How a Small Company Can Use a Chatbot to Boost Growth

9 min read
Apr 11, 2023
a small business owner

Being a small business owner undoubtedly comes with a set of challenges. You might constantly find yourself needing more time as you often single-handedly try to come up with a marketing strategy, develop your product, attract new leads, and at the same time retain your current customers. One person plus a lot of responsibilities usually equals fatigue and tiredness, but you still have to balance growth and keep a good product quality.

On top of that, small businesses also need to tackle financial challenges. If you care about providing 24/7 customer service, the cost of additional employees could be a serious obstacle. But what if you could simplify sales, introduce optimal workflows, and automate responding to customer queries? What if you could save time and money? Here is where artificial intelligence (AI) comes into play with a chatbot for small business owners.

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What are chatbots?

a chatbot selling plants online

A chatbot is a computer program that uses AI to mimic human conversation. It can respond to many questions, from straightforward requests to more complex interactions.

For example, through an AI chatbot, you can collect contact information and qualify leads, resolve customer issues, or even process orders. Many consider chatbots virtual assistants you can talk to anytime, anywhere. 

You can easily build an AI chatbot and understand what people are asking them because of natural language processing and machine learning. 

Machine learning is like an AI helper that lets the chatbot learn and improve over time. When people talk to chatbots, the bots can analyze the conversation and learn how to respond better in the future. This means that the more people use and interact with chatbots, the smarter and more helpful they become. 

Most chatbots use a chat interface for communication. They're compatible with all the major chat message interfaces, including Facebook Messenger, Slack, and more.

📚 Learn more about chatbots by exploring our ChatBot Academy lesson.

Small business challenges

Running a small business is challenging, and as a small business owner, you need to face a variety of issues that can affect your customer experience and success. Customer experience can be impeded when you don't engage customers enough or when you don't gather customer feedback.

Lack of time

One of the biggest challenges is the lack of time - as a small business owner, you often find yourself handling multiple responsibilities simultaneously, whether it's customer support, or being your own sales team and social media manager. This can lead to a lack of focus and productivity, hindering the growth of a business.

Lack of money

On top of time constraints, you can also face financial challenges that might result in losing potential customers. Hiring additional staff, providing 24-hour customer support, and investing in ads can be expensive, especially for businesses with limited budgets. 

Moreover, as a small business owner, you might be the only employee, meaning you are responsible for all aspects of the business.

Balancing growth and good quality 

Balancing growth and maintaining high-quality services is one of the most significant challenges for small business owners. As businesses grow, it can be difficult to maintain the same level of quality, which can impact customer satisfaction and lead to negative reviews.

Employee fatigue 

Employee fatigue is another issue that small business owners face. Employees get overworked with a limited number of human agents and struggle to keep up with customer demands. This can lead to burnout and a decline in the quality of provided service.

Building long-lasting relationships with customers

Building long-lasting relationships with regular customers is also important for customer retention, but this can be difficult to achieve without the right tools, especially when juggling all responsibilities at once, including attracting new users.


Scaling is another hurdle that small businesses can often find difficult to overcome. As the business grows, it can be challenging to manage the increased demand for products or services without adding additional staff or resources.

Building email lists and finding leads

Building email lists and finding leads through social media is also essential for your small business but it can be time-consuming and costly without the right tools and strategies.

Despite these challenges, as a small business owner, you can benefit from using chatbots. 

By automating tasks such as customer service, lead generation, and email marketing, chatbots can help small businesses scale, attract new customers, and build long-lasting relationships with existing ones. 

Chatbots sales statistics

There used to be chatbots that could only gather basic data and information.  We now have bots that can handle complex tasks, so the use cases for chatbots have expanded significantly, and they have become a game-changer for small businesses. They are important tools in answering simple questions, engaging with customers, getting data, capturing leads, and increasing sales.

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Benefits of using chatbots in small businesses

Chatbots can be really helpful for small businesses. They provide fast and efficient responses to customer queries, imitating the human language and conversation while they answer questions. There are multiple benefits to having website bots, so small companies should definitely hop on the trend to use the new phenomenon to their advantage because business chatbots work, to put it simply.

a chatbot on a fashion website

Improve response time 

Chatbots are always there to help (available 24/7), even when the business is closed. That means your customers can get answers and help anytime they need it, even late at night. This is especially helpful when customers are in different time zones.

By automating tasks like answering repetitive and simple questions beforehand, chatbots can free up your customer service representatives to focus on more complex issues, leading to faster response times and more efficient overall service.

Improve customer satisfaction

Do you know what else is great about chatbots? They can boost your customer satisfaction. You can set up a chatbot to send greetings or welcome messages to attract website visitors.

Chatbots can also send proactive messages to check in on the customer’s experience. They’re often used to see customer intent and offer promotions and discounts, which then potentially leads to improving customer engagement and loyalty.

Lower support costs 

Chatbots can also help lower your support costs By automating responses to common predefined questions, they reduce the need for human customer service and sales reps to answer every query. This can save money on salaries and, on top of that, reduce the workload for human representatives.

Moreover, smart chatbots can handle multiple inquiries from users at once, so there is no longer a need to hire additional staff during peak hours. With lower support costs, you can allocate your resources toward other areas of growth and development.

Boost customer engagement 

Chatbots are an amazing way to boost customer engagement. They can do all sorts of things, like provide helpful tips and practical information to users. They can even showcase product cards or videos. With all these different features, chatbots can help keep your customers engaged and interested in your business.

Boost lead generation

Did you know that chatbots can even help you generate more leads?

For instance, you can use them to create fun quizzes, which could be an interactive way to engage with potential leads, both entertaining your audience and educating them about your service, which in turn, helps with sales. 

With a chatbot platform, you can create drip campaigns and schedule sales calls or onsite visits. Plus, with the Facebook Messenger integrations, you can reach your target audience via the messenger platform where they already spend much of their time.

Increase conversion 

Chatbots can actually help increase sales for your business. Among other features, you can use chatbots on your website to show your customers personalized product recommendations and the best deals. Moreover, you can give them coupon codes and discounts. 

Platforms such as Shopify and WordPress, with their friendly interface, make it easy to set up a chatbot on your website. Why not give it a try and see how it can help boost your conversion rates and maximize your company's revenue?

Lower shopping cart abandonment

Chatbots are effective marketing automation tools for lowering shopping cart abandonment rates. By using personalized greetings, offering discounts, answering questions, and assisting customers with payment, the best chatbots can make the shopping experience smoother and more enjoyable. While it’s certainly frustrating when encountering an error, the bot is always there to explain what could have gone wrong or offer a nice coupon. It often convinces the customer to complete their purchase.

Overall, chatbot apps are a fantastic way for small businesses and current customers to interact more, improve their satisfaction, and provide better service while reducing support costs at the same time. They help boost customer engagement; they're effective in increasing conversion and reducing the risk of abandoning the shopping cart on the website.

How to build a chatbot for a small business

Building a chatbot might seem like a difficult, daunting task, but the assumption couldn’t be more wrong. Today’s best chatbot builders are very intuitive computer programs requiring no coding skills. There are multiple chatbot platforms and applications; among them is ChatBot's Visual Builder, which has a drag-and-drop editor and ready-to-use chatbot templates that will save you both time and money.

With a chatbot builder, you get full control over the building process and design. You can introduce changes anytime, and you won’t have to start your work from scratch. And once you create your chatbot, you can check whether it works as intended before it connects with your customers. 

ChatBot also offers integrations with platforms like Zapier, Slack, Messenger, and many other tools, which makes the process even more comfortable. If you're a beginner, you can find chatbot examples and learn how to build a conversational bot widget with some of the best chatbot practices.

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The floor is yours

A chatbot can be an incredible tool for small businesses looking to boost their growth. If you find yourself lacking time or money, or trying to handle multiple things simultaneously, and growing more fatigued and tired, implementing bots could be the solution for you. Building a chatbot for a small business is actually an easy task that requires no developer skills, so don't wait and start exploring the possibilities of chatbots today!