Introduction 

Are you now noticing automated chatbots frequently popping out from business websites? Well, it is not surprising. These AI assistants have a big impact on how businesses interact with customers.
Imagine your business-related queries were answered instantly at any time of the day. For starters, this is what chatbots for business do. These tireless workers manage customer queries and other simple tasks. In the years 2019 and 2020 alone, the use of chatbots as a channel for brand communication increased by 92%.
Chatbots for websites make your business stand out with its exemplary customer service. Also, chatbots for business are money and time savers.
Now comes the tricky part- calculating the ROI of a chatbot for websites.

Calculating ROI

Let us understand what ROI of the chatbots for business is all about.
Chatbot ROI is the financial gain after implementing the chatbot for the website. ROI compares the savings with the chatbot’s deployment and development costs.

Here are the steps to measure the ROI of your chatbot.

Identifying Chat Volume

• Gauge how many chat inquiries your chatbot for a website can handle in a month. This is the chat volume.
• Based on the 80:20 rule, chatbots can handle 20% of queries, leaving human agents free to take on difficult tasks.
• For example, if your business receives 1500 queries/ month, 20% or 300 is the chat volume. The chatbot for business handles 300 inquiries.

Calculating Time Savings

• Figure out the average time your agents need to resolve a request. This is the average handling time (AHT).
• The typical chatbot handling time (CHT) is 3 minutes.
• Use the formula to calculate time savings-
  AHT- CHT* total query volume
  For instance, if AHT is 10 minutes and the total query volume is 1500, then
  Time savings= 10-3*1500= 10,500 minutes per month

Calculating Cost Savings

• Determine the number of calls a human agent handles per month. For example, if ten agents handle 1500 calls in a month, it is 150 calls /agent.
• A chatbot handles 20% or 300 of these calls per month.
• It does the work of two agents or reduces the need for two agents.
• So, the cost savings is the agent’s monthly salary multiplied by 12.

Applying the ROI Formula

To calculate the ROI of the chatbot for business, use the formula-
ROI=(Net Savings-Total costs/Total Costs)X100
Net Savings include gains from increased sales and lead conversions and human agent cost savings.
Total costs include the chatbot’s implementation, maintenance, and operation expenses.

Final Thoughts

If you want to use your chatbot to drive your marketing campaigns and get real-time analytics, look no further than Shipyaari Delta. Contact them today to use their engagement tool to transform every chatbot interaction into a growth opportunity. Make your chatbots a smart investment with long-term benefits.
Sign up today to boost your ROI with Shipyaari!