Introduction
Contents
- Introduction
- Editor’s Choice
- What is a Chatbot?
- General Chatbot Statistics
- Chatbot Adoption Statistics
- Chatbot in Customer Service Statistics
- Chatbot Industry-Specific Statistics
- Chatbot Market Statistics
- Chatbot Market Size By Market.us
- AI Chatbot Market Size By Market.us
- Chatbot Usage Statistics
- Expectations from Chatbots
- AI Chatbots Statistics
- Conclusion
Chatbot Statistics: Keeping up with fast-changing customer service technology is a big challenge. Older chatbots are now being replaced by smarter AI assistants that help businesses save money on customer calls, manage staff shortages, improve efficiency, capture leads automatically, and reduce call volumes. If you want to take advantage of this shift, it’s important to know the latest chatbot trends.
The statistics below—all from 2023 or later—come from trusted studies and sources. These insights will help you understand where AI-driven customer support is going, see the financial impact on your business, and find new ways to improve your services. We shall shed more light on Chatbot Statistics through this article.
Editor’s Choice
- The global chatbot industry is expected to grow to USD 1.3 billion by 2025, with an annual growth rate of 24%.
- By 2023, chatbots in online shopping are predicted to generate USD 112 billion in sales.
- More than half of businesses will spend more money on chatbots than on developing mobile apps.
- By 2024, chatbots will handle 75% to 90% of customer questions.
- Using chatbots can help cut customer service expenses by up to 50%.
- Juniper Research predicts that the number of voice assistants will grow by 1,000%, reaching 275 million by 2023.
- 67% of people worldwide have talked to a chatbot in the past year.
- 2% of users say their chatbot experience was neutral or positive.
- In 2023, chatbots will handle 90% of inquiries in healthcare and banking.
- Facebook Messenger has over 300,000 chatbots helping users.
- The most common reason people use chatbots is to get fast answers to their questions.
- 3% of shoppers use chatbots or conversational tools to buy products.
- The top five countries using chatbots are Brazil, Germany, the UK, India, and the US.
- Only 1 out of 10 customers gave a negative review after using a chatbot.
- These statistics show that chatbots are becoming a major part of customer service, online shopping, and business automation worldwide.
What is a Chatbot?
A chatbot is a software program that interacts with users through text or voice, similar to a real conversation. Some chatbots follow pre-set rules, while more advanced ones use artificial intelligence (AI) to improve communication. Many modern AI-powered chatbots use natural language processing (NLP) to understand questions and automate responses, making interactions faster and more accurate.
(Reference: netomi.com)
The next wave of chatbots will be even more advanced thanks to generative AI. These smart bots will understand natural language better, handle complex questions, and adjust to a user’s way of speaking—even showing empathy in their responses. Business leaders are aware of this shift. A report from The CEO’s Guide to Generative AI by IBV found that 85% of executives believe AI chatbots will be directly communicating with customers within the next two years. For businesses, AI-powered solutions can help automate customer service, cut expenses, and create seamless user experiences, making them a valuable investment for the future.
General Chatbot Statistics
- Chatbot usage has surged by 92% since 2019, making it the fastest-growing communication tool for brands.
- The global conversational AI market is expected to increase from $4.8 billion in 2020 to $13.9 billion by 2025, with a growth rate of 21.9% per year.
- By 2023, chatbots are estimated to contribute to over $100 billion in online shopping transactions.
- 67% of businesses believe chatbot usage will exceed that of mobile apps within the next five years.
- 67% of people worldwide have used chatbots for customer service in the past year.
- 2% of users say their chatbot experience was neutral or positive.
- 40% of consumers don’t mind whether they speak to a chatbot or a real person as long as their issue gets resolved.
- 27% of people couldn’t tell if they were chatting with a bot or a human.
- Only 13% of users found chatbots completely useless, while 54% said they were somewhat helpful.
- Consumers prefer chatbots for quick answers, but 60% believe human agents understand their needs better.
- Companies using chatbots cut customer service costs by up to 30% (IBM).
- By 2023, chatbots will manage 75% to 90% of customer inquiries in industries such as healthcare and banking.
- More than half of companies invest more in chatbot technology than in developing mobile apps.
- Real estate, travel, education, healthcare, and finance are the top five industries using chatbots.
- Chatbots are expected to save banks $7.3 billion globally by 2023, up from $209 million in 2019.
(Reference: meetanshi.com)
- 41% of top executives use chatbots for online business communication.
- 46% of users believe businesses use chatbots to avoid direct human interaction.
- 60% of customers use live chat to verify chatbot-provided information.
- 48% of people care more about a chatbot’s ability to solve their problem than how friendly it sounds.
- 66% of Millennials and 58% of Baby Boomers say 24/7 availability is the best chatbot feature.
- Only 9% of people would choose a chatbot over a human for customer support.
- 34% of shoppers trust chatbots as a legitimate way to make purchases online.
- 3% of customers are open to buying products through chatbots, up from 17.1% in 2019.
- Adding chatbots to Facebook Messenger increased online sales by 7% to 25%.
- 71% of online shoppers would happily use chatbots to improve their shopping experience.
- 1 in 3 customers wants to use chatbots to book hotel or restaurant reservations.
- These statistics show how chatbots are changing industries, improving customer support, boosting sales, and reducing business costs while becoming an essential tool in today’s digital world.
Chatbot Adoption Statistics
- 46% of companies use chatbots for voice-to-text transcription.
- 26% use them to help teams collaborate.
- 24% rely on chatbots to schedule employee meetings.
- 14% use them for customer service, while 13% use them for IT support.
(Reference: tidio.com)
- 37% of users turn to chatbots for quick help in emergencies
- 35% use them to solve problems or get details about products and services.
- 34% of users still prefer to speak to a real person after using a chatbot.
- 69% of people like chatbots because they provide instant responses.
- Another 69% use them to ask questions about a company’s services.
- 22% of users trust chatbot suggestions for products. (Source: Cognizant)
- 40% of millennials chat with bots every day.
- One in four people interacts with a chatbot daily.
- 83% of customers say they feel more loyal to a brand that offers chatbot-based support.
- The average satisfaction rate for chatbot-only chats is 87.58%.
- This is 2% higher than customer service chats, where a human agent is also involved.
- 34% of online shoppers are comfortable using chatbots.
- 27% of healthcare patients are open to chatbot assistance.
- 25% of telecom customers are okay with chatbot support.
- 20% of banking and financial service users accept chatbot interactions.
- Only 15% of insurance clients and 10% of government service users trust chatbots.
- Over 300,000 chatbots chat with customers on Facebook Messenger every month.
- More than 8 billion messages are exchanged between businesses and users through Messenger bots.
- Since 2016, the number of Messenger bots has tripled from 100,000 to 300,000.
Chatbot in Customer Service Statistics
- Businesses Spend $1.3 Trillion Every Year on Customer Support
- Companies spend a huge amount of money on customer service, including employee salaries, software, and other tools.
- Since businesses always look for ways to lower expenses, chatbots are becoming a popular cost-saving solution.
- Customers today expect to reach companies online easily.
- This massive number of daily messages shows that businesses rely heavily on digital communication.
- In today’s fast-paced world, customers want quick replies.
- Waiting 10 hours for a response is frustrating, which is why chatbots can help businesses provide faster service.
(Reference: statista.com)
- More than three-quarters of consumers expect chatbots to improve customer service within the next five years.
- Companies that fail to meet these expectations may fall behind.
- Customers turn to chatbots when they need quick answers or detailed explanations.
- Most chatbot interactions are related to customer support, showing their importance in this area.
- 56% of People Prefer Messaging Over Calling Customer Support
- In the past, the only way to contact a business was by making a phone call.
- Today, over half of consumers would rather send a message than wait on hold.
- This shift makes chatbots a great solution for modern customer service.
- 21% of Consumers Think Chatbots Are the Most Convenient Way to Reach a Business
- While chatbots are becoming more common, only 1 in 5 people consider them the easiest way to communicate with companies.
- As chatbot technology improves, more people may start using them regularly.
- 43% of Online Banking Customers Prefer Chatbots for Assistance.
- Chatbots are widely accepted in the banking industry.
- Many banking customers trust chatbots because they offer quick and accurate support.
- 46% of Consumers Think Chatbots Are Used to Avoid Human Agents
- Many people believe companies use chatbots to cut costs and reduce the need for live agents.
- While chatbots help businesses operate more efficiently, it’s important to balance automation with human support.
- Devices like Amazon Alexa and Google Assistant have made AI-powered chatbots a normal part of daily life.
- 16% may sound small, but it means millions of Americans are already using voice assistants.
Chatbot Industry-Specific Statistics
(Reference: scoop.market.us)
Chatbots in Banking and Finance
- By 2024, chatbots will handle 75-90% of customer inquiries in banks and healthcare.
- Financial institutions using chatbots will save $7.3 billion globally by 2024.
- Since the pandemic, 66% of top financial companies have added chatbots to their mobile apps.
Chatbots in Travel and Hospitality
- 66% of travelers say chatbots are helpful when booking and managing work-related trips.
- 37% of travelers prefer using chatbots to compare travel deals and make reservations.
- 87% of people would choose a chatbot if it could help them save time and money.
- The chatbot used by GRT Hotels & Resorts exchanged 175,000+ messages within 2.5 months after launching. (Source: Travel AI Insights)
Chatbots in Retail & eCommerce
- Over 33% of retail customers would rather talk to a chatbot than a human agent.
- By 2024, 70%+ of chatbot conversations will be in online Retail.
- In 2019, 40% of US shoppers used chatbots to interact with retailers.
- Most common products bought using chatbots:
#1. Clothing – 22%
#2. Health products – 9%
#3. Furniture – 9%
#4. Electronics – 8%
#5. Jewellery – 8%
Chatbots in Hiring & HR
- By 2024, 35% of businesses will use chatbots for hiring employees.
XOR, a hiring chatbot provider, reports:
#1. 33% faster hiring process
#2. 85% more resumes reviewed for the same budget
- 50% lower hiring costs
- 58% of job seekers are fine with using chatbots in the early stages of applying for jobs.
Chatbot Market Statistics
The chatbot industry is expanding quickly, and research suggests it will continue to grow in the coming years. If you want to cut costs and improve customer service, staying updated on chatbot market trends is important. Here are some key statistics about the growth of chatbots:
(Source: grandviewresearch.com)
- North America is currently the largest market for chatbots.
- The global chatbot industry is expected to reach $994 million by 2024, growing at a 27% annual rate since 2019.
- The chatbot market, valued at $190.8 million in 2016, is predicted to grow to $1.25 billion by 2025.
- By 2030, chatbots in banking, finance, and insurance are expected to generate about $7 billion.
- The healthcare chatbot sector is projected to reach $543 million by 2026.
- Chatbot technology is expected to expand unexpectedly from 2022 to 2029, reaching billions of dollars in value.
- 60% of Americans aged 35-44 believe that businesses are replacing human agents with chatbots too quickly.
- Large corporations now hold 46% of the chatbot market, and this share is expected to increase further.
- The voice assistant industry is forecasted to grow from $4.59 billion in 2022 to $30.72 billion by 2030, at a 31.2% yearly growth rate.
- The insurance chatbot market, valued at $467.4 million in 2022, is expected to surpass $4.5 billion by 2032, expanding at a 25.6% annual growth rate.
- With AI chatbots revolutionizing industries like finance, healthcare, and insurance, their market value will keep increasing.
- As companies adopt chatbots to replace human agents, businesses must balance automation and customer needs to ensure long-term success.
Chatbot Market Size By Market.us
- The global Chatbot market size is expected to be worth around USD 42 billion by 2032, from USD 6 billion in 2023,
- Chatbot market is growing at a CAGR of 23.9% during the forecast period from 2023 to 2032.
- E-commerce, healthcare, banking, and hospitality are key sectors where Chatbots are widely used for quick and efficient customer service.
- The standalone Chatbot segment holds a market share of more than 55% and is expected to continue its dominance during the forecast period.
- Consumers are increasingly using virtual assistants such as Siri, Amazon’s Alexa, and Google Assistant, driving demand for standalone Chatbots.
- The deployment of Chatbots is expected to automate around 35% of tasks, resulting in significant annual cost savings for businesses.
- Chatbots are available for many social networking sites, including Facebook, Skype, and Slack, enhancing their accessibility.
- In 2022, North America held the highest revenue share at over 40%, due to a high number of chatbot startups and widespread adoption.
AI Chatbot Market Size By Market.us
- The Global AI Chatbot Market size is expected to reach USD 66.6 billion by 2033, growing at a CAGR of 26.4% from 2024 to 2033.
- The market was valued at USD 6.4 billion in 2023.
- The adoption of chatbots across different digital platforms has surged by 92% in recent years.
- 33% of consumers consider their live chat experiences as very effective in resolving their issues.
- 68% of consumers appreciate the quick responses they receive from chatbots.
- Over 90% of consumers believe businesses should implement chatbots.
- Companies that have integrated chatbots into their operations report a 67% increase in sales.
- 47% of organizations will soon be using chatbots for customer care.
- 40% of organizations plan to deploy virtual assistants.
- More than 50% of enterprises are expected to invest more annually in bots and chatbot development than in traditional mobile app development.
- It is projected that 75-90% of queries will be handled by bots by 2024.
- Businesses could save up to 50% in customer support costs by using chatbots.
- More than 80% of employees report that AI boosts their productivity.
- 54% of companies have already incorporated conversational AI into their operations.
- Chatbot conversion rates can reach as high as 70% in certain industries.
- In 2023, the Solution segment held a dominant market position, capturing more than a 58.2% share.
- In 2023, the Cloud segment held a dominant market position, capturing more than a 64.7% share.
- In 2023, the Website segment held a dominant market position, capturing more than a 44.3% share.
- In 2023, the Retail and E-Commerce segment held a dominant market position, capturing more than a 32.4% share.
Chatbot Usage Statistics
Chatbots are becoming more popular as people use them to get quick answers, handle tasks, and improve customer service. Businesses are also adopting them to increase efficiency and boost customer satisfaction.
(Reference: smatbot.com)
- 53% of experts believe that by 2024, people will use chatbots like ChatGPT instead of search engines like Google to find answers.
- More than 40% of internet users worldwide prefer chatting with chatbots instead of human agents.
- AI-powered tools like chatbots, Grammarly, and Jasper are now used by 35% of marketers, 54% of bloggers, and 41% of business managers in their daily tasks.
- 68% of users say the biggest benefit of chatbots is getting fast answers.
- 8% of people believe chatbots help them generate better-quality leads.
- 67% of survey respondents think AI can reduce response times while still offering personalised conversations.
- 54% of users would ask a chatbot about a product, 30% would use it to make a payment, and 23% would use it to resolve an issue.
- Only 9% of users believe that companies shouldn’t use chatbots.
- 40% of people are interested in chatbot technology, and 20% are open to chatting with AI-powered bots.
- Around 1.5 billion people use chatbots, with the top five countries being:
- United States
- India
- Germany
- United Kingdom
- Brazil
Expectations from Chatbots
A chart from Zendesk’s report stood out to me. It included insights from a global survey of 2,500 consumers across 20 countries and another survey of around 4,500 businesses worldwide.
The report shares how people currently feel about chatbot performance in customer service and what improvements they expect over the next two years.
(Source: popupsmart.com)
According to Zendesk’s CX Trends 2024 report, people have certain expectations for chatbots in customer service. Here’s how they feel now and what they expect in the next two years:
- Answering basic questions: Right now, 65% of people think chatbots do a good job, and this is expected to rise to 69%.
- Helping find products: Currently, 55% of users are happy with how chatbots assist in product searches, and this number is expected to grow to 66%.
- Providing accurate details: Today, about 57% of people trust chatbots to give correct information, and this is expected to increase to 65%.
- Making personalized recommendations: 53% of users believe chatbots provide good suggestions, and expectations are that this will improve to 63%.
- Explaining products better: Right now, 56% of people are satisfied with how chatbots help them understand products, and this number is predicted to rise to 63%.
- Handling more complex questions: Today, 49% of people think chatbots do a decent job answering tough questions, and they expect this to improve to 58%.
- Engaging in natural conversations: Currently, 47% of people feel chatbot interactions are smooth, but this is expected to increase to 56%.
- Showing empathy when responding: 47% of users believe chatbots address concerns with understanding now, and they hope this will grow to 55% in two years.
AI Chatbots Statistics
- 80% of people have used AI chatbots at least once.
- 73% of people now expect websites to offer AI chatbots for easy communication.
- Around 35% of users rely on digital assistants to solve issues or get detailed information.
- 74% of internet users prefer AI chatbots for answering basic questions.
- More than 58% of B2B businesses have chatbots on their websites, while 42% of B2C businesses do the same.
- About two-thirds of companies are happy with how their chatbot systems work.
- AI chatbots help process 58% of product returns and cancellations, making customer service more efficient.
(Source: softwareoasis.com)
- 90% of businesses have noticed faster complaint resolution thanks to AI-powered chatbots.
- 61% of business leaders believe chatbots improve productivity by automating follow-ups.
- 55% of companies using digital assistants have seen an increase in high-quality leads.
- In some industries, AI chatbots achieve conversion rates as high as 70%.
- 67% of business leaders say AI chatbots have helped increase sales, with 26% of transactions starting from a chatbot conversation.
- 35% of decision-makers credit chatbots for helping close deals.
- B2C businesses are twice as satisfied with AI chatbots as B2B businesses, likely because B2C customer questions are simpler.
- The industries most satisfied with chatbots include technology (73%), Retail (67%), manufacturing (57%), and healthcare (56%).
- The sectors benefiting the most from chatbots include real estate (28%), travel (16%), education (14%), healthcare (10%), and finance (5%).
- AI chatbots were expected to help businesses save 2.5 billion work hours by 2024.
- In online shopping, chatbot-powered transactions were predicted to reach $112 billion.
- The AI chatbot market was projected to generate $137.6 million in revenue by 2024.
- Chatbots were expected to handle 75% of customer inquiries without human involvement.
- 70% of office workers were predicted to interact with chatbots daily.
- The banking industry was expected to see over 90% success rates in chatbot interactions.
(Source: thebusinessresearchcompany.com)
- AI was predicted to automate 73% of administrative tasks in the healthcare sector by 2024.
- AI chatbots were forecasted to save the banking, healthcare, and retail industries up to $11 billion per year.
- The number of voice bots was expected to exceed 8 billion by 2024.
- AI-powered GPT-3 chatbots were anticipated to grow in popularity.
- By 2024, 75% of HR inquiries worldwide are expected to be handled by AI chatbots.
- The retail industry was set to dominate chatbot use, with over 70% of chatbot interactions happening in this sector.
- The global chatbot market grew significantly in 2022, reaching $4.7 billion in value.
- The chatbot industry is projected to expand at a 23.3% annual growth rate from 2024 to 2028, aiming to reach $15.5 billion.
- 62% of chatbot solutions come from in-house development.
- Sales and marketing lead chatbot engagement, making up 39.5% of the market.
Conclusion
In 2025, chatbots will continue to change the way businesses interact with customers, manage sales, and improve operations. AI-powered chatbots are helping companies respond faster, work more efficiently, and cut costs. Industries like Retail, banking, healthcare, and real estate are benefiting the most, as chatbots enhance customer service and drive more sales.
More people are getting used to chatbots, expecting them to be available on websites and using them for quick answers and simple tasks. While chatbots still need improvement in handling complex problems and providing a more personal touch, AI technology is making them smarter and more natural in conversations.
With the chatbot industry expected to grow beyond $15 billion in the next few years, businesses will continue to rely on them to improve customer experience and automate tasks well beyond 2025. We have shed enough light on Chatbot Statistics through this article.