching to a larger number of customers at a shorter time to maximize bookings to notifying customers about events and shows on time. This not only benefits the business owners but is also extremely helpful and provides a lot of insight to the customers. The B2C interactions have increased massively with the use of chatbots.
5. The Public Service Industry
In the public service/community service industry, chatbots have been worth the investment as using chatbots has helped the government and other public service organizations to manage and have more effective interactions.
6. The Goods and Consumer Industry
Chatbots are everywhere. The goods and consumer industry have made chatbots beneficial for the entire world. From helping with product suggestions to personal quizzes and games to creating user-generated content, chatbots are doing it all.
Studies and research show that chatbots save up to 2.5 billion customer service hours annually. It has been forecasted that, by the end of 2023, 80% of e-commerce customer services could be handled by chatbots.
7. The Education Industry
Chatbots are a boon to the education industry. Leading educational websites now implement chatbots backed by AI that deliver precise results on broad education-related queries. Educational chatbots can also help students and scholars easily access various types of educational materials, such as articles, research papers, e-books, etc.
Major Brands Engaging Chatbots (Chatbot Statistics 2023-2024)
Most of you might have already experienced chatbots while using brands’ apps and other services provided by some of the biggest businesses.
Leading brands worldwide leverage chatbots and their capabilities in strategic ways. Let’s look at some of the major brands that engage and depend massively on chatbots.
- Lyft – Lyft is a popular brand that has leveraged chatbots and has built great efficiency in dealing with customers after the chatbot engagement.
- Fandango – This is another major brand that relies on chatbots for generating revenue by suggesting and showing the users what’s trending.
- Spotify – Spotify definitely makes one of the best uses of chatbots and has made life easier and more interesting for music listeners.
- Whole Foods – Whole Foods is a massive success at using chatbots to assist its users while shopping and also suggesting recipes.
- Sephora – For the fashion and make-up industry, Sephora’s chatbot assistance has it all. From tutorials to product reviews, Sephora has it all.
- Mastercard – Checking your account, reviewing account transactions, and shopping with its partners has been made extremely easy and smooth by Mastercard with the assistance of its chatbot.
- Staples – Staples has introduced its chatbot to make tracking and answering common customer queries faster and easier.
- The Wall Street Journal – The Wall Street Journal chatbot has made the top and important stock news easily accessible and at your fingertips.
- Pizza Hut – After the introduction of chatbots in its system, Pizza Hut has definitely improved its reach and sales.
Feedback and Opinions About Chatbots From Users
Various researches have shown that chatbots have become extremely popular in the present world and such popularity and reach only leads to growth. Backing down from using chatbots could significantly affect any business in today’s world in terms of the rate of its growth.
· At least 80% of the internet users have definitely interacted with a chatbot at least once in a year.
· Almost 74% of business owners have been satisfied with the results chatbots have produced for them.
· While 22% of the business owners stay neutral and have made no comments on chatbots.
· Only 4% of the business owners using chatbots have not been satisfied with the results they have received. Be that as it may, the displeasure of the 4% of the business owners could be substituted in the near future with the advancement in technology and updates in the chatbots.
· Similarly, 69% of customers who have used chatbots report to have been satisfied by its use.
Chatbot Requests and Interactions per Day
Have you ever tried imagining the number of conversations chatbots have each day? Ever wondered how many chatbot requests are received per day?
Commercial chatbots process millions of requests and conversations on a daily basis. The statistics are fascinating. Reports suggest that if chatbots are used, businesses are capable of saving up to 2.5 billion hours as customer support representatives handle about 17 interactions per day.
This can be a crucial factor for businesses to effectively meet the requirements of global customers.
Statistics of Monthly Visits to Chatbot.com 2023-2024
Chatbot.com, being one of the leading chatbot service providers, receive a significant volume of traffic on a regular basis as it has a huge global customer base and is growing consistently. As of September 2023, it received a total global traffic of 576.5K traffic.
Here are the traffic shares country-wise:
· United States
In the United States, chatbot.com has been visited the highest number of times with the traffic adding up to 21.89 % of the global chatbot traffic.
· India
After the United States, India ranks second with the September 2023 traffic of 10.79%. With the high population that India has, the chatbot usage traffic could show steady growth in the years to come.
· Brazil
Brazil has had 6.83% of the chatbot.com traffic.
· France
The chatbot.com traffic from France was 3.78%.
· Argentina
Argentina has had its chatbot.com traffic grow to 3.63%.
The rest of the countries add up to the remaining 53.08% of the global chatbot.com traffic as of September 2023.
How Chatbots Can Grow in the Future
Chatbots are already technically advanced to serve customer queries accurately. Be that as it may, have you ever wondered how chatbots might grow in the future? If you haven’t thought about it yet, here are a few examples for you. This shall be an interesting gaze into the technological advancements in chatbots.
1. Better AI in the Future
With consistent advancements in AI, chatbots are set to become more precise and lower the margin of error in understanding complex customer queries through refined neural language processing and more advanced machine learning capabilities.
· Chatbots are speculated to be more sophisticated to provide even more human-friendly and humanoid answers and conversations.
· With every upgrade, chatbots can become even more context-aware and better solution providers.
2. Chatbot Integration
It is quite obvious that chatbots have already become a part of our everyday digital lives.
· In the future, we can surely see chatbots becoming an integral part of our daily routine.
· Chatbots will be used even more on social media, mobile apps, websites, and various other business fronts which, in turn, will further elevate customer experience.
3. The Language Diversity
One of the most significant features of chatbots is their capability to assimilate numerous languages.
· Owing to this feature, multilingual chatbots shall be a universal bridge connecting prospects and businesses worldwide.
· Multilingual chatbots open up new horizons for businesses and break down language barriers effectuating mass communication and higher profit.
Wrapping Up
There is no slowing down when it comes to the consistent growth of chatbots. Revenues from chatbots in global markets are speculated to surpass the US $400 million mark.