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Increase your customer lifetime value

 

Trying to acquire new customers is 5x more expensive than retaining existing customers.

That’s one of the reasons why increasing your Customer Lifetime Value is an effective way to increase your revenue and profitability.

In spite of this, 44% of companies still care more about customer acquisition than customer retention, taking their focus away from increasing customer lifetime value.

But you’re one of the smart ones. You’re here to understand Customer Lifetime Value (CLTV) and see how to increase it.

Let’s get started.

What is your Customer Lifetime Value?

Your customer lifetime value is the amount of revenue that a customer will bring your company over the entire amount of time that they do business with you.


-  How do you calculate your Customer Lifetime Value?

There are quite a few formulae that could help you calculate your CLTV. But, let’s not get into the complicated, mind-boggling ones.

 

- Here’s the easiest way to calculate your customer lifetime value:

This customer lifetime value formula will need you to figure out 3 things:

1  Average purchase value

Divide your company’s total revenue for a year by the total number of purchases made by your customers during that year.

 

2  Average purchase frequency

Divide the total number of purchases made by all your customers in that year by the number of unique customers you had that year.

 

3  Average customer lifespan

Calculate the average number of years that a customer would continue making purchases from your business.

Now that you have this data, all you need to do is multiply these three figures.

 

Why is Customer Lifetime Value important?

Understanding your customer lifetime value can help you make very important business decisions.

If your Customer Lifetime Value is lower than your Customer Acquisition Cost, that means you’re in trouble.

You either need to lower your acquisition cost or increase your lifetime value.

That could mean automating your lead generation process, targeting a different type of customer, getting your customers to stick with you for a longer period of time, or a whole slew of other things.

How do you increase your Customer Lifetime Value?

Fortunately, there isn’t just one way for you to increase and improve your customer lifetime value.

We’re going to go into a few common methods to do that, along with 5 less obvious, but still effective methods. After that, we’ll touch upon a few quick CLTV fixes.

Ready?

Let’s go!

The common methods

- Urge customers to switch to annual billing

If customers have to make purchases from you on a repetitive basis, a monthly billing system is unpredictable.

They could switch over to your competition at any point and you’d be left hanging.

But, with an annual billing system, you’ve got them to commit to you for a year.

It substantially reduces the odds of them switching over at any point during the year. But it could also have a psychological effect on your customers.

Ever heard of the Benjamin Franklin effect?

It’s a cognitive bias that makes you like people more after you do them a favor.

Essentially, when you do someone a favor, your brain tries to justify that behavior. So, even if you didn’t like that person much earlier, your brain decides that you do like that person. This happens in order to avoid cognitive dissonance.

Getting someone to purchase an annual plan could have a similar effect. They’d value your offerings more because they invested in a long-term plan rather than a monthly one.

By offering a discount on annual plans or giving your customers a couple of extra months with their annual plan, you could motivate them to make the switch.

- Upsell/Cross-sell

Upselling involves getting an existing customer to switch to a higher-value version of the product/service that they are currently using.

It’s a powerful way to increase your customer lifetime value.

Creating a variety of pricing tiers allows your customers to enter your ecosystem and experience your basic offerings. Now that they are already comfortable with your solutions, it’s time for you to show them how much more value they could get from the premium version.

Cross-selling involves offering your customers products or services that complement the ones that they’re already buying.

Existing customers have a 50% higher probability of buying new products that you offer them. Here are a few ways to make that happen.

  • Create bundle offers:  Create bundles of products that complement each other. Offering a discount on them could also be very effective.
  • Offer free shipping at a minimum order value:  The word ‘free’ itself will make your customers’ eyes light up. Besides, they will also realize that they could use the money that they would otherwise spend on shipping in order to make more purchases.
  • Offering related products at checkout:  By offering related products at checkout, you could encourage customers to make impulsive purchases that they didn’t really think about earlier. Many e-commerce websites do this today. But this is one of the strategies that made Life Savers popular more than a hundred years ago. They got cigar stores and restaurants to keep them right next to the cash registers. Obviously, customers started buying these mints along with their cigars and meals.
Existing customers try new products and spend more money than new customers
Existing customers spend more than new ones

- Stop underpricing

A lot of old economic models have said that raising your price would result in a drop in demand. But we have seen that this is not always the case.

That’s because we humans don’t behave rationally. We act emotionally and then try to logically justify our actions.

Studies have shown that increasing your prices by 5% could result in a 22% growth in profits.

But, a price hike could scare off your existing customers. What do you do about that?

One word: Grandfathering.

Essentially, just keep the pre-existing pricing plans for your current customers and apply the new plans for customers.

- Create loyalty programs

Loyalty programs can be very powerful. They increase all three factors: the average purchase value, the average purchase frequency and the average customer lifespan.

An Accenture study has shown that members of loyalty programs generate 12-18% more total revenue than customers who aren’t members of those programs.

Because of Loss Aversion, people don’t want to lose out on the loyalty points that they’ve gathered. So, they keep making purchases.

But if you want to make your loyalty programs even more effective, you need to make it easier for loyal customers to earn and access their points.

Take a cue from Mall of the Emirates.

They used an AI-powered Instant Web chatbot to make it easier for customers to earn rewards points.

Mall of the Emirates blurred the lines between physical and digital experiences. After making a purchase, customers could send the bot a picture of their receipts.

The bot would then make use of OCR technology to parse through the receipt and allocate reward points to the customers. This made things much easier for both - the customers and the mall.

5 effective methods of increasing your customer lifetime value

1. Create an emotional connection

Creating a transactional relationship with your customers doesn’t do you much good.

It makes you replaceable.

Anyone with a slightly better product or a marginally lower price could swoop in and steal your customers away.

Scott Magids, Alan Zorfas, and Daniel Leemon published a study in the Harvard Business Review. They studied customers that were all highly satisfied with a business but had varying levels of emotional connections with it.

What did they find?

Fully connected customers were 52% more valuable than customers who were highly satisfied, but not fully connected.

Customers that were not emotionally connected were actually 18% less valuable than the ones that were highly satisfied but not fully connected.

You need to focus on cultivating emotional connections with your customers. Do not let your relationships simply be transactional.

2. Understand the Voice of the Customer

Paying attention to the voice of the customer is crucial. It helps you recognize their expectations, understand their struggles and complaints, and focus on improving the things that matter the most to them.

It helps you understand your customers holistically and give them what they truly need and want.

That means that understanding and acting on the voice of the customer increases your revenue and your customer loyalty.

Customer retention with and without Voice of the Customer


 

3. Improve your customer support

You need to step-up your customer service game if you want to increase your CLTV.

Replying to emails after a day isn’t going to cut it. Forcing customers to wait on hold for 7 minutes won’t work.

You’ve got to respond to customers instantly, no matter the time, the day or the language. You need to engage them over whichever channels they prefer, not just the ones you are comfortable with.

Studies have shown that 56% of customers would switch vendors if your competitors offered more ways to interact with them.

That’s where Instant Web comes in.

Guess which channel customers prefer to contact customer service over.

Is it the humble phone call? The ignorable email?

No.

It’s chat.

Multichannel customer satisfaction ratingsCustomer satisfaction across support channels

Instant Web empowers you to engage your customers with chatbots and live chat in one integrated solution.

The speed of a bot combines with the warmth of live chat to give your customers the best customer experience ever and keep them coming back to your business.

With Instant Web, you can automate customer conversations in 50+ languages, over 14 chat channels, including but not limited to MessengerWhatsApp, and Telegram.

Multichannel customer supportAutomate conversations across multiple channels

These bots can handle around 80% of your customer queries. Sure, there always are a few that warrant personal attention. Those can be seamlessly routed along to a live agent.

And here’s the best thing - your customers won’t need to go through 3 different agents before they reach the right one.

Our advanced, context-based routing system ensures that the conversation reaches the right agent the very first time.

4. Hyper-personalize

This is what gives Netflix and Amazon their cult-like followings.

They don’t offer content and products for people like you.

They offer content and products for you.

They’re all about hyper-personalization.

It’s not about simply creating personas and offering content that those personas tend to be interested in.

They literally track your behavior on their platforms and provide you with offerings that align with your behavior.

It’s not, “This is something that a 35-year-old father of two staying in Atlanta would like”.

It’s more like, “Based on his behavioral patterns, this is what Joshua would be interested in”.

Now, you may not be able to crunch as much data as Amazon and Netflix can. But you can still tailor your offerings towards an individual customer’s needs.

Make them feel like people, not numbers.

5. Identify your future Most Valuable Customers

You always want to focus on treating your Most Valuable Customers (MVCs) right. But wouldn’t it be better if you could identify them even before they become your most valuable customers?

These are your Most Growable Customers.

How do you identify them?

One way is to create a persona based on your current Most Valuable Customers and then check which of your newer customers match this persona the best.

You could also use predictive analytics to get a better understanding of who these customers could be.

Now once you’ve identified your Most Growable Customers, it’s time to for you to take special care of them.

Less-effort methods for increasing CLTV

Give them a little gift

This is more practical if you have a smaller customer base or if you have identified your most valuable and most growable customers.

While its still possible on a large scale, it’s much easier for you to personalize these gifts for a few customers.

What can you do here?

Send a standard or persona-based surprise gift to most of your customers. It could even be a free upgrade.

But, hyper-personalize the gift for your most valuable customers.

If you have a great relationship with them, it makes things even easier.

All it takes is for you to dig into their social media a bit or even take notes from your conversations with them.

Figure out what they’re interested in and send them a gift that aligns with it.

Share value-driven content

Create and share content that gives them value.

Don’t just send them promotional messages. Share content that educates them. Give them content that helps them achieve their goals.

Make it less about you and more about them.

It’s all about showing them that you care about them and you’re looking to help them grow. It’s about getting them to trust you more. It’s about making them believe that you’re not just another vendor, you’re also a trusted resource.

So, whenever they face any issue related to that domain, they’ll come to you.

That being said, it’s also important to show them what kind of value you’ve brought to them.

Send them periodical messages with stats about the value you’ve brought to them. Tell them about the amount of time and/or money that you’ve saved them. Show them what they’ve saved or gained by using your product/service during that period of time.

Improve your return policy

A great return policy is what got Zappos its claim to fame.

It eliminates friction involved in purchases and helps customers trust you more. And that means that they’ll keep coming back because they know that they can return their purchases if they have any issues with them.

The great thing is that thanks to the Endowment Effect, customers will assign more value to their purchases and will be less likely to return them. Essentially, you’ll find people making more purchases and returning only a few of them.

Repost content in which customers talk about you

If a customer says something positive about you in a social media post, push it on your social handles.

This does two things for you:

  • You get social proof, which results in more of your followers trusting you.
  • The customers whose posts you share realize that you care about them. Now they’re going to stick by you and talk about you even more.


Improve your Customer Lifetime Value with Instant Web

Engage your customers and answer all their queries in real-time with Instant Web.

Experience a powerful combination of chatbots and live chat that gives you both - speed and personalization.

 

3 Simple ways to train your chatbot




They say you must train to stay relevant. Yet, business leaders deal with complex competitive concerns only in the short run. Currently, some are chasing short-term gains to meet their targets for the next quarter. The process will continue till 2019 ends because they want to be the highest ranking company in the current moment. On the other hand, the progressive ones train. They are able to figure out that these gains will become obsolete once we enter the 2021s.

BCG suggests that the following are imperative for businesses to come to the forefront in the next decade:

  • Increasing the rate of organisational learning
  • Leveraging multi-company ecosystems
  • Spanning both the physical and the digital world
  • Imagining and harnessing new ideas
  • Achieving resilience in the face of uncertainty

Therefore, we need a deeper understanding from a fundamental level of business and that begins by getting to know your customers. Of course, the initial steps are to create brand awareness for potential customers to know that your business exists. At a later stage comes the ‘getting-to-know’ part. Moreover, you won’t believe what the stats say about building a brand with technology.

The key focus is to train and formulate content in a way that builds contextual conversations with the audience.

Contextual conversations
Contextual conversations

The focus its around building an interesting, interactive conversation that begins with brand awareness and goes on to customer support, customer retention and more. The key lies behind putting the customer as the centre of attention, to understand their needs, and marketing the product accordingly.

What’s more interesting to note is how technology is helping businesses train and automate all these processes through data and analytics. We are now actually capable of training the machines to have human-like conversations with customers. Of course, why invest on a month-on-month basis on human labour when talking chatbots can easily take over?

It doesn’t hurt to make use of a cutting edge technology that lets you train your chatbot. In fact, it’s a fun and learning experience for yourself too. Here’s how the features of a conversational chatbot help with it all when you build and train a chatbot with Instant Web.

How to train your chatbot?

1.  Conversation modeller

This is the latest feature addition on the Instant Web platform and customers are already blown away. With this feature, it has now become easier to create meaningful, visual, well-connected and demonstrated conversational paths for customers to easily interact with the chatbot. You have the liberty to choose your own conversational paths and train them in a way that engages your customers the best.

Conversation Modeler | Engati
Conversational modelling 

Further, you can copy, paste, edit, delete, duplicate, and move around the conversations as per your business needs. The visual display actually comes as a great help. The way in which you define these paths will improve the customer journey from lead generation to conversion, as well as increasing brand awareness.

 

2.  Voice conversations

Voice technology is becoming more and more sophisticated day-by-day. Advances in voice recognition technology are slowly filling the world with talking machines and voice assistants helping us with online shopping, travel planning, etc. This way, we are going to become familiar with having meaningful conversations with our devices. It will save customers the hassle of unwillingly listening to IVRs, which will further save businesses a lot of money.

Voice Conversations | Engati
Enabling voice conversations

Instant Web chatbots are trained to have voice-based conversations in your customer's language that your customers prefer. You can set these conversations as continuous or non-continuous. Therefore, you get to use a chatbot technology that is flexible to cater and adjust to your business needs.
 

3.  Multilingual support

We are witnessing a business world in which a hybrid competition is pretty much evident. The competition is between none other than physical-digital interaction between a business and its customers. However, there is one thing common to both and is a complete game-changer - affinity towards sharing a common language.

No matter in which country you are or which field you work in, there's an immediate connection with someone who speaks the same language as you do.

Therefore, it's one way to win over your customers by meeting with them personally or online. You know that you’d be at a competitive advantage when you speak the language they’re most comfortable with. Therefore, Instant Web offers a platform on which you can build your multilingual chatbot in 50+ international languages. These include English, Spanish, Urdu, Hebrew, Arabic, Indonesia Bahasa, and more.

Explore Instant Web’s platform and talk to us about your bot needs!

How to make your chatbot seem more human and less robotic



With 67% of consumers worldwide using chatbots regularly, organizations are flocking to these unique solutions to customer service challenges. However, with the bot market getting flooded, the quality of an organization’s chatbot is increasing in importance. The emerging trend is that consumers want to feel like they’re speaking to a real person. But how do you ensure that human touch while maintaining the advantages of an AI chatbot? Here are a few tips to bear in mind.

How to humanize chatbots?


1 Voice

Most of the internet’s widely popular chatbots technology are voice-activated and communicate verbally, so getting the right voice can be the difference between a human-like experience and a computeristic interaction. Think of Siri, probably the most well-known contextual chatbot (one that stores information from conversations to learn about its user). Like her counterparts in Alexa, Cortana, and Google Assistant, Siri has neutral, natural voices.

The language-learning app, Duolingo, has taken the lead from these companies in developing their own vocal chatbot. “Learning a language can be near impossible without someone to practice with, so the company behind Duolingo has developed chatbots in multiple languages to help their users practice their pick-up lines without accidentally offending any native speakers. Still, the voices chosen are natural, human-sounding voices. Gone are the days of robotic text-to-speech machines” says Steven Bennett, a tech blogger at Writinity and Researchpapersuk.

 

2  Language

Once you’ve got a winning voice, the next thing to figure out is the content of the chatbot’s speech. Providing a chatbot with a well of responses to various questions will enhance those feelings of human connection with users.

This doesn’t mean you need a bot to become a MENSA scholar; sometimes, just learning the right words is enough. Take Amiya, the fashion brand Dressipi’s chatbot assistant. Amiya helps customers while they shop the brand’s online catalog, so it only needs to know language specific to the company’s products and a handful of sayings most likely to be asked by customers shopping for clothes and accessories. In this case, shopping assistants that interact in the customer’s language can help enrich and guide the customer’s online shopping experience.

 

3  Emotion

This is where we get into real Turing Test territory. If there’s one thing that frustrates users about chatbots, it’s that they think the bot can’t fully empathize with their situation. It comes across as a cold machine that has no understanding of human emotion and experience. But when more customers report a positive user experience, they would be encouraged to return to a business. Making an emotional connection can be the sink or swim asset to your chatbot.

But how can the Tin Man get his heart? Well, one way is with an Emotional Application Programming Interface. This is designed for recognizing emotion in images and videos and return the information in actionable data. Microsoft has an emotion detector that recognizes a wide range of human emotions from joy to disgust. The data can be fed into an artificial intelligence chatbot to make sure it provides personalized responses in different emotional situations.

4  Personality

Once a chatbot application has a voice, specific language, and appropriate emotions, we’re already scaling the uncanny valley and on our way to a real human-like interaction. “The one thing missing is a unique personality, one that can stay consistent across multiple platforms and mediums. The character should be able to come across in both text and voice, so no matter how it’s built there’s room to insert some uniqueness that will make for a unique customer interaction” explains Carolyn Cort, a marketer at Draftbeyond and Lastminutewriting.

The important thing to remember in this area is to orient a chatbot’s personality to the target user. When Siri and Alexa make jokes, it’s endearing, less so if a chatbot that deals with life support in a hospital does that. So, start with thinking about the user and what they want from their interaction with the chatbot. After that, you can start to tweak it (using your specific language) so that your chatbot is humanized, memorable, unique, and pleasurable to interact with, thus creating a better user experience.

Conclusion

As technology grows more advanced, chatbots will likely get increasingly human-like, but until then, these steps should be inspiration enough to personalize your chatbot and ensure a unique customer service experience!

Another great way to humanize your chatbots would be to adopt a hybrid approach like Live Chat. This gives the user a choice between interacting with a chatbot and interacting with actual, living, breathing human agents. Such an approach will ensure that your customers are as comfortable and happy as possible.

Register with Instant Web and build your own personalized chatbot today!

Cover Photo by Alex Iby on Unsplash

7 reasons why your small businesses needs an intelligent chatbot




Chatbots are a necessity for small businesses. Nobody enjoys seeing popups on a website, but it all changed with the introduction of chatbots. Today, almost every website on the Internet contains a chatbot agent in charge of customer service, but it doesn’t bother users because chatbots help them to get around quicker.

Chatbots have taken the world by storm in the last few years, but what seems to be their secret? If you don’t know the answer to that question, keep reading our post to see seven proofs that chatbots are a great necessity for small businesses. 

Chatbots: Definition, types, and basic features

We are here to discuss the benefits of using chatbots, but do you really understand the basics of this relatively new form of technology? 

By definition, a chatbot is a software program that can hold a conversation with a human user. In other words, it’s a digital customer service agent with the ability to initiate a meaningful conversation with real persons. 

Customer support Chatbots speed up and simplify customer service, which makes the entire industry flourish. You can see them almost everywhere these days, from dissertations services to digital marketing or engineering websites. According to the report, the chatbot market size will climb from $190 million in 2016 to $1.25 billion in 2025.

The two basic types of chatbots:

  • AI-powered communication bots: Artificial Intelligence relies on natural language processing to help chatbots develop a natural way of communication. That way, AI-powered bots can answer a broad scope of questions and learn and improve along the way. 
  • Command-powered communication bots: The second type of chatbots is preprogrammed so as to suggest certain question sets and then guide users to a more specific question within a given set. It cannot give any answers outside its databank, but its accuracy is 100% for the existing types of inquiries.

Now, the key question is how to design a high quality chatbot for small businesses. While it all depends on the nature of your small business, there are a few general tips on how to craft a reliable chatbot. First of all, your digital agent should be well-designed and look friendly. Make sure to give it branded features and use top-level images and text formatting. 

Besides that, it is essential to keep your chatbot minimalistic communication-wise. Instead of bombarding users with tons of messages, the chatbot should keep the conversation to the bare minimum and ask only the most relevant questions. That way, your customers will not waste time and they will be glad to address the chatbot again.

7 reasons why you need a chatbot for small businesses

Now that you know the general chatbot-related information, you should also learn why we've turned to chatbots for small businesses. Without further ado, let’s take a look at seven reasons to use a chatbot for customer service purposes.

1. Unparalleled functionality

The first reason to deploy chatbot technology for small businesses is obvious – they will make your business much better and more efficient. Chatbots will bring you unparalleled functionality that no other service or agent can match. Here’s why:

  • Chatbots are always available and fully operational around the clock
  • Chatbots reply to users’ messages almost instantly, thus eliminating time-waste
  • Unlike human agents, a chatbot can run multiple conversations simultaneously
  • A typical chatbot can answer about 80% of users’ questions, while it redirects the remaining 20% of clients to human agents

2. Chatbots are extremely cost-effective

If you paid attention to the previous item on our list, you will realize that for small businesses, chatbots are extremely cost-effective. Although the platform requires a certain amount of investments at the very beginning, it will soon pay off big time. How come?

First of all, chatbots work non-stop. They don’t take breaks, don’t need sick leaves, and don’t go to annual vacations. Secondly, they don’t make mistakes caused by tiredness or lack of concentration.

Jake Gardner, a human resource manager at the best paper writing service, adds that chatbots represent a one-time investment: “It requires little to no additional costs in the long run, which means you don’t have to pay additional salaries or bonuses.” 

3. Chatbots personalize user experience

Another thing you should know is that chatbots guarantee a highly personalized user experience. The system is user-friendly and designed so as to maintain lightweight conversations while solving practical problems. A study reveals that 90% of small businesses report faster complaint resolution with bots. 

At the same time, chatbots store client-related data and rely on the exiting information to continue conversations with the same customers in a more natural way. They don’t have to repeat questions or ask for the same inputs once again as it’s all in the system already.  

4. Chatbots promote customer engagement

The Internet is essentially a two-way channel of communication, but lots of platforms (such as websites or mobile apps) are still not allowing users to take action freely and easily. Chatbots eliminate this problem for small businesses because they take customer engagement to the highest level.

Today, you don’t even need to navigate through the website to find the content you’re looking for. All it takes is to ask a chatbot and it will guide you to the desired link in no time. This encourages visitors to engage while increasing overall customer satisfaction levels. 

5. Boost cross-sales activities

Cross-sales activities are yet another way chatbots can improve small businesses. Namely, a smart bot can contribute to your sales efforts by giving users relevant suggestions about products or services. 

For example:

The platform is able to give personalized product recommendations based on the client’s previous interactions with your company and the entire history of purchases. Another option is to assist users during website navigation in order to help them find a given product faster. 

6. Chatbot increase customer loyalty

Do you know that 80% of your company sales come from 20% of your customers? It’s a well-known business principle that clearly shows that you need to convert as many one-time buyers into regular customers. 

The only way to do it is by offering a standout customer service, which is where chatbots play a major role. Thanks to the chatbots’ speed, personalization, and accuracy, you can build stronger relationships with each customer and turn lots of leads into loyal shoppers and perhaps even brand advocates.

7. Data accumulation

The last reason why an intelligent chatbot for small business comes in the form of data accumulation. We already mentioned that chatbots are a powerful data management resource that enables entire organizations to accumulate lots of user-related information, so it’s up to you and your sales team to make use of massive data libraries. 

Up to you!

Chatbots have revolutionized customer service by making it faster, cheaper, and more efficient and are a necessity for businesses. If you are running a small business, you should definitely consider adding it to your customer service arsenal. We showed you the seven most important reasons to do it, but now it’s up to you to make a move and enjoy the benefits of a digital customer service agent.

Get started with an AI chatbot today.

8 prime benefits of real estate chatbots!

 

Chatbots have developed to reach almost every aspect of our society now.

We're chatting and communicating with them right from Facebook Messenger, Skype to mobile. Some are helping us plan our trips while others are cracking jokes and puns. So when it comes to real estate chatbots, they're not behind. They are bringing about a revolution by turning long variable forms into an enjoyable experience, they have changed the way we purchase, sell or rent estates.

Large tech players such as Facebook, Microsoft, and Google launched their own bots and chatbot platforms back in 2016. AI-based applications have been booming ever since and many interesting chatbot understandings have begun to take shape. In the beginning, like any other new technology, everybody wants to experience and know how to use the 'AI machine' to build a bot. But as the AI framework continues to improve at such a quick rate, it is obvious that AI will certainly help people in their daily lives. It will make companies operate more efficiently and strengthen their customer experience.

Are real estate chatbots the future?

The key here is to continue indulging with customers, especially outside of normal operating hours, and to address issues that do not really require human guidance.

With bots deployed across a multitude of sectors such as healthcare, e-commerce, retail or hospitality, ROI and customer engagement have made a positive impact. Bots are ready to be of any assistance in the real estate world too now. Whether it's a realtor or a client, real estate chatbots are helpful in saving time, funds and additional resources.

When it comes to assisting a visitor who could be a potential lead for you, here’s how a your Real estate bot can turn a potential lead from lukewarm to hot.

Let's assume that a visitor is looking to move into a new location or that a prospective seller is planning to sell their house. However, both parties need quick responses in both scenarios. Taking the time out and meeting the requirements of a random visitor on their website is quite difficult for them. It is quite time-consuming to invest time to determine the overall sincerity of the lead from scratch. Nevertheless, it is quite obvious that you need to capture as many leads as possible to ensure you have a sustainable pipeline in order to succeed in the real estate industry.

Since most buyers and sellers start their research online, it is advisable to implement chatbots for creating their sales funnel.

Most of the customers are converted from leads online in today's age of digitalization and internet business predominance.

Letting go of all that online traffic in such a scenario is something you can't afford to do. Smart real estate chatbots assist you to tap into that traffic to gather and convert leads into customers.

The benefits of chatbots in real estate industry


1.  Round the clock availability

Since real estate agents have time constraints, such as deadlines and shifts, it's not feasible for them to continue to be available to the user throughout the day and night. With chatbots accessible round-the-clock, 365 days a year in real estate–your buyer's inquiries can be resolved even outside working hours.

The major advantages of chatbots are that they are available 24/7. They can easily outperform human agents in terms of speed and accuracy. Compared with the conventional interaction system, the AI Chatbot system has a broad spectrum of relevant information to serve the users.

2.  Inquiry in real-time

 

When a user visits your website, the chatbot will promptly initiate a conversation and clarify their queries, acting as a lead generation chatbot. They don't have to wait for a human agent's help in seeking answers about the estate they're interested in. A chatbot can eliminate wait-time, therefore providing your customers with a better experience at your brand. In fact, a chatbot will be more up-to-date with the latest trends and information, based on how the technical team trains it. This way, the customer support team doesn't have to repeat the same trends again and again. Customers can easily get access to this information via your chatbot. Real-time support improves efficiency and customer experience.

3.  Better time management

 

The greatest advantage of any machine is the ample amounts of time it saves. Similarly, chatbots also help you save your time and energy over tasks that can be made so much better with a little automation in hand. In this context, as a real estate agent, you will not be wasting your time on futile queries.

You and your marketing team are going to work with much smaller, filtered and qualified leads, saving you a lot of time and resources. Chatbots work at the grassroots level, saving the collected information to a database by interacting with each potential lead in a personalized manner.

With a real estate chatbot you can rely on its intelligence and time management skills. You train it to trigger the right message to the right customer at the right time to measure improved results. Therefore, you will ensure high engagement at a time when customers would want to receive information and be motivated enough to take an action. If it is a buying decision then it is a win-win for both, you as well as the customer.

4.  Automate the follow-up process

As a realtor, you have a lot to follow up on, the people who are yet to be clients. Real estate bot can be used very effectively to follow up on your leads. Whether they want to be approached for more information via text or email response or would prefer to speak directly to the real estate live agent, the user is asked for all the questions in order to construct a good customer experience with your brand.

A text message or an email will then automatically be sent to the prospect (based on what you've fed in the system), or if you'd like to manually handle it from here which is feasible as well.

The best part about automation is that you don't have to worry about manual follow-ups. The real estate bot will manage and execute it all for you. All you have to do is ensure intelligent training for your bot and concentrate on improving its assistance quality.

 

5.  Better engagement

To identify the type of product your clients are interested in, we used to have physical copies of samples and applications given to people earlier. Out of which, most of the forms ended up in the dumpster.

Now with the rise of chatbots, there's a slow replacement with online forms that proved to be better than their predecessors, while they still remained informational forms requiring input from the buyer's side. This change enhanced engagement.

The real estate bots were able to engage customers not only during their purchase but also after with more property recommendations, notifications, real-estate stats, current land prices, etc.

In fact, your chatbot will know what your customers are looking at or looking for. It will quite easily predict what kind of options your customers would like to see. Therefore, your real estate chatbot will improvise a personal experience for your customers and ensure that they are hooked.

6.  User-specific

Not many are searching for the same type of apartment or type of property. Thus, real estate bot are the key element in supplying the customer with exactly what they are searching for by interactively checking the visitor with a number of questions and presenting relevant data.

This stands in stark contrast with traditional approaches of obtaining information by long forms that hold the consumer engaged until the end.

Forms are less engaging and are less effective when it comes to holding the customer's attention. Even if a lead fills out the questionnaire, they're only supplying you with the details they're searching for, and they don't get any information back.

Customers can communicate on a real-time basis with chatbots in real estate, respond to their queries and at the same time gather information about their preferences.

As a realtor, before making that first call, you can reach the database and have all the information about what the customer wants. This way, you only need to close the deal and not spend time prospecting or responding to FAQs.

 

7.  Schedule property viewings and virtual tours

Once the prospect is further into the sales funnel, the bot should arrange a home tour and be sure to introduce the client and the real estate agent in some way. At this point, the reins can be taken over by the agents or sales team. If prospects are too busy to see the property in person, real estate chatbots will give interested prospects a fast virtual tour of the bot itself. This gives them a fair idea of what the property looks like before even planning a visit to the site.This is a fair expectation from the customers in today's time. Before you negotiate a good deal or talk about the right price, it's best to let them explore and experience. This will help them understand what value they are getting for their money.

 

8.  History of interaction

Think about how much paperwork it would have taken if you had recorded each and every response from each and every lead with which you interacted. Inconceivable, right?

By keeping a record of all the conversations to date, Chatbot development for real estate helps you out here. You can simply refer the logs stored in the system whenever you need to look up what the customer had said.

This allows trends between customer and bot interactions to be identified. If you want to find out if there is a certain type of property that belongs to a particular category that has a lot of interest, you can do so easily by using all the data that is stacked in your logs.

AI bot can do a great job in ensuring this. You don't have to worry about much paper-work with your clients because your bot will store important information. Your customers can rely on this technology and make a decision that is going to stay with them for long.

Real Estate Chatbot Example

Real Estate bots sound really interesting, don’t they? Do you run a real-estate organisation and plan on integrating a chatbot? But don’t exactly know how to get started? Well, we have a simple solution for you! The best real estate chatbot example would be Instant Web’s Real Estate chatbot template. This is a simple real estate chatbot that can collect requirements from your customers on what they’re looking for and send the information to your agents so that they can further assist the customers. This also helps in lead generation, and stores your customer data for future references.

Chatbots are the single greatest asset a Real Estate Agent or a Brokerage can use to drive leads and market their business.
Chatbotslife.

The reason why Instant Web is the best real estate chatbot provider

If you want to build successful and lasting relationships with your customers then Instant Web's chatbot platform would be the way to go about it.

It is going to ensure customer engagement, customer success as well proven business growth with the help of fast and seamless technology.

Build your chatbot now!