Last updated on January 19th, 2023
As an ecommerce business owner, you want to provide the best customer service possible while also keeping costs under control. One way to achieve this balance is by implementing live chat support services. By offering a convenient and immediate support option for your customers, you can improve satisfaction and loyalty while potentially reducing the workload on your support team. In this blog post, we’ll explore how live chat support can help you cut costs without sacrificing quality and provide tips for successfully integrating this service into your ecommerce business.
8 Tips to Cut Customer Service Costs
As a customer service team, it is understandable to operate under a tight budget. However, that does not mean you should sacrifice the quality of support. Here are 10 expert tips for reducing customer service costs without compromising on quality:
1. Building a Strong Customer Service Team
The process of hiring customer service employees can be expensive, with costs including candidate sourcing, eligibility tests, background checks, referral rewards, and job listing fees. According to a Glassdoor study, the average business in the United States spends around $4,000 and 24 days to fill a vacant position. To minimize customer service costs, selecting the right candidates with the necessary experience, skills, and motivation is crucial to provide excellent support.
But hiring the right team is only the first step. It is also important to retain top talent and keep them engaged. One way to do this is by offering chat support services, such as live chat support, which can be provided by specialized live chat support providers or outsourced to a live chat support company. These services can offer 24/7 chat support and improve customer satisfaction, potentially reducing the workload on your customer service team. In addition to implementing chat support, creating a positive work culture and offering opportunities for professional development can help with retention. Recognizing and rewarding employees for their contributions to customer satisfaction can also be effective in retaining top performers.
2. Reducing Customer Service Costs through the Use of Cost-Effective Channels
Customers have many options for contacting a support business. Still, to reduce costs, shifting away from expensive channels like phone support may be necessary. The average cost of handling a customer call is around $0.95 per minute, making phone support a significant expense, especially for businesses that receive a high volume of calls. In addition, phone support has limitations, such as the ability only to handle one customer at a time and the high initial investment in equipment and software.
An alternative to phone support is to direct customers to more cost-effective channels such as live chat, SMS, or email. For example, a live chat agent can handle multiple conversations simultaneously and provide quick resolutions. Various live chat support providers and companies offer 24/7 chat support, which can be outsourced to handle customer inquiries and improve customer satisfaction. By considering a shift to these channels and implementing chat support services, businesses can reduce customer service costs while still providing high-quality support.
3. Streamlining Workflow with Help Desk Software: The Benefits of Automation
One way to reduce customer service costs while still providing high-quality support is by implementing Chat Support Services. These services, often provided by live chat support providers or outsourced to a live chat support company, offer 24/7 chat support and can handle multiple chats simultaneously. In addition to improving customer satisfaction, Chat Support Services can also help businesses reduce the workload on their support team and potentially save on costs associated with phone support, such as equipment and software expenses. Chat Support Services can be a cost-effective solution for businesses looking to offer a convenient and immediate support option for their customers.
4. Improving Customer Satisfaction through Proactive Customer Service
Moving from reactive to proactive customer service can effectively reduce customer service costs. Proactive customer service involves solving problems before customers request queries or complaints. Research shows that 67% of customers now use social media networks to seek resolutions for issues.
There are several ways to offer proactive customer service and reduce costs, such as using social media for important announcements, sending proactive emails to notify customers about maintenance or downtime, and keeping customers updated about their issues. By being proactive, businesses can improve customer satisfaction and reduce the volume of incoming customer inquiries.
5. Utilizing AI-Powered Chatbots for Improved Customer Service
AI-powered chatbots can be a valuable tool for businesses looking to reduce costs while improving customer service. These bots use artificial intelligence and natural language processing to understand customer inquiries and provide appropriate responses. According to Chatbots Magazine, organizations can reduce customer service costs by up to 30% by implementing chatbots and other conversational solutions.
There are several ways in which chatbots can help businesses save money, such as providing 24/7 customer service, requiring a one-time investment rather than hourly payments, and reducing training expenses as they can self-learn and improve over time. By leveraging the capabilities of AI-powered chatbots, businesses can improve efficiency and reduce customer service costs.
6. Empowering Customers through Accessible Knowledge and Self-Service Options
Sharing knowledge can not only improve customer and employee understanding, but it can also have cost benefits. According to a McKinsey study, the average knowledge worker spends 19% of their time searching for information, leading to wasted time and reduced productivity. By creating a dedicated knowledge base and encouraging self-service, businesses can reduce the number of support tickets, streamline agent training, and lower customer service costs. Providing accessible knowledge can empower customers to find answers to basic questions and allow customer service agents to focus on more complex issues.
7. Improving Customer Service Through Skill Development: Identifying and Closing Gaps
Skill gaps within a customer service team can lead to low productivity, inefficient support, and increased costs. Filling these gaps is an effective way to reduce the cost of customer service. Unskilled agents may take longer to resolve issues, constantly seek help from their peers, and ultimately increase overall costs.
To improve efficiency and reduce costs, training agents on specific skills that align with their unique talents and business needs is essential. This can involve giving agents more authority to avoid unnecessary escalations and providing training in soft skills such as active listening and empathy. By identifying and addressing skill gaps, businesses can improve the quality of customer service and reduce costs.
8. Utilizing Interactive Voice Response (IVR) for Improved Customer Service
The Interactive Voice Response (IVR) system is valuable for cost-effective and efficient customer service. IVR systems can interact with customers and perform actions based on their keypad selections or voice responses.
IVR systems can save time by routing calls to the agent with the most relevant skills, reducing the need for agent intervention, and improving the First Contact Resolution (FCR) rate. By providing customers the information they need, businesses can reduce the volume of incoming inquiries and improve efficiency. Utilizing the IVR system can be a cost-effective way to improve customer service.
Conclusion
As an ecommerce business owner, you want to provide the best customer service possible while also keeping costs under control. One way to achieve this balance is by implementing chat support services, such as live chat support. Live chat support allows you to offer immediate customer support through a convenient online chat platform. This can improve customer satisfaction and loyalty while potentially reducing the workload on your support team.
There are many live chat support providers, and you may consider outsourcing this service to a live chat support company. Finding a reliable and experienced live chat support provider that can offer 24/7 chat support, as customers expect quick and timely responses is essential.
Integrating live chat support into your ecommerce business can be a cost-effective way to improve customer service and loyalty. You can cut costs without sacrificing quality by offering a convenient and immediate support option. Choosing a reputable and reliable live chat support provider and considering the benefits of outsourcing this service to a specialized live chat support company is essential. With 24/7 live chat support, you can ensure that your customers receive the assistance they need anytime and anywhere.
