Live chat has “crossed the chasm” in terms of technology adoption. It is now a mature, patently in-demand product.
This means that, although the live chat market has steadily swelled since the technology’s conception, we are still seeing waves of growth.
And this growth is not expected to slow anytime soon. With that in mind, here’s a closer look at the global live chat market, complete with all the statistics you need to know.
The global live chat market
As more businesses digitise, and as it becomes increasingly easy (and important) to trade online, live chat adoption is gaining pace.
Continued growth across ecommerce, the tourism industry, and the global gambling industry are also feeding an increased demand for live chat. Simply, more businesses are offering their services over the internet. And to do that as effectively as possible, these businesses are increasingly adopting chat channels.
So, the live chat market is established, expanding, and showing every indication of continued health.
Key market statistics
○ The global live chat software market was valued at $590 million in 2016
○ By 2023, it is projected to reach $997 million
○ The market will grow at a CAGR of 7.5% from 2017 to 2023
○ A typical business now handles 978 chats per month (a number rising year-on-year)
○ 56% of organisations adopt live chat with less than 100 customers
Live chat demand
Behind this market growth is, of course, consumer-led appetite for chat. Chat has risen up from the ranks as a non-traditional customer service channel, to rival and often even outrank telephone and email.
For today’s online customer, accessibility is golden, and convenience is key. Consumers are used to immediacy as they communicate and access information. In an era of availability, anything that consumers are looking for can be found at the touch of a screen or the click of a button.
This real-time revolution has had a profound impact on customer expectations. Namely, customers demand quick, easy support in the channel of their choice. In a move away from the telephone, customers want the option of quick-fire digital interactions that fit into modern lifestyles.
It is live chat that answers the heightened customer service call for instant online connectivity. Today, live chat is not only accepted by customers, but increasingly demanded.
Simply, chat is the quickest, easiest and most efficient way for customers to communicate with businesses in the digital age. And this consumer demand further feeds into the growth of the live chat market.
Key demand statistics
○ 92% of customers feel satisfied when they use live chat to deal with businesses, more than any other communication option
○ Chat has become the leading online contact source, with 42% of customers using chat versus email or social media
○ All demographics are comfortable with live chat; even one-third of Older Boomers and the Golden Generation use it for customer service
○ 93% of consumers feel real-time help is beneficial during the online customer journey
○ 87% of consumers list live help among the three most important features of a website
Business opportunities via chat
A live chat channel is more than just a means for customer contact. For businesses, it’s a way to boost the bottom line.
Firstly, chat is a highly cost-effective way to communicate. From a call centre perspective, it’s entirely possible for a trained operator to take on six or seven chats at a time. Better still, these chats transpire at a rapid online pace. This leads to enormous cost-savings when compared to the one-at-a-time bottleneck of the telephone, or the long-winded pace of email.
Second, customers value businesses who value their time. Chat is proven to improve retention rates and customer advocacy. This is not to mention its capacity to boost online sales. For businesses, a well-deployed chat channel leads to more satisfied customers who spend more online.
Third, and with a more long-term view, chat is necessary to stay relevant. Interaction now happens in real-time with short, quick chats dotted with emojis. With the popularity of chat-based apps such as Messenger and WhatsApp, the need for a business inspired live chat software doesn’t require much explanation.
So, live chat powers up efficiency and revenue opportunity. And it does so while keeping businesses current and competitive in an evolving digital landscape. Hence, further fuel for the expanding live chat market.
Key revenue statistics
○ Chatters are worth 4.5x as much as website visitors who don’t chat
○ 62% of customers are more inclined to purchase online if live support is available
○ 79% of businesses say adding live chat has had a positive impact on customer loyalty, sales, and revenue
○ Live chat is 17%-30% cheaper than a phone call
○ Companies that use live chat have a 2.4 times greater annual increase in upsell revenue
A healthy outlook
The live chat market is strong, stable, and expanding. To get a bite of the live chat apple, book in your consultation with the WhosOn team today.