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What Is Conversational Commerce? Definition and Guide



What Is Conversational Commerce

Did you know that 74% of consumers prefer messaging apps to communicate with brands rather than traditional email or phone calls? This shift in consumer behavior is revolutionizing how we shop, and companies that adapt to this new landscape will reap the rewards.

Imagine being able to browse products, ask questions, and make purchases all within a single conversation. No more tedious form-filling, no more endless scrolling, and no more frustrating customer support experiences. This is the promise of conversational commerce, a paradigm shift transforming the retail industry as we know it.

In this article, we’ll delve into conversational commerce and provide a comprehensive guide. We’ll explore the benefits of conversational commerce, its applications, and how businesses can leverage this technology to enhance customer experiences and drive sales.

🔑 Key Highlights

  • Conversational commerce refers to the intersection of messaging platforms, chatbots, and commerce. 
  • Conversational commerce enables businesses to interact with customers through chat software, providing personalized recommendations and support and facilitating purchases directly from messaging apps.
  • Implementing conversational commerce involves several strategic steps to ensure it effectively enhances the customer experience and meets business objectives. 
  • The future of conversational commerce is poised for exciting developments driven by technological advancements and evolving consumer expectations. 
  • Conversational commerce offers a range of applications that can significantly benefit businesses.

What is conversational commerce?

Conversational commerce refers to the intersection of messaging platforms, chatbots, and commerce. It enables customers to interact with businesses and make direct purchases within messaging apps, websites, or mobile applications. It involves using conversational interfaces like chatbots, voice assistants, or messaging platforms to facilitate transactions, provide customer support, and offer personalized recommendations.

Conversational commerce, also known as conversational marketing or chat commerce, is a shift in how businesses interact with customers. It leverages the power of messaging platforms, which have become an integral part of our daily lives, to create a seamless and personalized shopping experience.

Using natural language processing (NLP), customer experience analytics, and machine learning algorithms, conversational commerce platforms can understand customer queries, provide relevant responses, and even facilitate transactions without human intervention. This approach enables businesses to build stronger customer relationships, increase engagement, and drive revenue.

Conversational Commerce Examples

Here are some practical examples of how conversational commerce is used:

Messaging Apps

Brands are leveraging messaging apps to revolutionize customer service. These platforms enable businesses to respond to customer queries, provide personalized product recommendations, and take orders directly within the app. 


E-commerce websites increasingly deploy chatbots to guide users through product selections, answer frequently asked questions, and assist with checkout. These AI-powered assistants can help customers navigate complex product catalogs, provide recommendations based on their preferences, and even offer personalized promotions.

Voice Assistants

Voice assistants like Amazon Alexa and Google Assistant are changing how we shop. Customers can now use voice commands to place orders, reorder products, or track shipments. Smart home devices integrated with voice assistants take this experience to the next level, allowing users to shop for groceries, manage their shopping lists, and receive personalized product suggestions.

What are the features of conversational commerce?

Conversational commerce enables businesses to interact with customers through chat software, providing personalized recommendations and support and facilitating purchases directly from messaging apps. It offers a multichannel communication method, working with SMS, website chat, app-embedded chat, social media, and messaging apps like WhatsApp.

Real-Time Interaction

Conversational commerce excels at engaging users by providing instant responses and interactive experiences. Whether answering questions, offering product recommendations, or assisting with transactions, it keeps customers involved and satisfied. This real-time interaction mimics the in-store experience, making online shopping more personal and engaging.


One of the standout features of conversational commerce is its ability to offer highly personalized experiences. By analyzing customer behavior, preferences, and past interactions, conversational tools can tailor individual user recommendations, promotions, and responses. This level of personalization makes customers feel valued and understood, which can lead to increased loyalty and repeat business.

Omnichannel Presence 

Omnichannel presence is a key feature of conversational commerce that enables businesses to provide a seamless and consistent customer experience across multiple channels and devices. This includes websites, mobile apps, social media, messaging platforms, voice assistants, and in-store, allowing customers to interact with the brand whenever and wherever they want.

24/7 Availability 

Traditional customer service channels and conversational commerce tools are available around the clock. This ensures that customers can get assistance whenever needed, whether during business hours, late at night, or on weekends. This constant availability leads to higher customer satisfaction and allows businesses to capture sales opportunities that might otherwise be missed.

Data Collection and Insights 

Conversational commerce platforms use conversation analytics to collect and analyze vast amounts of data from customer interactions, providing valuable insights that can be used to improve the customer experience, optimize business operations, and drive revenue growth. This includes customer feedback and behavioral and contextual data, which identify customer intent, pain points, and preferences.

Types of Conversational Commerce

Conversational commerce has evolved to encompass various forms, each catering to specific customer needs and preferences. From simple chatbots to advanced AI virtual assistants, businesses leverage conversational commerce to enhance customer engagement and drive sales. Here are the different types of conversational commerce

1. Messaging and Chat Apps

One of the most common forms of conversational commerce is through business text messaging and chat apps. Platforms like WhatsApp, Facebook Messenger, and WeChat allow businesses to communicate directly with customers casually and conveniently.

These apps are widely used for customer support, answering queries, sending personalized promotions, and processing orders. Messaging apps’ immediacy and familiarity make them powerful tools for enhancing customer engagement and satisfaction.

2. Chatbots

Chatbots are another essential component of conversational commerce. Keeping in mind the current state of chatbots we can notice that they can be used to simulate human conversations and can handle various tasks, from answering frequently asked questions to guiding users through purchasing. Chatbots can be integrated into websites, mobile apps, and messaging platforms.

Chatbots provide 24/7 support, ensuring customers can get assistance whenever needed. By automating routine tasks, chatbots free up human agents to focus on more complex issues, improving overall efficiency and customer service.

3. Voice Assistants

Voice assistants like Amazon Alexa, Google Assistant, and Apple’s Siri are becoming increasingly popular in conversational commerce. These devices allow users to interact with brands using voice commands, offering a hands-free and intuitive shopping experience. 

Customers can simply place orders, check product availability, track shipments, and receive personalized recommendations by speaking. Voice commerce is particularly convenient for multitasking and offers a seamless way to integrate shopping into daily routines.

How Does Conversational Commerce Work?

Implementing conversational commerce involves several strategic steps to ensure it effectively enhances the customer experience and meets business objectives. Here’s how to get started:

1. Determine Your Goals

The first step in implementing conversational commerce is to determine your goals. What do you hope to achieve? Are you looking to increase sales, improve customer service, or gather valuable customer insights? Defining clear objectives will guide your strategy and help you measure success.

For example, if your goal is to boost sales, you might focus on developing a chatbot that can make personalized product recommendations.

2. Conduct Your Research

Once you’ve set your goals, the next step is to conduct thorough research. Understand your audience and their preferences. Which platforms do they use most frequently? What kind of interactions do they prefer? Researching these aspects will help you choose the right tools and tailor your approach to effectively meet your customers’ needs.

For instance, integrating a Facebook Messenger chatbot might be a strategic move if your target audience is more active on Facebook.

3. Select a Partner

Choosing the right technology partner is crucial for successfully implementing conversational commerce. Look for a partner with experience in conversational AI and a proven track record in your industry. A good partner will provide the necessary tools, support, and expertise to help you develop and launch your conversational commerce strategy.

They can also offer insights into best practices and emerging trends, ensuring your approach is innovative and effective.

4. Develop and Launch

Once you have defined your goals, researched, and selected a partner, developing your conversational commerce tools is time. This could involve creating chatbots, integrating messaging apps, or setting up voice assistants. Ensure these tools are smoothly integrated with your existing systems for a seamless customer experience.

After development, launch your new features and closely monitor their performance. Gather feedback from users and analyze data to make necessary adjustments and improvements. This ongoing process will help you optimize your strategy and fully realize the benefits of conversational commerce.

Conversational Commerce Use Cases

Conversational commerce offers a range of applications that can significantly benefit businesses. Here’s a look at some of the most impactful use cases:

1. Increased Sales and Conversions

One of the primary use cases of conversational commerce is boosting sales and conversions. Businesses can use chatbots and messaging apps to engage customers in real time, answer their questions, and provide personalized product recommendations.

For example, a chatbot on an e-commerce site might suggest related products based on a user’s browsing history or offer discounts to encourage a purchase. These interactions can help guide customers through the sales funnel, leading to higher conversion rates and increased revenue.

2. Customer Service

Conversational commerce is also highly effective for customer service. Businesses can immediately assist customers through chatbots and messaging platforms, addressing their concerns and resolving issues quickly.

For instance, a chatbot might help users track their orders, answer frequently asked questions, or provide information about return policies. This efficient support enhances the customer experience and builds trust between the brand and its customers.

3. 24/7 Support

Unlike traditional customer service channels, conversational commerce tools offer around-the-clock support. This means customers can receive assistance at any time of day or night without waiting for business hours.

For example, a chatbot can handle customer inquiries and support requests during off-hours, ensuring that users always have access to help when needed. This constant availability improves customer satisfaction and increases loyalty and repeat business.

4. Behavior Analysis

Conversational commerce tools also play a crucial role in behavior segmentation and analysis. Businesses can gather valuable data about user preferences, buying habits, and pain points by tracking and analyzing customer interactions.

For instance, chatbots can collect information on customers’ questions or the products they are interested in. This data can be used to refine marketing strategies, develop new products, and improve customer service. Understanding customer behavior helps businesses make informed decisions and tailor their approaches to meet customer needs better.

The Future of Conversational Commerce

The future of conversational commerce is poised for exciting developments driven by technological advancements and evolving consumer expectations. Here’s a look at the potential and trends shaping the future of conversational commerce:

1. Advanced AI and Natural Language Processing (NLP)

The future of conversational commerce will see significant improvements in artificial intelligence (AI) and natural language processing (NLP). These advancements will enable chatbots and virtual assistants to understand and respond to complex queries more naturally and accurately. 

For example, future chatbots will be loaded with conversation intelligence to handle multi-turn conversations, better understand the context, and offer more nuanced responses, making interactions more human-like.

2. Greater Integration Across Platforms

You can expect a deeper integration of conversational commerce tools across various platforms and devices. As technology evolves, businesses will integrate chatbots and voice assistants into their websites and apps and emerging platforms like virtual and augmented reality environments.

This cross-platform presence will allow customers to interact with brands seamlessly across different touchpoints, whether shopping via a smart speaker, a mobile app, or an augmented reality shopping experience.

3. Hyper-Personalization

Hyper-personalization will become a key feature of conversational commerce in the future. By leveraging advanced data analytics and AI, businesses can offer highly personalized recommendations and offers based on individual customer behaviors and preferences. 

For instance, future conversational tools might analyze users’ interactions, browsing history, and sentiment to deliver tailored product suggestions and personalized promotions.

4. Expansion of Voice Commerce

Voice commerce is set to expand as sophisticated voice assistants like Amazon Alexa, Google Assistant, and Apple’s Siri become available. Future advancements will enable users to complete transactions, manage shopping lists, and receive tailored product recommendations through voice commands. 

This hands-free, intuitive interaction method will grow in popularity and become an integral part of the shopping experience.

5. Enhanced Customer Experience

The focus will increasingly be on enhancing the customer experience through conversational commerce. Businesses will develop more engaging and interactive features like AI-driven virtual shopping assistants and real-time support systems. 

These innovations will aim to create immersive and satisfying shopping experiences that replicate or exceed the quality of in-store interactions.

6. Enhanced Data Analytics for Insights

Future developments will include more advanced data analytics capabilities. Conversational commerce tools, along with CX software, will gather richer data on customer interactions, which businesses can use to gain deeper insights into customer preferences, behaviors, and trends. 

This enhanced data analysis will help companies make more informed decisions and refine their strategies for better customer engagement and satisfaction.


Conversational commerce is changing the game for businesses and how they connect with customers. Using tools like chatbots, messaging apps, and voice assistants, brands can deliver personalized, efficient, and engaging experiences. This approach boosts customer satisfaction, drives sales, and provides valuable insights. As technology advances, the potential for conversational commerce will keep growing, making it a crucial strategy for innovative businesses.


Why is conversational commerce important?

Conversational commerce is essential because it enhances customer engagement, provides personalized experiences, and improves overall customer satisfaction. It streamlines the shopping process, making it more convenient and enjoyable for customers.

What are the benefits of conversational commerce?

The benefits of conversational commerce include increased sales and conversions, improved customer service, 24/7 support, and valuable insights into customer behavior. It helps build stronger relationships between brands and customers by providing more personalized and efficient interactions.

What is the difference between conversational commerce and conversational marketing?

Conversational commerce uses chat and voice interactions to facilitate transactions and customer service, directly impacting the buying process. Conversely, conversational marketing is a broader strategy encompassing any conversational approach used to engage and market to customers, not necessarily limited to transactions.

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Dinesh Silwal

Dinesh Silwal is the Co-Founder and Co-CEO of KrispCall. For the past few years, he has been advancing and innovating in the cloud telephony industry, using AI to enhance and improve telephony solutions, and driving KrispCall to the forefront of the field.

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