PERSPECTIVES

Category: ‘Live Chat’







Customer Care in the Smart Phone Era

Posted on March 7, 2011 at 12:39 pm

Customer on phone with customer care agent

In an era of tweets and text messages, real-time communication has changed the way people interact with one another. But does this mean retailers should also follow suit and change the way they interact with consumers? Several major companies including Comcast, Verizon, and Southwest Airlines, have received industry praise for their customer care on Twitter, but is social media really the future of customer care?

According to a recent study from eMarketer, approximately 47.6% of adults in the U.S. will be active on Facebook (logging in at least once per month) and 11.4% will be active on Twitter by 2013. While Facebook growth is predicted to slow down to single digits over the next few years, Twitter is poised to continue to see double digit growth in the same time span which should only lead to an increase in the amount of time people spend online. With the growth of social media providing more customers with real-time responses to their questions and problems it makes me wonder – can social media ever replace more traditional methods such as the telephone call?

Old telephone

For further insight, I asked our Senior Call Center Manager here at PFSweb, Adrian Carson, a few questions about how he feels the industry is changing as it moves forward…

Do you think new customer care methods (social media, live chat, etc.) will one day replace the “phone call” when a customer has a need or concern?

Not necessarily, I don’t think the “phone call” will ever be replaced. While other methods may be better for some, high touch customers want a live person that they can trust, hear, and hold accountable by connecting with them over the phone.

What are the benefits and disadvantages to both new and old customer care services?

New customer care services, such as social media, allow for around the clock support at a minimal cost but it can lack the personal touch and immediacy of a phone call. A service such as live chat is a nice medium between the two but may cater toward a more “tech-savvy” customer base. At the end of the day though it comes down to three things:

  • Hiring the right people
  • Having a top notch training program
  • Staying on the cutting edge of new technology

These are essential for succeeding in customer care regardless of what customer care services are in place.

How can a retailer best integrate an array of customer care strategies into one unifying plan?

Retailers, in my opinion, should first look at understanding their target audience and the services that are available to them. They should ask themselves how their customers attempt to communicate with them and then align themselves with a customer care solution that can cover all of these forms of communication.

What customer care trends do you think retailers should expect to occur over the next 5 years?

Retailers are very aware of social media, both the good and the bad that can come from it, and this will only be amplified over the next 5 years. I also see retailers becoming very focused on “over-servicing” their customers to create brand loyalty. Using “personal shoppers” online and over the phone to help customers is something retailers may focus on to provide that high touch experience in the future.

Certainly social media is a topic of interest with retailers given its emergence over the past few years but it appears as if it is still unable to fully replicate traditional methods for their immediacy and level of personalization.

Although customer care via social media and other new customer care services certainly should not be ignored moving forward, the demand for more traditional customer care methods are certainly present and will continue to be present. Some people may not want to wait for replies on Facebook or Twitter regarding urgent matters and sometimes customer concerns can be too complex and/or time consuming to explain in live chat. Don’t get me wrong – these new customer care services are certainly valuable and have their place – but similar to what Adrian said, regardless of the array of customer care services available it’s still fundamental to hire the right people and to provide customer care agents with the proper tools and training to assist customers.


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The Evolution and Success of Proactive Live Chat

Posted on June 22, 2010 at 9:58 am

Although live chat is certainly not a new service offered by eCommerce solution providers, most people often think of what is called “reactive” live chat, where the customer must contact a chat agent themselves if they have a question about a product, often navigating to the customer support section of an eCommerce storefront in order to seek out a chat agent.

In an effort to allow customers to spend more time shopping instead of seeking help, the live chat industry is evolving. Chat agents are contacting customers while they are shopping to answer whatever questions they may have with hopes to improve conversion rates on specific products. This is called “proactive” live chat and it is used to help nudge the undecided customer to make a purchase.

According to a Forrester report conducted in March entitled “Retailers Plan To Expand Online Customer Service Channels in 2010”, only 5% of current online retail professionals responded that they currently offer live proactive IM or click-to-chat services. However, 21% of the online retail professionals are planning to offer this service within the next 12 months.

An example of a proactive live chat session from an agent perspective

PFSweb has experienced great success using proactive live chat with several of its clients. In order to successfully implement proactive live chat, PFSweb…

  • Works with client to define categories and events that make sense for proactive chat. These include high-margin products, products that typically require questions, zero search results, or customers who have stayed in the shopping cart for an extended period of time
  • Provides extensive training for call center agents on how to handle product-related questions
  • Provides extensive training of product categories and how to handle certain events such as zero search results
  • Works with the client to measure the flow and quality of the chat experience to the customer
  • Works with the client to determine which product categories provide the best ROI for using chat agents
  • Provides extensive reporting to client on performance metrics

What it Means – Case Study

As a result of the efforts of the proactive live chat initiative, one of our clients was able to realize outstanding increases in conversion and AOV (average order value).

To date, the client has seen a 40% increase in conversion for customers that are in the shopping cart and chose to chat with a PFSweb agent and has also seen a 10% increase in AOV for customers that have chosen to chat. PFSweb and the client have also learned what product categories are conducive to chat and provide the largest increase in sales. As a result of this success, the client has tripled the size of their proactive chat staff over a twelve month period. The cost of the agents is completely funded by the increase in sales and conversions making the department a revenue generating entity compared to what traditionally would have been viewed as a cost of doing business.

In conclusion, the perception of live chat has changed from a customer support mechanism to a service which can be leveraged to increase sales, conversion rates, and AOV. Looking back at the Forrester report, it appears more eCommerce professionals are realizing this.

What are your thoughts on proactive live chat, regardless of whether or not your company currently invests in the service?

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