A comparison with Telemarketing

Efficiency

In efficiency terms a well run outbound telemarketing operation can achieve an 85% efficiency, without completely burning out its front line agents. With a maximum of 3 concurrent chats ( and some instances will run to 4 or 5) this rises to around 170% efficiency in a proactive chat environment.

Warmth

With chat engaging with potential customers who have chosen to visit the website as opposed to those who are being cold called. The outcome is almost guaranteed to be better. TPS is well established, and call screening where many people will not answer a “number withheld” or international number is now customary. As such the telemarketing universe is shrinking.

Summary

At MGt we think chat as a customer acquisition solution is an effective, efficient and highly engaging for prospective customers in the current climate.

Web Chat and incremental sales

Software vendors in this space regale us with the promise of increased, sales, reduced check out failures and fewer customer returns. To contact centre professionals, the concept of a chat agent handling 3 or more conversations simultaneously is beguiling from an efficiency perspective. Does it really work though? Would the customer left to their own devices have bought something anyway?

The average abandonment rate of internet transactions is 71%. (Internet Retailing 2010) Customers that abandon on your site are likely to buy from a competitor within 48 hours of that abandonment.

At MGt we have the empirical evidence that proves web chat does work. In an innovative solution delivered on behalf of one of the largest communications companies Europe, MGt’s skilled proactive chat agents delivered a 200% uplift on sales conversions, compared to a control group who browsed the web site without being offered a chat invite. Basket size was also greater; proving that up sell was also possible.

What does multi-channel customer engagement mean for the contact centre?

Before the digital revolution the contact centre, or call centre as we industry veterans sometimes call it, was the primary touch point for customer interaction. The web is now an established medium for both sales and service, and many leading brands are now venturing into the plethora of social media platforms to interact with customers. The emergence of new smart devices (Android/ iphone, tablets, connected TV’s etc) means customers are demanding interaction in new ways, at any time of the day, and on their terms.

With the landscape now truly multi-channel, what does this mean for the contact centre?

Various studies suggest the phone will be less dominant, though estimates of reduction in volumes vary wildly, between 20% and 50% by 2015 !! We have heard it all before, however in the context of 155m tweets per day, and high street stalwarts such as M&S selling lounge suites on Facebook, the snowball is already well down the mountain. Don’t be fooled by the “demographic argument”, that our ageing population still prefer the phone:

• Nearly 40% of all UK online shoppers are over 45 - WebMarketing Group, 2009
• Over-55s more likely to shop online than under-25s - Internet Retailing, 2011
• Over-65s are the fastest growing group of internet users - British Population Survey, 2011

People

In very simple terms the proactive contact centre executives will be preparing for a seismic shift in the quality/quantity ratio. Many of the transactional, low level contacts previously handled by agents have already been automated. When did you last ask an agent for your bank balance? The contact centre will be staffed by “super agents” skilled and empowered to meet the complex customer interaction.

Technology

Automation and self help is the key, allowing customers to help themselves beyond routine tasks.

Summary

In summary the contact centre needs to skill up, scale down and contact centre executives need to take the lead in ensuring that a consistent customer engagement strategy is applied across the business.