Chatbot Statistics

Chatbot Statistics

Chatbot statistics reveal a significant shift in customer interaction with technology. 

In 2022, 88% of users had at least one conversation with a chatbot, illustrating the growing reliance on automated systems for customer service. Additionally, 74% of customers prefer chatbots over human agents for answering simple questions, highlighting their efficiency and convenience. 

Looking ahead, the number of chatbot users is expected to rise, and by 2027, chatbots are projected to become the primary customer service channel for 25% of businesses. So, let’s explore the latest statistics for AI bots to know more about how these virtual agents can help your business. 

1. Chatbot Key Statistics

  • In 2022, 88% of people had at least one discussion with a chatbot.
  • 39% of all discussions between businesses and consumers include a chatbot.
  • 84% of businesses feel that AI chatbots will become highly important in facilitating and improving customer-business interactions.
  • 62% of respondents would prefer to interact with a customer support chatbot than wait for an agent to react.
  • By 2022, the overall cost savings from implementing chatbots will have reached approximately $11 billion.
  • Approximately 90% of customer queries are handled in 10 messages or less.

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2. Chatbot Market Size

  • The chatbot market grew from $6.7 billion in 2023 to $8.43 billion in 2024, with a compound annual growth rate of 25.9%.
  • The chatbot market was valued at USD 4.6 billion in 2022 and is predicted to grow to USD 32.4 billion by 2032, with a CAGR of 21.6%.

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3. Chatbot Usage Statistics

  • As of now, there are over 3,00,000 chatbots in use on Facebook Messenger. 
  • There are 1.4 billion who actively use messaging apps.
  • Since 2019, there has been a 92% rise in chatbot usage. 
  • Only 9% of consumers are against companies utilizing bots. 
  • 40% of millennials use digital assistants every day. 
  • Customers ask an average of 4 questions in a single chat session. 
  • 73% of shoppers want websites to include digital assistants for more convenient interactions. 
  • Amongst all conversations between businesses and customers, chatbots account for 39%

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Chatbot Statistics

3.1. Chatbot Use Cases Amongst Customers

Use case

Percentage of people using this function

Question answering

32%

Detailed Explanations

29%

Complaint Resolution

27%

Customer Service

27%

Bill Payments

23%

Reservations

22%

Schedule Meetings

19%

Brand Communication

19%

Subscription for Email lists

18%

Make Purchases

17%

Source: Master of Code

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3.2. Average Chatbot Interaction Rates According to Use Cases

Type of Chatbot

Percentage

Upselling Chatbots

20%

AI Chatbots

19%

Discount Chatbots

14%

Cart Abandonment Bots

11%

Chatbots for Ordering/Phone calls

11%

Lead Generation Chatbots

10%

CSAT Survey Bots

6%

Chatbots Created from Scratch by Users

4%

Product Recommendation Chatbots

4%

Exit Intent Chatbots

1%

Source: Tidio

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Chatbot Statistics

3.4. Chatbot Adoption Rate Amongst Customers 

    • 35% of the people have used chatbots either to settle disputes or get specific information. 
    • The chatbot usage doubles when it comes to making purchases, scheduling appointments, or getting customers to sign up for email lists.
    • Digital assistants were used by 41.3% of the people in 2020 to complete their purchases.
    • When customers need information, 54% of them tend to use AI chatbots for inquiries.
    • Over 30% of consumers have used chatbots for bill payments. 
    • Only 23% want to delegate conflict resolution to bots. 
    • Digital assistants handle 58% of returns and cancellations, but just 18% of product/service changes and 17% of payment issues.

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3.5. Chatbot Advantages for Customers

Feature

Percentage of Use

Faster responses

68%

Efficiency in providing assistance

31%

Smooth transfer to human agent

42%

Friendly interactions

34%

24/7 support

42%

Accuracy in understanding

10%

Innovative technology experience

22%

Source: Userlike

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3.6. Customer Expectations from Chatbots

Expectations

Percentage

24/7 Help

29%

Faster response

24%

Ability to talk with a human agent if needed

17%

Using messages to ask queries rather than using the search bar

11%

No need to talk with anyone

11%

Get personalized messages

8%

Source: Tidio

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Chatbot Statistics

3.7. Customer Preferences for Chatbot vs. Human Interactions

Task

Chatbot Preference

Human Preference

Checking order status

71%

29%

Searching for products

67%

33%

Getting information about deals

62%

38%

Ordering food

59%

41%

Booking a meeting (via Zoom or another platform)

58%

42%

Leaving contact details

58%

42%

Making a payment

54%

46%

Returning a product

46%

54%

Troubleshooting 

40%

60%

Complaining about a service or product

28%

72%

Source: Tidio

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4. Benefits of Chatbot for Business

  • 30% of the jobs currently being done by contact center employees can be managed by chatbots resulting in $23 billion savings in the US.
  • Response rates for digital assistants range from 35-40% for less positive experiences to 80-90% for the more engaging ones. 
  • Around 64% of the users think providing 24/7 service is important and 29% of the Chabot conversations happen outside of regular business hours.
  • After implementing digital assistants, 90% of organizations have experienced swift complaint resolution. 
  • Chatbots can handle 30% of live chat conversations. They can also manage 80% of everyday chores and client requests. 
  • According to a survey, 61% of respondents thought bots may improve efficiency by automating task follow-ups. 57% believed they could improve communication within the organization.

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4.1. Chatbot Adoption Rate Based on Business Size

 

Already using Chatbots

Planning to add chatbots

Will not add chatbots

Micro

22%

43%

22%

Small

20%

60%

18%

Medium

11%

80%

9%

Big

12%

71%

17%

Source: Tidio

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5. Chatbot Statistics by Business Functioning

AI chatbots and helpers are employed in a variety of departments. 53% are used in IT, 23% in administrative, and 20% in customer service. Furthermore, 16% of firms use this technology for sales and marketing.

5.1. Chatbots in Customer Service

    • 27% of the users who have used a chatbot aren’t sure if their last conversation was with a human or a chatbot.
    • 62% said AI might speed up responses while responding to individual tastes.
    • 34% of retail customers felt comfortable communicating with AI chatbots for service support. 
    • Additionally, 64% of businesses expected digital assistants to improve tailored support experiences. 
    • 67% of people used bots for customer service in the previous year. 
    • AI chatbots allow businesses to transfer 64% of their agent’s productivity for complex tasks compared to 50% without AI.
    • 70% of the queries on calls, chats, and emails can be decreased by deploying AI chatbots.
    • 23% of client service firms use AI digital assistants as their primary communication channel. 
    • Chatbots have helped improve support satisfaction rates by 24%.
    • 1/3 of the customers state bots are highly effective in answering their queries.
    • 54% thought chatbots were somewhat effective, with only 13% saying they were completely ineffective. 
    • 23% of customer service organizations actively used AI chatbots. 
    • In 2020, 70% of consumers expressed interest in adopting digital assistants to handle basic customer support tasks.

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5.2. Chatbots In Marketing

    • 55% of companies using chatbots for marketing report an increase in high-quality leads.
    • In certain industries, chatbots achieve conversion rates up to 70%.
    • Stores effectively using chatbots see annual revenue increases of 7 to 25%.
    • Digital assistants contribute to upselling in 20% of cases, enhancing sales opportunities.
    • 53% of buyers are more likely to shop with businesses that offer messaging services.
    • Chatbots excel in traffic segmentation and targeted product ads, driving 77% of a company’s ROI.
    • 36% of companies improve lead generation with digital assistants, with 62.5% using them for lead qualification.

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5.3. Chatbots for Saas

    • 58% of the companies entering the chatbot market are B2B, and 65.1% are SaaS businesses.
    • One-third of AI startup founders think chatbots will be the most popular customer technology within the next five years.
    • 38.9% of companies using chatbots are in the IT software and service sector.
    • In some industries, chatbots can achieve conversion rates as high as 70%.

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5.4. Chatbots in Edtech

    • Education is one of the top five industries that employ chatbots for their work.
    • Lead qualification in EdTech that includes a chatbot costs $119 per month on average.
    • 26% of Edtech companies employ chatbots on their websites.
    • 37% offer users efficient support.
    • 62.5% of those who own chatbots use them to qualify leads.

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Chatbot Statistics

5.5. Chatbots in Sales

    • Businesses experienced a 67% boost in sales with the help of chatbots.
    • Additionally, 26% of all the sales transactions were initiated by AI chatbots.
    • 35% of company leaders credit digital assistants in closing transactions. 
    • Sales motives account for 41% of all business chatbot applications. 
    • Sales operations and workflow have been significantly simplified with the help of chatbots as reported by 35% of the corporate leaders. 
    • 25% of organizations employ bots to propose products, which improves tailored user interactions. 
    • Digital assistants improve post-sales and customer service activities. 77% were actively involved in aiding clients following their purchase. 
    • Upselling opportunities are used in around 20% of situations. 
    • 73% of the customers state that the customer experience is a significant factor that impacts their purchasing decisions.
    • Additionally, 86% of the customers are willing to pay 13-18% extra for a better customer experience. 
    • 56% of businesses see conversational bots as industry disruptors while 43% report competition adoption. 
    • Furthermore, 57% of firms realize chatbots’ high ROI and low effort requirements. 
    • Without human participation, 23.7% of inquiries lead to sales. Sales digital assistants convert 28% of site visitors into leads.

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6. Chatbots Usage By Industry

B2C businesses that manage simple queries are twice as satisfied as B2B companies. 

The most satisfied industries are technology (73%), retail (67%, manufacturing (57%) followed by healthcare (58%).

Industry

Usage

Retail

40%

Healthcare

22%

Utilities

21%

Entertainment

20%

Financial Services

20%

Hospitality 

16%

Software

14%

Source: Master of Code

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6.1. Chatbots For E-commerce

    • In 2023, 70% of the bots were used in retail, a trend that pushed e-commerce transactions through AI chatbots to $112 billion by the end of 2023.
    • 33% of people want to utilize chatbots to make reservations at hotels or restaurants. 
    • Between 2019 and 2020, the propensity to make purchases through digital assistants increased from 17.1% to 41.3%
Chatbot Statistics
    • eCommerce stores that have implemented Facebook Messenger, together with abandoned cart chatbots, have increased sales by 7-25%
    • Bots have a 34% acceptance rate among retail clients.
    • As per the predictions for 2024, the global customer retail expenditure through AI-powered chatbots will reach to $142 billion
    • 40% of internet users prefer to interact with chatbots over human agents.
    • A considerable 47% of people are willing to make purchases with bots. 
    • 71% of Gen Zers actively seek products via bot interactions. 
    • 40% of US consumers have used retail digital assistants.
    • 76% of online merchants polled have incorporated or plan to include chatbots into their customer experience initiatives.
Chatbot Statistics

6.2. Finance Chatbots Usage Statistics

    • Organizations in the financial sector can save more than 4 minutes per query by implementing chatbots.
    • Banks can automate 90% of their client interactions using AI chatbots.
    • 80% of financial firms see bots as a valuable potential to improve customer service. 
    • More than 43% of clients in the United States prefer to use chatbots to resolve their banking difficulties. 
    • Banks and organizations that deploy chatbots for customer service can increase their revenue by 25%.
    • More than 54% of customers use finance chatbots for payments and similar transactions. 
    • Over 98 million people, which is about 37% of the US population have interacted with a banking chatbot. This is predicted to rise up to 110.9 million users by 2026.
    • Chatbots can increase first-call resolution rates by 20%, from 50% to 70%, resulting in higher user satisfaction. 
    • By 2023, digital assistants were expected to save banks between $0.50 and $0.70 for every interaction, amounting to around $7.30 billion in global savings. 

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6.3. Chatbots for the Insurance Sector

    • The insurance chatbot market is projected to reach a value of $4.5 billion by 2032, growing rapidly at a CAGR of 25.6% from 2023 to 2032. 
    • Within the industry, 83% of customers report satisfaction with chatbot interactions, yet the acceptance rate for digital assistants remains at 13%. 
    • In 2018, only 5% of insurance companies used AI for claims submission reviews, with 70% not considering its implementation. 
    • Today, 44% of clients find chatbots suitable for claims processing, and 43% prefer them for insurance applications. 
    • AI bots are capable of handling over 95% of user conversations, significantly reshaping communication in insurance. They can manage 80% of inbound inquiries, efficiently redirecting the remaining 20% to human agents.

6.4. Chatbots for the Healthcare Sector

    • The healthcare chatbot market will reach $431.47 million by 2028, increasing at a CAGR of 15.20%. 
    • 70% of the administrative work in the healthcare industry can be automated with the help of AI chatbots.
    • As of now, 68% of healthcare organizations are implementing AI.
    • Bot interactions in the healthcare industry currently have a success rate of only 12%. However, it’s predicted to improve dramatically, potentially addressing up to 75% of human healthcare requests.
    • 22% of people have used mental health chatbots and 47% of them would use it again if necessary. 
    • 44% depended solely on digital assistance, not seeking human therapy. 
    • Consumers recognized the advantages of mental healthcare bots (65%) and their significance (74%). 
    • However, 86% said that digital assistants lacked knowledge or expression of human emotions. 
    • Physicians think chatbots would be useful for making medical appointments (78%), finding health clinics (76%), and delivering drug information (71%).

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Chatbot Statistics

6.5. Chatbot in the Travel Industry

    • AI chatbots and digital assistants are being used by 25% of the organizations in the travel industry. 
    • Almost 33% of the customers use AI chatbots and web tools in restaurants, hotels, and guesthouses. 
    • Among the top five industries benefiting from bot adoption, travel accounts for 16%
    • Two-thirds of respondents find chatbots useful (40%) or extremely useful (26%) for managing their business and travel arrangements.
    • 37% of the users choose intelligent bots for trip planning and booking comparison.
    • 87% of the customers would communicate with travel chatbots if it helped them save time and money.
    • 79% of users expressed a readiness to seek assistance from a bot if it could operate as a concierge. 
    • In late 2017, SITA reported poor adoption rates, with 14% of airlines and 9% of airports using chatbot technology. However, 68% of airlines and 42% of airports intend to use airline chatbots in the near future.

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7. Voice Assistant Chatbots

When considering chatbot statistics, it is critical to recognize the emerging trend of voice technology. Google and Amazon are leading the charge to make voice technology more tailored and user-friendly.

  • The number of voice search users is expected to increase to 125.2 million by 2024, from 123.5 million in 2022. 
  • Almost 46% of Americans regularly use digital voice assistants.
  • Voice commands make up almost 20% of all Google App searches. 
  • Approximately 45% of Americans use their smartphones’ voice assistants to find information. 
  • Google Assistant is compatible with more than 50,000 smart home products. 
  • 71% of people are pleased with the voice assistants on their mobile devices.
  • 43% of the people use voice assistants for shopping.
  • Google Home is said to answer 81% of requests properly. Amazon Alexa performs worse, successfully answering 34% of requests.

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8. The Future of AI Chatbots

  • Larger companies are using chatbots more quickly, currently holding over 46% of the market. 
  • According to Capgemini’s predictions, 70% of the customers will be using voice assistants and chatbots instead of visiting shops or banks.
  • By 2024, retail customers will spend over $142 billion on purchases via chatbots.
  • Additionally, by 2027, 25% of businesses will use digital assistants for customer service as predicted by Gartner. 
  • One-third of AI startup founders believe digital assistants will be the most popular customer technology in the next five years. 
  • By 2025, AI bots are expected to handle 95% of customer service interactions. 

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9. FAQs

9.1. How many AI chatbots are there?

The Facebook Messenger has about 300,00 chatbots in use. 

9.2. How many companies use chatbots

Around 58% of the B2B organizations use chatbots on their websites as compared to 42% of the B2C businesses.

9.3. Who uses chatbots

Chatbots are being used across various industries such as customer service, banking, insurance, healthcare, etc to assist customers with their queries.

9.4. How many chatbot users are there?

Around 1.5 billion people use chatbots, the majority of whom live in these five nations – USA, India, Germany, United Kingdom, and Brazil.

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Conclusion

Chatbot statistics reveal a clear trend: both businesses and consumers are increasingly embracing AI chatbot solutions. 

With 74% of customers preferring chatbots over human agents for simple queries, the demand for efficient and immediate customer service is evident. By 2024, chatbots are projected to save businesses up to 2.5 billion hours of work, underscoring their efficiency and effectiveness. 

These AI chatbot statistics highlight the growing reliance on technology to streamline operations and enhance customer experiences. As advancements in AI and natural language processing continue, chatbots are set to become even more integral to business strategies, driving productivity and customer satisfaction to new heights.

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