Top 10 Live Chat Benefits You Should Know in 2021


Customers reign the digital landscape to a maximum extent while customer experience (CX) has evolved with the changing demands on digital communication. One of the best ways to increase CX is by offering real time support to your customers. And for that, you need to be on the channels where your customers are. 

Live chat is one of the best channels to deliver on-the-go support and enhance customer communication. With the benefits of live chat, you can not have meaningful conversations but happens via the customer’s preferred channel.

62% of respondents were likely to return to a website that offers live chat benefits & 38% said they made their purchase due to the chat session itself. It proves the importance of chat over communication channels like email, social media, or phone.

The advantage of live chat support is that it is a convenient and instant way for customers to find out information. By making your support team available to address their questions, you can reduce bounce rates and ensure customers make it all the way to check out.

Why do customers prefer live chat?

Live chat is one of the most preferred channels as it immediately connects the agents and customers. It allows agents to understand the customer pain points and address their issues effectively in real time.

The adoption of live chat across industries has increased by as much as 150%. The main reason behind the increased rate of adoption is because more and more customers look for online chat to raise their support or sales queries, rather than call a company for support.

Why customers prefer live chat

The key reasons why customers fall for live chat are as follows:

Increase customer satisfaction

Unlike other communication channels like phone or email, live chat benefits you to connect instantly with customers and deliver real time solutions. You can also use personalized proactive chat triggers to guide them in their buying journey and improve their satisfaction as well as experience.

Prevents cart abandonment 

The benefit of live chat can have a significant impact on sales. It helps to connect with the agent in real time and get answers instantly that helps customers make quick decisions of sales. This maximizes conversion rates and reduces shopping cart abandonment

Reduce customer churn

Live chat helps you to understand your customer needs, expectations, and pain point so that you can deliver exceptional customer service and delight them. It encourages customers to retain your brand for a longer time and reduces the customer churn rate significantly.

Top 10 benefits of live chat

Live chat is intuitive. It offers significant benefits that have a positive impact on the overall business growth. The main advantage of live chat is that it empowers the support agents to offer prompt assistance to visitors and customers. It improves customer service communication and strengthens client relationships.

Here is a quick list of practical benefits of implementing live chat for your business.

  1. Live chat is the top preferred channel by customers.
  2. Automate common queries with AI chatbots
  3. Boost your sales conversion rate
  4. Deliver real time customer service with live chat
  5. Wow your customers with live engagement tools
  6. Reduce customer support costs with live chat
  7. Understand customer pain points
  8. Improve the efficiency of your support team
  9. Provide a better website experience to visitors
  10. Develop customer trust & loyalty

Let us dive into a comprehensive discussion of live chat benefits.

1. Live chat is the most preferred channel by customers

Live chat has become the leading digital contact channel for online customers, as a staggering 46% of customers prefer live chat compared to just 29% for email, and 16% for social media.

The statistics above clearly show the popularity of live chat among customers. And the major reason businesses adopt live chat is because maximum customers prefer to chat with a support agent in real time situations, rather than email or phone support. 

Live chat is most preffered by customers - live chat benefits

By allowing your customers to get in touch with you in real time via live chat, not only are you meeting their expectations, but you also gain a competitive advantage.

Live chat benefits empower agents to connect with customers at every touchpoint and deliver a better experience. Here are the key reasons why customers prefer live chat over other communication channels.

  • Faster response timeResponse time is a vital part of good customer service. Live chat allows agents to provide faster solutions by using canned responses, tags, handling multiple conversions that reduce queue time.
  • Reduces the number of touchpoints – Live chat helps agents to understand the customer issue or requirements and align services to meet their expectations. It enables providing the right solution effectively and reduces the number of touchpoints.
  • First contact resolution (FCR) – The benefits of live chat allows organizing chats better by routing them to the right agent to provide an effective solution and improve the first contact resolution (FCR) rate.

2. Automate common queries with AI chatbots

Automating live chat conversations with AI chatbots helps to improve operational efficiency and reduces costs delivering a better customer experience. 95% of consumers believe customer service is going to be the major beneficiary of chatbots. 

Deploying chatbots, helps you to engage customers 24×7 and provide instant answers to common sales or support-related queries. However, the chatbot won’t be able to complex queries and it should be handed over to the human agent for support.

Here is HDFC Bank’s EVA (Electronic Virtual Assistant) for example, an artificial intelligence-driven chatbot, for delivering 24×7 customer service.


HDFC Eva chatbot - live chat benefits


Eva can answer millions of customer queries across multiple channels promptly. It can assimilate knowledge from thousands of sources and provide answers in simple language in less than 0.4 seconds.

Here are the key chatbot benefits:

  • 24×7 customer engagement – Bots can engage with their customers round the clock to answer the common support or sales queries when the team is busy or not available. 
  • Minimize support tickets – Leveraging a bot reduces the number of help desk tickets raised by the customers by answering general queries.
  • Automate lead qualification – You can qualify good quality leads with the help of a sales questionnaire. You can immediately direct the leads to the sales team or schedule an appointment. 
  • Hybrid support approach – It means all the frequently asked queries (FAQs) will be answered by the bot and the queries that are complex and the bot is not able to answer will be handled by the human agents.

3. Boost your sales conversion rate

When you engage the website visitors at the right time and guide them throughout their buying journey, they are able to make a quick sales decision. Triggering personalized messages based on action shortens the sales cycle and increases the conversion rate.

The impact of live chat has on customers and found out that 35% more people made a purchase online after using live chat.


live chat boosts sales conversion - live chat benefits


With live chat, you can create preset answers for common queries for better engagement, reduce response time and improve sales conversion. You can route chats across the right agents for quick resolution of customers to encourage making final sales decisions.

Here is how the benefits of live chat help to increase sales conversion rate.

  • Engage your website visitors with live tools – Live chat can be used with video chat, and co-browsing to deliver a virtual in-person experience. With automated triggers and welcome greetings to start a conversation with visitors.
  • Engage with visitors for final sales  – Get in touch with your visitors in real time to fix their issues so that they make a positive decision. Attract customers with promos or offers using proactive triggers and increases sales.
  • Turn your visitors to potential customers – Based on your visitor’s journey, engage them with the right chat messages that will make them feel comfortable and develop loyalty towards your brand. 

4. Deliver real time customer service with live chat

The main objective behind businesses implementing live chat is to deliver real time customer support. The online chat tool helps to deliver proactive assistance in order to delight customers by delivering an excellent experience. 

The benefits of live chat help you to enhance engagement when your visitors can easily connect with you. 

Here are how live chat benefits help to deliver prompt customer service.

  • Engage your customers with visual engagement tools such as co-browsing and video chat to identify issues faster and deliver effective support in real time.
  • Personalize your chat conversations to make customers feel comfortable and improve customer experience.
  • Handle multiple conversations simultaneously to deliver faster real time solutions thus reducing the queue time. 

Being available for chat assistance without delaying response helps customers to make quick decisions. Also delivering live assistance improves customer satisfaction and these are all part of live chat etiquette tips

5. Wow your customers with live engagement tools

Live chat offers a complete toolkit of live customer engagement tools for better contextual support. The visual tools help to gain the context and comprehensive elaboration of the issue that delivers personalized solutions to provide a positive customer experience.

Co-browsing solution helps to collaborate with your customers in real time on the website or mobile apps. It allows agents to control the customer’s browser and guide them in the right direction to boost sales conversions.

live chat benefits - co browsing

Your support can use video chat to deliver personalized customer service. It helps them to diagnose the exact issue faced by clients and deliver an effective solution, thus reducing the number of touchpoints.

Here is how contextual customer engagement drives CX.

  • Leveraging visual tools helps to accomplish tasks by collaborating with the client’s browser, thus improving first contact resolution (FCR) and preventing customers from returning again.
  • The live engagement tools help to identify customer issues in the first contact, thus making the resolution process faster and reducing the number of touchpoints. 
  • Combining live chat with co-browsing and video chat together makes the conversation interactive and delivers a virtual in-person experience. 
  • You can personalize the chats that strengthen customer trust and develop loyalty towards your brand. 

6. Reduce customer support costs with live chat

The traditional channels of handling customer chats over phone calls or emails restricted the support agents to handle one call at a time. The benefits of live chat help to control the business operations costs related to sales and support. 


live chat benefits - save support costs


Live chat is cost-effective because of the below-listed reasons:

  • Live chat handles multiple chats – Live chat improves efficiency by allowing agents to handle multiple conversations simultaneously. It also allows multiple options for chat distribution and utilization. 
  • Effective support in minimum time – With live chat, agents can connect with customers in real time. Identifying the complexity of the problem helps to resolve it in the first contact.
  • Reduce help desk costs – By lowering the queue time and intelligent routing of chats across the right departments the help desk costs are reduced.
  • Increase average order value (AOV) – As the customers are delivered real time assistance average order value increases. The agent satisfies the customer by delivering the exact product or service he was looking for.

7. Understand customer pain points 

According to the Forbes study, “75% of companies identified improving customer experience as their top objective”.

When a business fails to solve or address the customer concern, it becomes a pain point.  With the reactive approach channels, such as email or phone calls, it is at times difficult to figure out the pain points because you can only hear them.

A simple shortcut to keep your customers delighted is to understand their pain points. Identifying customer pain points helps businesses to acquire and retain customers by delivering a frictionless experience. 

In order to effectively manage customer pain points, businesses first need to develop trust and confidence before offering solutions to customers. Applying the benefits of live chat helps to learn customer demands and the issues they are facing.

Here is how live chat helps to discover customer pain points and offer effective solutions. 

  • By creating instant connectivity with customers via live chat, you can immediately determine their needs and provide products/services that best meet their interests.
  • The live chat benefits allow your agents to understand every issue to the best of their abilities and offer timely solutions. 

8. Improve the efficiency of your support team

Live chat analytics give you valuable insight into your agents as well. You can use the visitor data along with chat histories, agent performance reports, wait time reports to monitor your agent’s performance.

Hence, live chat performance analytics are essential to evaluate the effectiveness of your live chat and know the areas you need to improve. By continuous measurement of the key chat KPIs, you can improve the chat performance experience of your customers as well as team productivity.

The key live chat metrics are as follows.

  • Response time – It refers to the time between the chat started by the customer and when it is responded to.
  • First contact resolution – How well agents handle the chats and resolve customer problems in the first contact.
  • Total resolved conversations – It refers to the total number of conversations that are resolved out of the total assigned.

9. Provide a better website experience to visitors

One of the advantages of live chat is that it reduces website bounce rate. With the benefits of the live chat tool, you can connect with your visitors in real time to answer their sales-related queries and increase website engagement, which can reduce bounce rate significantly.

You should intelligently place live chat over the pages across your website so that your agents can head on your customers navigate the right thing they are looking for. 

Here is how to increase website engagement with live chat benefits.

  • Set up automated personalized messages that start a proactive chat with visitors.
  • Live chat is much faster than reactive channels such as email or phone. It guides visitors in the right direction through proactive conversations.
  • More and more customers choose to return to the website that offers a live chat option. It means a boost in the live chat conversion rate.
  • Gain valuable insights about visitors’ journeys and the previous touchpoints.
  • Live chat allows handling multiple chats that reduce queue time.
  • It drives customer satisfaction and converts visitors to loyal customers who retain your brand as well as advocate with positive word of mouth.

10. Develop customer trust & loyalty

When your customers are satisfied with your service, they generally are no more price-sensitive but value the way they are treated. The customers who have live chat experience with your brand tend to come back and buy more often.

90% of customers said the “Live Chat” button gives them confidence as they get real time help. Without live chat, you have to struggle around hard to build trust with your website visitors.

Undoubtedly, customer trust and loyalty go a long way. With personalized chat conversations, develop a comfort zone and personal connection in between that positively impacts conversion rate and business growth.

By adding live engagement tools chats can be interactive and personal with face-to-face contact. The tools help you to collaborate with your customers in real time and deliver prompt solutions. Further, the customers advocate and become loyal to brands that offer one-on-one service through personal conversations.

The benefits of live chat can’t be ignored

If you as a business are offering all the live chat benefits, your customers can reach out to you to ask their questions with relative ease and gain a better live chat experience. As today’s customers are getting more and more comfortable with live chat technology. And not only do they prefer it, they expect it, too. So, undoubtedly, live chat is worth the investment. 

Beyond improving the customer experience (CX), the ability to increase agent productivity combined with the collected data can result in greater success with live chat as part of your customer support plan.

Customers reign the digital landscape to a maximum extent while customer experience (CX) has evolved with the changing demands on digital communication. One of the best ways to increase CX is by offering real time support to your customers. And for that, you need to be on the channels where your customers are. 


Snigdha Patel
Author’s Bio

An avid reader, eclectic writer, blogger, and content writer by profession at REVE Chat, Snigdha Patel endeavors assiduously to understand complex support channels and provide information regarding them through comprehensive blog posts.

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