A new study has found that the global number of successful retail chatbot interactions will reach 22bn by 2023.
The research was carried out by Juniper Research as part of its AI in Retail report, which dedicated a segment to analysing ‘vendor positioning & market forecasts 2019-2023’.
The AI in Retail report as a whole aimed to provide a detailed overview of how disruptive technologies including AI and machine learning are used by retailers in both back-office and front facing capacities.
The study comments that chatbot use by retailers will improve user experiences, boost customer retention and satisfaction, and can also reduce costs.
It was estimated that deployments of chatbots will realise annual savings of $439mn for retailers globally by 2021. The 2019 figure stands at $7mn.
Nick Maynard, research author, said: “By embracing automated customer service with chatbots, retailers can act in a more flexible and efficient way. The wider retail market means that chatbots are no longer a luxury, they are an essential.”
It was also found that retail sales resulting from chatbot based interactions will reach $112bn by 2023, with an annual growth rate of 98%.