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How Chatbots Can Transform Your Customer Experience

October 1, 2021

Businesses need quick and effective communication methods, and implementing a chatbot on their websites can achieve that.

They add extensive value to your existing customer service department and provide quick and seamless solutions for your customers.

Even customers who typically pick up the phone when they need assistance are willing to accept new technologies if they mean quicker service and resolutions to issues.

Chatbots are automated software programs that simulate human conversation. They are trainable and customizable to best suit your brand and audience providing them with a stellar customer experience in a magnitude of ways.

How do Chatbots work?

The actual programming of a chatbot feature is complex but understanding how they can converse with humans is quite simple.

To process and answer inquiries from users, they rely on a stored database of knowledge. As the text is analyzed, the chatbot searches for keywords and patterned algorithms used to understand the tone and purpose of the message. 

Chatbots use a process called natural language processing (NLP) to gather relevant information from the inquiry. They can categorize the text based on intent, tone, and context. From there, they transform it into a structured and helpful text response using a process called natural language generation (NLG).

Now, with a basic understanding of how chatbots work, it makes it easy to discuss how they can improve your customer experience.

24/7 Customer Service

Unlike live agents, chatbots don’t need to sleep, making them accessible 24/7.

They are a cost-efficient way to provide your customers with core support even after standard business hours.

The chatbot can assist users in processing their requests and distributing information without waiting until the next day. Night owls who stumble upon your site at 2 am and would like to make a purchase will find this convenient.

Lead Generation

Chatbots can help gain a greater understanding of your audience’s preferences and store that information for future use.

They can also take this information to generate segmentation, lead retargeting, and communicate ideas for products or services.

Additionally, chatbots can be programmed to ask specific questions related to the service or product. For example, they can collect prequalifying information, shipping location, or contact information for a live agent to follow up on an inquiry.

Data Collection

Adding this feature to your website can help adapt your processes to continue providing exceptional customer service even beyond your website.

Chatbots can collect feedback from your customers or leads to help implement more efficient processes.

It is also possible to collect information on the number of incoming messages, the frequency of information requests, and repeated characteristics of customers.

Not only can this information be used in the future, but it can create better versions of the chatbot.

Chatbots gather their responses from collected and stored data. Consequently, the more data you make available to your chatbot, the better it can serve your customers.

Seamless Transfers Between Departments

Rather than calling customer service and possibly waiting on hold, customers can message the chatbot and ask to connect with a specific department.

The chatbot can offer assistance and give the customer the needed information or connect them with a live agent without needing any hold time.

Some chatbots can understand the tone of the messages, whether they be happy, frustrated, or angry, and deliver a more tailored response based on the interpreted emotion.

As soon as the chatbot detects an angry or frustrated tone, it automatically connects that customer with a live agent to better address their concerns.

Provide Personalized Recommendations

Many companies will lose customers because they do not understand the needs of their audience.

Not only can a chatbot collect this data over time, but it can be trained to give customers personalized product recommendations based on their needs.

They can ask questions about preferences or style making it simple to provide recommendations.

For example, let’s say someone tells your chatbot they are looking for a sweater on your website. Your chatbot can then ask if there was a color and fabric preference to recommend a product that meets those criteria. 

Even if your business is not product-based, this can still be effective.

For example, if you are a personal trainer and the consumer has specific fitness goals, your chatbot can suggest a virtual fitness regimen from your website.

Chatbots are the solution to streamlining customer service, especially after standard business hours.

Answering customer questions and addressing concerns 24/7 will create a positive customer experience that will encourage clients to return time and time again.

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