Conversational commerce is the use of messaging or natural language interfaces to enable businesses to interact with customers for use cases including inquiries, placing orders, and customer support. A new study from Juniper Research, the foremost experts in telecommunications markets, forecasts global retail spend via conversational commerce channels will increase to $43 billion by 2028, up from $11.4 billion in 2023.
This growth of over 280% will be driven by the emergence of new personalized services, made possible by incorporating AI and LLMs (Large Language Models).
The report predicts the automated services provided by AI-based LLMs, such as ChatGPT, will become key differentiators for conversationaI commerce vendors in 2024. Juniper Research analyzed and scored leading conversational commerce platforms based on product capabilities, depth of services, and market presence and identified the top 5 leading vendors in the market:
Source: Juniper Research
Top Vendors Maximizing AI Benefits for Conversational Commerce
The top-ranked conversationaI commerce vendors offer self-managed, AI-based chatbot solutions to enterprises via multiple channels, including RCS and OTT business messaging apps. Given the growing adoption of conversational commerce via omnichannel communications, the research urges leading vendors to introduce LLM-based conversational services across as many communication channels as possible.
The research identified voice channels as an underserved emerging opportunity for vendors. Therefore, they must implement LLM-based conversational services into voice channels, including voice assistants and CCaaS (Contact Centre-as-a-Solution) platforms, to maximize future revenue. To capitalize on the $43 billion conversational commerce opportunity within retail, vendors must leverage LLMs to immediately support multiple languages.
- Infobip is a global cloud communications platform that provides businesses with a wide range of communication solutions, including messaging, voice, and video. Infobip’s conversational commerce solutions enable businesses to automate customer interactions, provide customer support, and sell products and services through messaging channels.
- Twilio is a cloud communications platform that provides businesses with APIs for building and integrating voice, video, and messaging capabilities into their applications. Twilio’s conversational commerce solutions enable businesses to build chatbots, messaging apps, and other conversational interfaces for their customers.
- Vonage is a cloud communications platform that provides businesses with a variety of communication solutions, including voice, video, and messaging. Vonage’s conversational commerce solutions enable businesses to engage with customers through their preferred channels, including SMS, WhatsApp, and Facebook Messenger.
- Meta is a technology company that owns social media platforms such as Facebook, Instagram, and WhatsApp. Meta’s conversational commerce solutions enable businesses to use these platforms to interact with customers and provide them with services. For example, businesses can use WhatsApp Business to provide customer support and sell products and services through the app.
- Sinch is a cloud communications platform that provides businesses with a variety of communication solutions, including voice, video, and messaging. Sinch’s conversational commerce solutions enable businesses to build chatbots, messaging apps, and other conversational interfaces for their customers.
These companies are all playing a leading role in the growth of conversational commerce. Their solutions are helping businesses improve their customer service, increase sales, and create more engaging customer experiences.
The Research Suite
The new research suite offers the most comprehensive assessment of the conversationaI commerce market to date, including market analysis and in-depth forecasts for 60 countries. The dataset contains over 117,000 market statistics within a five-year period. It includes a ‘Competitor Leaderboard’ and an examination of current and future market opportunities.