Live Chat Software Market to Reach $1.7 Billion by 2030

Research firm Valuates valued the global live chat software market at $755.23 million in 2020 and expects it to reach $1.7 billion by 2030, growing at a compound annual rate of 8.8 percent.

One of the main factors propelling the expansion of the live chat software market is the unwavering focus on providing extraordinary client experiences. Companies in all sectors understand that instantaneous interaction via live chat can improve client happiness, address problems quickly, and build enduring connections with clients, which will eventually result in greater customer retention rates, according to the firm.

Live chat software is becoming more and more popular due to the steady rise in online sales and e-commerce. Live chat is being included by online merchants more often onto their websites to assist customers with the purchasing process, respond to questions about specific products, and lower cart abandonment rates.

One benefit of live chat software is its round-the-clock accessibility, which allows businesses to interact with clients in various time zones and geographical locations. For multinational corporations, international customer service teams, and businesses catering to a diversified clientele, this capacity is essential, Valuates reported.

The firm also found that live chat is a very affordable customer support channel, which is a big incentive for companies looking to maximize their resources. Live chat eliminates the need for a large staff by allowing customer care personnel to handle many chat sessions at once, it said.

Businesses are using live chat software to provide clients and website visitors with immediate support, Valuates also said. Furthermore, the software's capacity to offer practical features, including sharing conversations, archiving, preference settings for chat windows and reminders, and reporting tools, has contributed to its growing appeal across business verticals.

Many businesses have combined live chat software with CRM systems to enhance the user experience for current clients and prospects, according to Valuates. They can accelerate troubleshooting and issue resolution, which are crucial when customers are unsatisfied by having a history of their interactions with the firm, their account information, and recent purchases, it said.

Live chat platforms for customer support significantly minimize the time and effort required for users to get the answers they need, Valuates said.

This has been especially true in retail and e-commerce, which has dominated the live chat software market based on end user usage, according to the firm. Retailers can establish a connection with customers before, during, and after transactions and cross-sell or upsell products, which lessens the need for them to handle customer care complaints in the future, it said

Key companies identified in the report include GoTo (formerly LogMeIn, Zendesk, Kayako, Provide Support, Woopra, Olark, LivePerson, SnapEngage, LiveChat, and Freshworks.