Saturday January 25, 2020
Home Business Live Chats ma...

Live Chats may Help Increase Sales and Boost Profits on E-commerce sites: Study

Live chats can increase sales on e-commerce sites by 16%

0
//
Live chats
Live chats can increase sales and boost profits on e-commerce sites. Pixabay

Live chats allow for communication between sellers and buyers. Live chats are popular instruments for e-commerce sites that don’t have the advantage of face-to-face communication, but these live chats can actually increase sales and boost profits, a new study suggests.

According to the findings, published in the journal Information Systems Research, the research team from Indiana University, Fudan University and University of Washington, looked at data from Chinese e-commerce giant — Alibaba, on consumers’ purchase decisions of Apple and Samsung tablets from March through June 2013.

“We found live chat can increase purchase probability of tablets by 15.9 per cent, and we see that human interaction results in better sales performance,” said study researcher Xue (Jane) Tan from Indiana University in the US.

ecommerce-Live chats
Live chats allow e-vendors to communicate with customers in real time. Pixabay

According to the researchers the fact that sellers and buyers cannot speak in person, like brick-and-mortar stores, leads to uncertainty about product quality and seller credibility.

Live chat tools allow e-vendors to communicate with customers in real time, they added.

The data source, Alibaba, has a reputation of being similar to eBay, where feedback is collected after each transaction.

According to the study, the data consisted of consumer browsing, live chat and purchase histories. The live chat tool is moderated by existing information cues: product sales volume and seller feedback score.

Also Read- Reliance Jio Introduces Voice and Video Calling Over Wi-Fi Service

“Sellers with limited feedback benefit more from live chat conversations than sellers with a lot of feedback. And products with high past sales volume sell better after live chat, indicating a reinforcement effect,” said study researcher Yong Tan from the University of Washington.

“It is interesting that a seller can sell multiple products with varying levels of sales performance, and the seller feedback is measured based on all products,” Tan added. (IANS)

Next Story

Amazon Looks Forward To Expand its Prescription Drug Delivery Business

The retail giant had purchased online pharmacy PillPack in 2018, a year after reports came out that it was looking to enter the healthcare industry

0
Business
Amazon reportedly filed its applications on January 9, in what could've been one of the earliest steps it took to start a pharmacy business and medicine delivery in countries other than the US. VOA

Amazon is looking to expanding its prescription drug delivery business likely to be called Amazon Pharmacy, to countries like the UK, Canada and Australia.

The e-commerce titan has applied for a trademark on the name “Amazon Pharmacy” in Canada, the UK and Australia, according to CNBC.

Amazon reportedly filed its applications on January 9, in what could’ve been one of the earliest steps it took to start medicine delivery in countries other than the US, Engadget reported on Wednesday.

The retail giant had purchased online pharmacy PillPack in 2018, a year after reports came out that it was looking to enter the healthcare industry.

Business
Amazon is looking to expanding its prescription drug delivery business likely to be called Amazon Pharmacy, to countries like the UK, Canada and Australia. Pixabay

PillPack is a medicine delivery service catering to customers who need to take multiple daily medications.

ALSO READ: Tips to Take Better Care of Your Eyes if You Look at Screen All Day

A few months after the acquisition was announced, the tech giant changed PillPack’s branding to “PillPack by Amazon Pharmacy”, the Engadget report added. (IANS)