Sunday, January 24, 2021
Home Business Live Chats may Help Increase Sales and Boost Profits on E-commerce sites:...

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%

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)

STAY CONNECTED

19,120FansLike
362FollowersFollow
1,773FollowersFollow

Most Popular

Bilingual Homes Makes The Child More Attentive

 If your child grew up speaking two different languages, it can shift your attention between different tasks quicker than those who pick up a...

Yerwada Jail Is Now Unlocked For Tourists

Marking a new chapter for tourists, the Maharashtra government will throw open important prisons in the state for 'jail tourism', starting this Republic Day...

Mountain Kilimanjaro Is Scaled By A Telangana IPS Officer

The Indian Police Service IPS official reached the top of Mountain Kilimanjaro, 5,895 meters above sea level, on January 21 at 08.15 a.m. (local...

Amit Shah Claims North East Has The Potential To Become A Tourist Hub

Union Home Minister Amit Shah on Saturday said that the central government led by Prime Minister Narendra Modi is leaving no stone unturned in...

Swara Bhasker Says That The Idea Is To Try Things One Hasn’t Done Before

Actress Swara Bhasker has donned multiple looks in her new web series, Aapkey Kamrey Mein Koi Rehta Hai, and she says trying different things...

How Financial Institutions Assess Your Financial Health And What You Can Do To Improve It

Everyone works hard to make the right financial decisions in their lives. Doing so involves adopting practices like saving money and making secure investments....

7 Great Teachings Of Guru Acharya Chanakya

BY SHWETA PORWAL Chanakya, traditionally identified as Kautilya or Vishnugupta was born in the 3rd century BC (350-275 BC) in Patliputra. Chanakya was born to...

CT Helps Catch Liver Disease

Researchers have identified that multiple CT findings can identify patients with high-risk non-alcoholic fatty liver disease (NAFLD) -- advanced fibrosis or cirrhosis, that is...

Recent Comments