I had to once travel to Miami on short notice to meet one of my clients, and to plan the trip, I availed booking information services from a travel chatbot. The experience during the interaction was indeed a good one, due to which I will allow myself to use the chatbot-enabled service again.

Now, there are a few reasons, why I had to start this blog with the above-mentioned situation.

1.Chatbot intervention or agent deflection that let me know my booking information
2.Provision of multiple options such baggage information, flight status and many more.
3.Proactive suggestions in the chat designed to guide me to the right goal

Imagine if this interaction were to happen over air, with me calling the contact centre. I would have reached the outcome in not less than 20 minutes, amidst all the IVR options that keep announcing themselves.

Business Spend Vs. Customer Spend

However, we should understand that those 20 minutes, cost a lot to the service provider, providing customer service which is usually to the tune of $5-$6 / 6 mins.

And assuming I spoke for 20 minutes, the contact centre would’ve spent about $15-$18 in resolving my query/s.

It is also to be remembered that I’ve only considered myself in the picture. But in reality, the amount of calls a contact centre usually gets is, a few hundred in 24 hours.

Doing the Basic Math

With such a quantum of calls, combined with the costs of infrastructure, and employees’ salaries; a 10-employee strong contact centre spends $30K-$50K in a month. In a year that amounts to $360-$600K, which is a massive chunk of yearly planned budgets.

However, this is again an opportunity, where Chatbots can thrive and save at least 50% of your current support service spend.

Why Chatbots are the true Cost Optimizing Option

Before we proceed towards understanding the solution, there is a need to know two major spends that affect multi-channel support services.

#1. Monthly Ticket Count:

Irrespective of how good a product or service is, you’re bound to receive a certain number of complaints from your customers via channels of email, chat & voice.

Now, if we calculate the average number of daily, weekly and monthly tickets and multiply them with the industry average of 16 dollars you will get a that figure that you pay to your ticketing partner.

#2. Salaries of the number of Reps handling your Contact Centre:

Articulation of ROI/Cost Savings through a viable chatbot solution essentially hinges on the number of reps you have handling your support. This metric is significant since chatbots are concurrent, and they can handle a bulk of tier-1 requests/calls (voice bot) that require agent intervention.

After you’ve calculated these aspects at a broader scale, you will have to tune into the support service metrics set for your employees (including agent optimization).

This will allow you to understand, the key areas & functions that can be automated using chatbots – which will be the desired state that you will be looking for your support centre.

Choosing the right Vendor

After envisioning the desired state, the next thing will be to check for the best chatbot solution available in the market, that truly gives you the ROI you are looking for.

To assist your decision in choosing the right solution, here are a few pointers that you can follow.

1. The solution provider should have the right domain experience. This will greatly help you have a flawless chatbot with minimal training periods (which is usually anywhere between 6-8 weeks)

2. Solution providers should be able to provide a trial bot tuned to 2-3 most important use cases for a limited time (some vendors in the market call it as the Proof-of-Value program). Such a scheme will allow you to understand how viable the solution can be; both economically and functionally.

3. Pricing, which is usually a deciding factor will have to be flexible or least, so that it factors less into your monthly expenses.

"ServiceNext, too has done some fabulous work on Chatbots. It has designed both Voice bots and Chat bots that automate ~ 50% of tier-1 support requests the instant it is deployed. And to explore more about what we do, you can write to us at hello@servicenext.ai"

Now, after identifying & trying the right bot solution for your business the next step will be to start engaging with them. This move should be arrived at after extrapolating the results from the trial used.

After the engagement begins, you will notice that the bot will start showing results in approximately 2 weeks. It can be sooner, depending upon the kind of training the bot is being given.

This commercial engagement also lays the foundation for consistent cost saving that will be realized over time.

To know more about Chatbots, what we do and how we can be of help to you write to us at hello@servicenext.ai

So, stay tuned to us for more of these information nuggets. And if you want to know more about what ServiceNext does – write to us at hello@servicenext.ai and we’ll respond to you that instant