Chatbot vs Live Chat: Which one is better for customer support

Customer service is paramount to the success of a business. The better you can connect with a customer, understand their queries, and solve them, the better the company grows. In today’s world, we have a lot of tools that help us proactively interact with customers and get to the bottom of their queries. A few of them are chatbots, live chats, and spontaneous surveys, among a large number. 

This article is going to focus on chatbots and live chat. Before we can get into which is better, let’s look at what they are. 

What is Live Chat? 

Live chat is a space where a customer can interact with a customer service specialist. It is a medium through which the customer can ask queries and follow up on questions while interacting with a real person on the other side of the chat. 

A live chat will provide a more personalized response, which will make the customer feel valued. Live chat is facilitated using a website widget that remain while the customer is going through the pages of the website. When in doubt, the customer has to click on the widget and type out their question. A customer service executive will be assigned, and any query will be resolved to the best of their extent with the help of a knowledge base that the business may or may not provide. 

What is a Chatbot? 

Chatbots are also similar to live chat, but here, instead of a customer interacting with a customer service executive, it’ll be a bot. These bots are further divided into two types, rule-based and AI-driven. 

The rule-based chatbots are trained and have set guidelines within which they operate. The AI-driven chatbot uses machine learning and Natural Language Processing (NLP) to have more real or organic conversations with the customer. 

Chatbots have proven themselves to be effective in small, repeated queries as well as large intricate queries. Thus, they are effective in answering repeated questions and detailed and specific product or service-related questions. 

A comparison of live chat and chatbots 

A few areas of comparison in this article are availability, response time, scalability, personalization, consistency, learning, multitasking, cost-effectiveness, localization, integration & automation, and error handling. 

Let’s compare! 

Chatbot vs Live Chat Availability 

Live Chat	Chatbot
A live chat is limited in availability based on the number of customer service executives for the business.  24x7 availability is difficult for a business as it requires more staff working shifts.	A chatbot is available at any time.  24x7 availability is simpler with a chatbot as it does not require any breaks or individual interaction with the customer.

 

Chatbot vs Live Chat Response Time 

Live Chat	Chatbot
The live chat may take time to respond as it depends on the availability of the customer service executive   In addition to the above, the time taken to assign a customer service executive might also delay the response time.	The response time with the chatbot is immediate.  The only time the chatbot might take is to process the question. Rest assured; the question will be answered in a couple of seconds.

Chatbot vs Live Chat Scalability 

Live Chat	Chatbot
Scalability in a live chat may pose challenges as it may involve hiring or firing customer service executives.  This could be a time-consuming as well as a costly process.	Scaling the chatbot up or down based on requirements is relatively easier.  This process is less time-consuming and capital-intensive.

Live Chat vs Chatbot Personalization 

 

Live Chat	Chatbot
Personalization can be made high with live chat agents.  They have access to the customer's order history and preferences, which allows them to draft more personalized messages instantly.	Chatbots may give monotonous responses and have to be programmed to provide personalized responses.  They will not be able to match up to a person’s instinct in sending a personal message though.

Chatbot vs Live Chat Consistency 

Live Chat	Chatbot
Consistency could vary while dealing with live chats as the experience of the customer is in the hands of the live chat agent.  A live chat agent might not always be the right one for the customer, so consistency is low.	Chatbots are consistent with their replies.  Regardless of the time a person interacts with a chatbot, the messages are going to have a consistent tone.

Chatbot vs Live Chat Learning Curve 

Live Chat	Chatbot
A live chat agent will require constant training and sessions to ensure that they are keeping up with company norms or the best practices.	A chatbot integrated with chatbot AI can learn from each interaction and improve.  It might be able to give more relevant information as it learns customers’ preferences.

Chatbot vs Live Chat Multitasking Ability 

Live Chat	Chatbot
A live chat agent can handle only one customer at a time and one query at a time.  Thus, multitasking is low with the live chat.	A chatbot is more efficient at multitasking as it can speak to multiple customers at the same time and process multiple requests simultaneously.

Cost-Effectiveness of Chatbot vs Live Chat 

Live Chat	Chatbot
Having a live chat will include recurring costs like paying salaries, training, and operating expenses.  This makes it a less cost-efficient method when compared to chatbots.	A chatbot is a one-time investment that promises returns for long periods of time.  Other than scheduled negligible maintenance costs, the chatbot is very cost-effective.

Localization of Chatbot vs Live Chat 

Live Chat	Chatbot
Localization in terms of language is difficult with live chat agents as it will include hiring agents from multiple languages.  Additionally, the language might not be consistent as different dialects have different words within the same language. This could cause confusion and misrepresentation of information.	Localization in terms of language is easier in chatbots as it might require is installing a language package that will interpret and give answers in the region-specific language.  Additionally, customers will also have the flexibility to choose the language they want to converse in, irrespective of the region.  The language in chatbots will be consistent.

Chatbot vs Live Chat Integration and Automation Support 

Live Chat	Chatbot
It is difficult to integrate new live chat agents into the system.  The process might require training and sessions with the agents which is time-consuming and not cost-efficient.	Chatbots are relatively simpler to integrate into CRM tools and ERP systems.  Once integrated, the data collection and analysis of this data will be seamless leading to better learning for the chatbot.

Error Handling in Chatbot vs Live Chat 

Live Chat	Chatbot
The error handling, in this case, depends on the live chat agent’s ability to navigate through the error.  A lot of training and sessions are required, but they might still not be enough.	A chatbot can be programmed to handle errors efficiently.

Now, as we see above, there are a lot of areas where the chatbot comes in front of the live chat. But you can never deny the impact of a good conversation with a live chat agent and them going a step ahead to satisfy the customer’s needs. 

Choosing between a live chat and a chatbot will also depend on the resources available to the business. Yes, they both have pros and cons, but it ultimately boils down to the resources available and the affordability of the process. Furthermore, it also depends on the customer base and whether they prefer chatting with a real person or prefer chatting with a chatbot. 

Benefits of integrating both live chat and chatbots 

The best customer support method is integrating live chats and chatbots to harness the best of both worlds. When integrated, the efficiency and capabilities of AI with the human touch of the live chat agent will enhance your customer’s experience.  

This can be done by: 

• Adding a live chat widget powered by chatbots 

• Identifying common questions that can be answered by chatbots 

• Configure live chat bot assistants that operators can trigger manually 

• Leave an option to contact the live chat agent and set up notifications 

  
  

Doing the above will improve your: 

• First response time 

• Average resolution time 

• Chat to conversion rate 

• Churn rate 

• Customer satisfaction 

Conclusion 

In our digital age, leveraging every resource to its maximum potential is important. In a fiercely competitive environment, finding your customers and making sure they stay with you is a huge accomplishment. The puzzle of what to choose between live chat or a chatbot will always be there with different views. 

Finding the best fit for your business can be done by weighing the above options. 

The business will do well with live chat if: 

• Human touch is an important aspect while interacting with a customer 

• Customers require one-on-one conversations 

• The product or service requires an expert to understand the pain points and provide a solution 

  
  

The business will do well with chatbots if: 

• There is a limited budget and staff 

• The number of incoming queries is increasing, and the staff is unable to keep up 

• Majority of the questions are repeated 

  
  

Find the right method for your business and get interacting with customers! There are queries to answer! 

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