How conversational AI can boost E-commerce Business

Important Advantages of Conversational AI In E-Commerce


12 June 2024

Over the past few years, the e-commerce sector has shown remarkable growth.According to eMarketer, by 2023 the acceleration rate is predicted to reach a peak of $6.17 billion, driven primarily by online retail sales.

E-commerce platforms and marketplaces offer many benefits over conventional stores, whether it be Business to Consumer (B2C), Business to Business (B2B), or any other.

For retailers, businesses are able to contact more clients and generate more revenue because of the ability to also sell and promote online.

Conversions, however, remain a significant obstacle for the E-commerce sector. 
The average conversion rate for e-commerce websites, according to a recent study by Q2, is 2.86%.
 In other words, only 2.86% of those who visit an e-commerce website actually make a transaction before leaving.

Additionally, a large majority of today's consumers make purchases across a variety of screens and platforms, expecting a seamless, reliable shopping experience and a consistent brand experience each and every time.
Not all E-commerce service providers can meet these requirements.

These problems can be addressed with the help of conversational AI, which is becoming necessary in eCommerce and retail. A number of other game-changing benefits, such as conversion optimization and seamless omnichannel experiences, are offered by introducing artificial intelligence powered solutions, such as eCommerce bots and virtual assistants.

A recent study found that 84% of E-commerce organizations either actively integrate AI technology into their operations or consider it to be a key priority.
As a result, the use of artificial intelligence in E-commerce has considerably expanded over the past five years and will continue to keep on rising.


1. Conversational AI and its importance.

2. The impact Of Conversational AI on e-commerce

3. What if the Conversational AI can't clearly grasp your query?

4. How do Conversational AI actually benefit the E-commerce business?

5. With live chats and Artificial Intelligence running an e-commerce firm becomes more effective.

6. Does Conversational AI improve the scope of better sales?

Conversational AI and its importance.

A type of artificial intelligence called conversational AI makes use of a lot of data, machine learning, and natural language processing (NLP). It makes it possible for computers to precisely analyze, comprehend, contextualize, and measure the meaning and sentiment of language. It can thus give experiences that are identical to those of human encounters.

Conversational AI understands the context of the discussion. So the automated response is less robotic and more human-like. The idea is not to misguide customers that they are interacting with human but to make the conversation similar so that customers don’t change the way they communicate.

By enabling human-like interactions with customers across channels, conversational AI elevates automated help in the context of ecommerce customer care. Conversational AI enables E-commerce firms to scale support and sustain growth without compromising quality. It minimizes seasonal hiring efforts, frees up human agents to concentrate on high-value service requests, and can lower operating expenses.

The impact Of Conversational AI on e-commerce

Automated Customer Interactions

Customers today expect convenience and speed from brands in order to have positive experiences. By offering real-time automated support, conversational AI will help brands redefine their customer service. Needless to say Conversational AI bots can handover to live agents if the need be.

Cart Abandonment

Recommending substitute products and supporting consumers with any troubles they may be having during the purchase process, Conversational AI prevents shopping cart abandonment and encourages customers to finish incomplete transactions. With well-designed conversational flow and UX, the bot can engage into a conversation and showcase the products in a carousel.

Pre and post-sale experience

Brands must work hard to give customers all the assistance they need since consumers want 24/7 access to all kinds of information. Therefore, it makes sense that businesses are now seeking ways to enhance the effectiveness of contact center agents. They must guarantee agent availability and their capacity to respond to all issues.

Therefore e-commerce companies must use chatbots to lighten things. Conversational AI offers 24/7 assistance to people in need with prompt and effective responses. They relieve the agent's burden and guarantee customer happiness.

Both the pre- and post-sale experience benefits greatly from this. They can help clients place orders, track packages, and provide feedback. Customers are more likely to remain loyal to a brand for subsequent purchases when they receive what they need in the most efficient way creating happy experience.

Any lead can become a long-term customer if you provide timely, personalized and reliable customer care.

It’s similar to having a personal agent available for proactive support, who answers frequently asked questions and makes problem-solving easier without time concerns. Now with communication arises the question of language.

What if the Conversational AI can't clearly grasp your query?

Conversational AI analyses and interprets human speech using Natural Language Processing so it can comprehend the tone of your voice and a variety of other aspects. Conversational bots make it simple to connect across multiple channels, including audio, video, and even chat.

With the proper language model and trained data set, the same bot can become multilingual and support customers with different language preference.

How do Conversational AI actually benefit the E-commerce business?

Today's society highly prefers on-demand services.
Let's take some instances.

If you have the convenience of shopping while being at home, would you rather stay in or venture out?

 Who would waste their valuable time standing in a long queue if the issue can be solved online with outstanding customer support?

Since time is quite precious, today's generation favors immediate results. They only search for the precise response. Which shows that swift and accurate outcomes are what we humans seek out most often.

With live chats and Artificial Intelligence running an e-commerce firm becomes more effective.

Consumers tend to trust the business given that trustworthy technical support is just a conversation away.


Does Conversational AI improve the scope of better sales?

Chatbots offers individualized suggestions based on ongoing promotions or campaigns for goods that customers have shown interest in. Like offers or attractive deals.

In order to give your consumers a smooth and consistent experience every time, conversational AI makes it possible to automate response to thousands of popular e-commerce topics, from product information to order monitoring.

Advanced live order and delivery tracking can be made easily available via Conversational AI.

When a consumer is having trouble with something while using a website, chatbots can step in for efficient technical support. Anything from getting stuck on a product page to stalling at the checkout can be the cause. In these circumstances, customers typically require a small nudge or some guidance. 

 To the actual number of prospective traffic from the enormous number of website users, it makes it evidently conceivable for leads to be converted into sales.


Shifting consumer habits and market conditions are strong predictors of AI's long-term viability as a key e-commerce technology in this decade. The cost to develop these solutions has never been lower, and the advantages of AI are now too great to ignore. 

Chatbots and virtual shopping assistants powered by AI are now heavily used to accelerate brand growth. Conversational AI chatbots provide interaction with customers across a variety of platforms by giving them excellent customer service, you can turn them into devoted customers.

So if you're interested in learning more about how your e-commerce business can benefit from conversational AI, I suggest you consult our experts right away.


Subscribe to our Newsletter.

Recent Blogs

Subscribe to our blog post