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* This article was originally published here
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The 12 Top Benefits of Chatbots in 2023
The benefits of chatbots for businesses are well documented. These robot sidekicks do wonders for customer service, sales, and brand loyalty. And they’re just getting started.
The size of the chatbot market worldwide is expected to hit a whopping $1.25 billion in 2025. And Gartner predicts that they’re going to be a primary customer service aid for 25% of organizations not long after that.
Haven’t jumped on the chatbot bandwagon yet? Or still on the fence about their awesomeness? Here are 12 chatbot benefits that we hope will change your mind.
Bonus: Learn how to sell more products on social media with our free Social Commerce 101 guide. Delight your customers and improve conversion rates.
12 benefits of chatbots for businesses
Chatbot advantages vary depending on the type you use and how you deploy them. There are three types of chatbots that you should know:
- Smart chatbots that use artificial intelligence (AI)
- Simple, rule-based chatbots
- Hybrid models that use a mix of both
Not all chatbots can do everything. If you’re looking for an unbeatable sidekick—the Robin to your Batman—then we recommend an AI chatbot like Heyday.
This list looks primarily at the benefits of AI chatbots. Let’s dig in!
1. Provide customer support 24/7
The thing about robots is they don’t need to sleep. Ever. People need to sleep, which is why we’re not great at providing 24/7 customer support.
With chatbots, businesses can guarantee that someone is on the other end of a support window at all times. This lets them offer assistance outside of normal business hours. Answering FAQs, helping with order tracking, product recommendations, and various other types of support are available at all hours.
This lets retailers confidently service customers globally, regardless of their time zone. And, it gives customers what they want most: speed of service. 90% of consumers say the quick resolution of their questions is their most important customer service requirement.
What are the benefits of providing customer support 24/7? Increased customer satisfaction, strong brand affinity, and increased lifetime value from your customers. Oh, and a nearly empty inbox every morning for your support team.
2. Answer your customer FAQs automatically
Raise your hand if you’re sick of answering the same four questions over and over (and over) again. If your hand is up, then you’ll love this second benefit of AI chatbots.
The best chatbots can be programmed to answer the most frequently asked questions from your customers using natural and friendly language. They are always available to take those questions (24/7 support, remember), and they never get tired of answering them.
Even better, chatbots can be programmed to answer FAQs and steer visitors toward the next stage in their user journey. So not only do you provide an upfront answer, you increase the likelihood of a purchase or conversion.
Needless to say, this is a major time saver for retailers. It outsources routine tasks to an affordable robotic sidekick, freeing your team to tackle more personalized conversations.
Here’s an example. Major Tom uses an FAQ chatbot to start a conversation with the visitor and quickly steers them toward the desired information or next step.
3. Give your team valuable time back
Customer service teams are running on fumes these days. According to McKinsey, 61% of customer care leaders reported a growth in support calls this year. This is putting strain on contact and help centers. And, more importantly, strain on support staff.
Nearly 50% of those same leaders reported increased employee attrition over the past year. Why? The top reasons for leaving were employee burnout, dissatisfaction with the job, and poor work-life balance.
Front-line customer support is a tough gig. Chatbots can help ease that burden by giving individuals and teams the gift of time. They remove routine queries and requests from the support queue, resulting in lower call or chat volumes. This, in turn, frees the support team to focus more of their time on the conversations that drive the biggest impact.
And when people aren’t stretched thin and can make a demonstrable impact, that’s a key to employee retention.
4. Make sales directly in DMs
Social commerce is booming. In 2022, sales through social media platforms hit an estimated $992 billion. That’s expected to hit $2.9 trillion by 2026.
This means that online retailers cannot ignore social media as a sales platform. But they also need to make sure they can scale customer support to these channels.
Enter chatbots. Many of these robot friends plug into Instagram and Facebook to provide the same automated support offered on an ecommerce website.
The benefits of this are many. First, it lets you provide a true omnichannel experience with scalable customer support. Second, it engages with your audience where they are. And third, it lets you drive sales and offer support in multiple locations on the web.
Here’s another chatbot example. Garage Clothing uses an AI chatbot to offer always-on support through Facebook Messenger. In the example below, it’s walking the user through the buyer flow until they land on a relevant product to buy.
5. Set up integrations with your Shopify store
Shopify businesses benefit from a wide range of AI chatbots that are available through the Shopify App Store. These tools let you scale customer service for your Shopify store without the need for a live agent.
Heyday is one of those AI chatbots. It takes just 10 minutes to integrate into Shopify, and offers powerful AI-driven support out of the box.
Some highlights of using Heyday on Shopify include:
- Communications in English and French
- Seamless handoff to live agents, as needed
- Automated FAQ responses using quick reply templates or scripts
- Product suggestions and searches
- 24/7 support with automated welcome messages and wait times
Heyday is available with a 14-day trial, so Shopify users can take it for a spin before buying.
Here’s an example. David’s Tea uses an AI-powered Shopify chatbot for a variety of use cases. Here, the user gets quick information about their order and delivery time.
6. Make your customer journey as smooth as possible
Customers expect a smooth buying process. And they expect it to be seamless across multiple channels.
One of the major benefits of chatbots in ecommerce is their ability to reduce friction and eliminate reasons that potential buyers drop off.
They accomplish this by providing:
- Always-on support so users don’t get frustrated
- Product recommendations so people can find what they want
- Automated prompts so users can easily go to the next step in the process
- Premium content and tips that shows the product in action
- Relevant discount codes and promotions based on product selection
Together, these features create a seamless user experience that eliminates many of the reasons that users say no to a purchase.
7. Reduce abandoned shopping carts
Drop-off is a major issue in ecommerce. According to the Baymard Institute, 69.82% of online shopping carts are abandoned. That results in a whopping $18 billion in lost sales per year.
Smoothing out the customer journey—as mentioned above—helps to eliminate the top reasons for cart abandonment.
Many of the issues mentioned in the image above come back to poor user experience. Users don’t get important information until the very last stage—checkout—and drop off. Chatbots are one way to ensure that all of the most important information is communicated to the buyer before they hit that critical last step.
8. Eliminate stress for employees and customers
As McKinsey noted, the top reasons for churn among support staff are burnout, dissatisfaction, and poor work-life balance.
These all have a direct line to too much work and not enough impact. Employees that are forced to juggle many chats simultaneously and answer the same queries day in and day out are likely to experience all of the above emotions.
This is one of the most important benefits of AI chatbots. All of the features and functionalities mentioned so far have two ultimate effects:
- They bring overall call and chat volume down
- They let support staff focus on the most impactful conversations
Together, this reduces stress and makes support feel like they are having more of an impact. In turn, this improves job satisfaction.
The same is true for customers. Nobody wants to get frustrated when dealing with customer support. And customer expectations are higher than ever.
In fact, 39% of consumers say they have less patience when shopping online than they did before the pandemic. 30% say they will wait for a maximum of two minutes for an agent on chat. And 43% say that long wait times are the most frustrating part of customer service.
Consumers want a seamless and fast customer service experience. And that puts stress on employees. This is where chatbots can step in to benefit both parties.
9. Allow customers to book in-store appointments
Booking in-store appointments from online stores was all the rage in 2022. According to Shopify’s Future of Commerce report, 50% of consumers say this type of shopping experience interests them. And 34% are likely to participate in appointment shopping this year and beyond.
Chatbots are a great way to handle appointment requests at scale. Many of them let users request and book in-store appointments directly within the chat window.
This is where true omnichannel shopping begins. With this feature, users can shop online for products they like. Then they can book an appointment on their computer or mobile device. And finally, they can test and buy the products in-store. All made possible through interactions with a chatbot.
10. Expand your brand voice
Omnichannel retail is quickly becoming non-negotiable. According to Shopify’s research, half of consumers say they like to shop online and buy in-store. And another half said they like to do the reverse.
This is another one of the primary chatbot advantages. With these tools, you can set and deploy your brand voice and personal style across many different touch points online. Shoppers will get the same brand experience and support whether they’re on your site or your social media accounts.
Here’s an example from Decathlon UK. They’ve got some flair to their messaging that relates to their personality as a business. With an AI chatbot, they can deliver that personality through Facebook Messenger—as shown below—and on their website.
11. Offer multilingual customer support
We mentioned 24/7 support as a key benefit of chatbots earlier. That lets you serve a global audience. But that doesn’t help a whole lot if you can’t speak to those customers in their own language.
Chatbots let you do just that. Most AI chatbots offer support in multiple languages. This lets you expand globally with confidence, and ensure that you’re providing the same level of support regardless of language.
Here’s an example of a chatbot conversation in which Merci Handy is able to provide seamless support in English and French.
12. Reduce support team costs
Lastly, AI chatbots are scalable at a fraction of the cost of customer support teams. While 24/7 support would require full- or part-time salary for multiple support staff working round the clock, chatbots can do this for a monthly subscription fee.
Heyday, for example, starts at just $49/month for Shopify Merchants. That’s a fraction of what it would cost to employ a team of customer service agents.
Chabots advantages vs. disadvantages
Like anything, chatbots aren’t the perfect solution for everyone (and everything). Here are four of the most important chatbot advantages and disadvantages you should know.
Advantage: no more answering the same question over and over
Chatbots reply quickly and automatically to the most frequently asked questions. They don’t get tired of doing it, and they can field multiple chats at the same time without breaking a sweat.
Humans can’t do that. At least not indefinitely. Because of that, chatbots are the perfect sidekick for full-time support teams. They focus on easy, high-volume questions so that support can focus on complex and high-priority questions.
Disadvantage: it takes time to gather and program FAQs
AI chatbots are only as good as the information you feed them. That means that there’s a lot of upfront and ongoing work required to program and finetune answers to FAQs.
Companies must regularly monitor chat logs to audit how well the chatbot is answering questions. They also need to stay on top of new questions that pop up.
This is an ongoing and iterative process that requires internal effort and resources.
Advantage: promotes conversational marketing and easy navigation
Everyone shops and uses websites differently. Chatbots give users an option to interact with a part of the website to learn new information and find products.
This offers a more dynamic and interactive way for businesses to deliver their message to customers. It captures their attention in real time and leverages that attention to optimize for sales.
This real-time interaction is simply not possible with static content or website navigation.
Disadvantage: they’re personalized, but may not be personable
Lastly, AI chatbots are designed to mimic human speech. And they’re designed to respond to inputs. They are not personable, and they cannot deliver the same level of human interaction that a person could.
Because of that, users may feel uneasy about communicating with a chatbot. They may receive generic answers, and there is a heightened risk of misunderstanding.
Because of this, it is critical that chatbots are used as a tool to support customer service. They shouldn’t be your entire customer service department. Ideally, you should be able to offer a smooth transition between AI chat and real-person support as needed.
Engage with shoppers on social media and turn customer conversations into sales with Heyday, our dedicated conversational AI chatbot for social commerce retailers. Deliver 5-star customer experiences — at scale.
Turn customer service conversations into sales with Heyday. Improve response times and sell more products. See it in action.
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10 Social Media Analytics Tools That Do the Math For You [2023]
Wondering which of your social media tactics are working? Want to better focus your time, effort, and budget? You need a social media analytics tool.
In this article, I’ll cover some of the best free social media analytics tools available, along with some paid options (for the true nerds who want to dive deep on the data and see real returns).
Then you’ll be ready to learn which social media metrics are important to track.
Not ready to start looking for analytics tools? Get a primer on what social media analytics even is.
Bonus: Get a free social media analytics report template that shows you the most important metrics to track for each network.
Why you need social media analytics tools
Social media analytics tools help you create performance reports to share with your team, stakeholders, and boss — to figure out what’s working and what’s not. They should also provide the historical data you need to assess your social media marketing strategy on both macro and micro levels.
They can help you answer questions like:
- Is it worth it for my business to keep posting on Pinterest?
- What were our top posts on LinkedIn this year?
- Should we post more on Instagram next month?
- Which network drove the most brand awareness for our product launch?
- What kind of posts do my followers like to comment on?
- And many more.
10 of the best social media analytics tools for 2023
#1: Hootsuite Analytics
Key benefits: Performance data from every social network in one place with easy-to-understand reports
Paid or free? Paid tool
Skill level: Beginner to intermediate
Best for: Business owners who run their own social media, social media managers at small-to-medium sized businesses, marketing teams
Most social media management platforms have built-in analytics tools. I hope you’ll forgive me for saying Hootsuite’s reporting capabilities are my favorite. But it’s the tool I know and love best.
Imagine Twitter analytics, Instagram analytics, Facebook analytics, Pinterest analytics, and LinkedIn analytics all in one place. Hootsuite Analytics offers a complete picture of all your social media efforts, so you don’t have to check each platform individually.
It saves time by making it easy to compare results across networks.
Social media post metrics:
- Clicks
- Comments
- Reach
- Engagement rate
- Impressions
- Shares
- Saves
- Video views
- Video reach
- And more
Profile metrics:
- Follower growth over time
- Negative feedback rate
- Profile visits
- Reactions
- Overall engagement rate
- And more
Best time to post recommendations
Ever spend a bunch of time writing and designing a social post only to have it fall completely flat? There could be a lot of reasons for that. But one of the most common reasons this happens is posting at the wrong time. A.k.a. Posting when your target audiences are not online or not interested in engaging with you.
This is why our Best Time to Publish tool is one of the most popular features of Hootsuite Analytics. It looks at your unique historical social media data and recommends the most optimal times to post based on three different goals:
- Engagement
- Impressions
- Link clicks
Most social media analytics tools will only recommend posting times based on engagement. Or they’ll use data from universal benchmarks, instead of your unique performance history.
Other cool things you can do with Hootsuite Analytics:
- Customize report templates for only the metrics you care about
- Get reports on your competitors
- Track the productivity of your social team (response times, and resolution time for assigned posts, mentions, and comments)
- Monitor mentions, comments, and tags related to your business to avoid PR disasters before they happen
On top of all of that, Hootsuite won the 2022 MarTech Breakthrough Award for Best Overall Social Media Management Platform!
And, according to reviews at least, the social media analytics tools were a big part of that win:
“Makes social media so much easier!
The ease of scheduling posts is amazing. The analytics for reporting are incredible. You can create you own personalized reports.”
– Melissa R. Social Media Manager
Industry benchmarking
Need help setting realistic goals? Or maybe you’re not a fan of manually collecting data for audits and SWOT analyses?
With Hootsuite’s social media benchmarking, you can find out how others in your industry are doing on social and compare your results with just a few clicks.
To get industry benchmarks, follow these steps:
- Sign in to your Hootsuite dashboard and head to Analytics.
- In the menu on the left side of the screen, scroll to Benchmarking and click Industry.
- Pick an industry that best describes your business.
That’s it! Now you can see how your results compare to average performance stats within your industry. You can set up custom timeframes, switch between networks — Instagram, Facebook, Twitter, LinkedIn, and TikTok — and look up benchmarks for the following metrics:
- Profile impressions
- Profile reach
- Followers
- Audience growth rate
- Engagement rate
- Video plays
- Posting frequency
- Clicks
- Shares
… and more.
You will also find resources to improve your content performance right in the summary section:
And, if you need to present your results to your team, boss, or other stakeholders, you can easily download your comparison report as a PDF file.
Hootsuite Analytics is included in the Hootsuite Professional plan, which you can try for free for 30 days.
Learn more in this video or sign up for a Hootsuite Analytics free trial.
#1 Analytics Tool for Growth
Beautiful reports. Clear data. Actionable insights to help you grow faster.
Start free 30-day trial#2: Google Analytics
Key benefit: See how much traffic and leads flow to your website from your social media channels
Paid or free: Free tool
Skill level: all skill levels
Best for: all social media professionals should be familiar with Google Analytics, but especially those who work for a web-based business
You’ve probably heard of Google Analytics already. That’s because it’s one of the best free tools to use to learn about your website visitors. And if you’re a social marketer who likes to drive traffic to your website, then it’s an invaluable resource to have in your back pocket.
While it’s not a social media reporting tool per se, you can use it to set up reports that will help you:
- See which social media platforms give you the most traffic
- See what content drives the most leads and traffic on which social networks
- Get to know your audience with demographic data
- Calculate the ROI of your social media campaigns
With these data points, you’ll be able to get the most out of your social media campaigns and effectively strategize for the future. No social media strategy is complete without Google analytics.
Learn more: How to use Google Analytics to track social media success
#3: RivalIQ
Key benefit: Fully customizable reporting that can draw data from all major social media networks.
Paid or free: Paid tool
Skill level: intermediate
Best for: social media managers
RivalIQ was designed to let social media managers be data scientists, without the pesky certification. RivalIQ delivers on-demand analytical data, alerts, and custom reports from major social media platforms.
Easily conduct a competitive analysis or a complete social media audit with RivalIQ’s in-depth reporting. Better still, you can actually present your findings directly to your director, stakeholders, and marketing team with fully-customizable charts, graphics, and dashboards.
But RivalIQ isn’t just for finding the big picture! Comprehensive social post analytics lets you see exactly which posts work for each platform and identify why they work. Know exactly whether it was the hashtags, time of day, post type, or which network’s audience led to success. Then take that knowledge and double down for more success!
Pro tip: Getting owned by the competition? With RivalIQ you can find all the same info above, but from their social media accounts. If you can’t beat ’em, join ’em (then beat ’em at their own game)!
Learn more: Try a demo or start your free trial with RivalIQ
#4: Hootsuite Insights powered by Brandwatch
Key benefits: Analyze brand sentiment and customer demographics in real time, alongside all your other social media performance data
Free or paid: Paid tool
Skill level: Intermediate to advanced
Best for: Social media professionals, PR and communications teams, small to large social media teams
Hootsuite Insights is a powerful enterprise-level social listening tool that doubles as an analytics tool.
It goes beyond Hootsuite Analytics, tracking your earned social mentions so you can measure social sentiment and improve customer experience.
It also analyzes data about your audience demographics like gender, location, and language. You can compare demographics across networks, or look at the aggregate picture of your audience for all networks combined.
This is a tool that really tells you a lot about your audience — and how they feel about you. It can tell you whether a spike in mentions is a victory or a disaster. And it can help you capitalize or avoid either one, respectively.
#5: Brandwatch
Key benefits: Track and analyze data from more than 95 million sources, including blogs, forums, and review sites, as well as social networks
Free or paid: Paid tool
Skill level: Beginner to intermediate
Best for: PR and communications teams, social media marketers who focus on engagement and brand monitoring
Brandwatch is a powerful tool with five easy-to-use social media analytics report templates:
- Summary: A high-level view of social conversations about your brand, competitors, or keywords.
- Trends: A report on the conversations and accounts influencing a specific topic or hashtag, including mentions per hour or minute.
- Reputation: A checkup on sentiment trends you might need to monitor or address.
- Influencers: A report to help you identify influencer marketing opportunities relevant to your brand and analyze their activity.
- Competitor comparison: Benchmarking social media data for conversation volume, sentiment, and share of voice.
Learn more: You can add Brandwatch to your Hootsuite dashboard
#6: Talkwalker
Key benefits: Monitor conversations from more than 150 million sources to analyze engagement, potential reach, comments, sentiment, and emotions
Free or paid: Paid tool
Skill level: intermediate to advanced
Best for: social media managers, PR and communications teams, brand monitors, product marketers, researchers
Talkwalker offers analytics related to social conversations beyond your owned social properties, including:
- Mentions
- Brand sentiment
- Important influencers
- Author lists
You can filter by region, demographics, device, type of content, and more.
Talkwalker is especially useful to spot activity peaks in conversations about your brand. This can help you determine the best times for your brand to post on social media.
Learn more: You can add Talkwalker to your Hootsuite dashboard
#7: Keyhole
Key benefits: In-depth automated social media reports and dashboards for all platforms
Free or paid: Paid tool
Skill level: intermediate to advanced
Best for: Enterprise-level businesses and organizations
Keyhole lets you report on everything: social media campaigns, brand mentions and interactions, hashtag impact, and even influencer campaign results. But that’s not all!
You can drill down into your impressions, reach, share of voice, and even analyze your competitor’s social media strategies.
If you’re utilizing influencer marketing as part of your strategy, Keyhole has reporting capabilities that will let you identify the ideal influencers to work with.
Best of all? Keyhole allows you to effectively never work in a spreadsheet again. Nice!
#8: Channelview Insights
Key benefits: Analyze the YouTube performance of multiple channels
Free or paid: Paid tool (free for Hootsuite Enterprise users)
Skill level: all skill levels
Best for: YouTube marketers and creators, social media managers who run a YouTube channel alongside other social channels
The Channelview Insights App adds YouTube analytics to the Hootsuite dashboard.
With this integration, you can analyze your YouTube video and channel performance alongside all your other social media channels. You can also schedule automatic, regular reports.
Easily see the following metrics in one place:
- Views, engagement, subscription activity
- Video traffic sources
- Audience insights for demographics, geography, acquisition and more
#9: Mentionlytics
Key benefit: Track mentions, keywords, and sentiment across multiple languages on social channels and elsewhere on the web.
Free or paid: Paid tool
Skill level: Beginner to intermediate
Best for: PR and communications teams, brand monitoring teams, product marketers, researchers at small to medium-sized businesses.
Want to get a big picture view of what’s being said about your brand on the internet? Mentionlytics is a great entry into the world of social media monitoring — especially if you run a global business in more than one language.
Other things you can do with Mentionlytics:
- Sentiment analysis
- Find top influencers that follow you
- Filter results by keywords
- Reply to mentions directly
#10: Panoramiq Insights
Key benefit: tracks Instagram analytics, including Instagram Story analytics
Free or paid: Paid (or free for Hootsuite Enterprise users)
Skill level: All skill levels
Best for: Instagram marketers
Alert all the Instagram marketers. Panoramiq Insights is perfect for Hootsuite free users or pro users who want to get deeper insights on their Stories in particular. (Just download the app from our App Library).
Among other things, Panoramiq Insights lets you:
- Analyze follower demographics, including age, gender, country, city and language
- Monitor Instagram account activity (for up to two accounts), including views and new followers
- Find your best posts with view and engagement analytics
- Measure Story views and interactions
Free social media analytics report template
We’ve created a free social media analytics template you can use to collect data about your performance on the various social networks. It’s a great place to start if you aren’t ready to invest in a tool that will automatically collect data for you. Simply download it, make a copy, and start customizing it with your own data.
Bonus: Get a free social media analytics report template that shows you the most important metrics to track for each network.
For more information on how to share your analytics data effectively, check out our post on how to create a smart and simple social media report.
Social media analytics FAQs
What is meant by social media analytics?
Social media analytics is the collection and analysis of performance data that helps you measure the success of your social media strategy. It includes tracking metrics like engagement, reach, likes, and many more across all your social channels.
Which social media analytics tool is the best?
Hootsuite Analytics is one of the best social media analytics tools on the market. It helps social media managers, marketers, and business owners track metrics from all major networks (Instagram, Facebook, Twitter, LinkedIn, TikTok, Pinterest, YouTube) in one easy-to-use dashboard. Hootsuite users can also generate beautiful custom results with just a few clicks.
What are the benefits of social media analytics?
Social media analytics tells you if your tactics and social strategies are working, and helps you better focus your time, effort, and budgets to reach the best results.
What is the best way to track social media analytics?
Most social media networks have free built-in analytics tools — but the easiest way to track social media analytics from multiple accounts and networks in one place is to use a social media management tool like Hootsuite.
Track your social media performance and maximize your budget with Hootsuite. Publish your posts and analyze the results in the same, easy-to-use dashboard. Try it free today.
All your social media analytics in one place. Use Hootsuite to see what’s working and where to improve performance.
Free 30-Day TrialThe post 10 Social Media Analytics Tools That Do the Math For You [2023] appeared first on Social Media Marketing & Management Dashboard.
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7 Social Media Monitoring Tools SMMs Can’t Live Without
Social media monitoring tools are the best way to find out what people are saying about your brand — and your product, your competitors, you...
