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AI Chatbots: New Ways to Make Money using AI in E-Commerce

15 mins read

30 apr, 2025

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The global AI market in retail is booming (Statista projects ~ $31.2B by 2028). Today, the majority of e-commerce brands (~78%) use or plan to use AI tools like chatbots, and Salesforce notes AI is changing the ecommerce game by automating recommendations and customer interactions. These chatbots provide personalized 24/7 assistance that customers appreciate (64% cites 24/7 help as their top feature), effectively allowing stores to capture sales around the clock.

1. Boosting Conversions and Sales

• Product guidance (make money with AI): Chatbots act like 24/7 personal shoppers. By suggesting products and deals in real time, they help brands make money with AI. AI-powered recommendations can raise conversion rates (+15%) and average order values (+11%). For example, the Jinn AI chatbot claims to boost conversions by up to 150%. In practice, retailers using chat-driven selling report large revenue gains-one study found an average +67% increase in sales from chatbot leads.

• Upselling & AOV: Bots highlight trending items and suitable upgrades. With AI-upselling, customers often add extras: one survey notes personalized recommendations prompt 28% of shoppers to buy more than planned. Overall, tailored product suggestions now drive about 35% of e-commerce revenue.

• Cart recovery: AI chatbots follow up on abandoned carts to recapture sales. By automatically offering reminders or coupons, they turn lost sessions into revenue. One campaign saw chatbots and abandoned-cart flows recoup 7-25% of otherwise-lost revenue. Industry forecasts even predict chatbots will enable roughly $112B in e-commerce transactions by 2023, underscoring how bots create new ways to earn revenue.

• Lead generation: Chatbots qualify and capture leads 24/7. They pop up to collect emails or answer questions, instantly engaging site visitors. About 55% of companies report more high-quality leads after deploying chatbots. Bots assist in turning browsers into customers by interacting with each visitor (e.g., collecting sign-ups or offering discounts).

2. Reducing Expenses and Increasing Productivity

• Support automation: AI handles common questions instantly. Chatbots can resolve ~91% of routine inquiries on their own, dramatically reducing workload. IBM reports chatbots can slash customer service costs by ~30%. Similarly, analysts find businesses need up to 68% fewer support agents during peak times (51% fewer on average) with bots. Even a small sales uplift (2-4%) from a chatbot can justify its cost given these savings.

• Faster service: Bots never make shoppers wait. With no human lag, 59% of consumers get answers in under 5 seconds from chatbots. McKinsey found that using a chatbot cut order placement time in half (50-70% faster) compared to a traditional app checkout. Quicker checkouts mean fewer abandoned carts and more purchases.

• Agent productivity: AI assistants boost employee efficiency. Over 95% of firms using AI reported reduced costs and improved service. Support teams with AI can resolve issues up to 14% faster. In short, chatbots let leaner teams serve more customers well.

3. Enhancing Loyalty & Satisfaction

• 24/7 availability: Chatbots serve customers anytime. This round-the-clock help pays off: 64% of shoppers list 24/7 availability as their favorite chatbot feature. In fact, 69% of users report satisfaction after a bot interaction. By instantly answering queries at all hours, bots reduce frustration and build loyalty.

• Personalized care: Chatbots remember customer preferences to tailor the experience. Many customers now trust bots for quick help-one study found 62% would rather use a digital assistant than wait for a human agent. This convenience keeps customers coming back. Salesforce notes that meeting customer needs with AI-driven personalization boosts satisfaction.

• Proactive outreach: Chatbots re-engage customers with deals. They can message past buyers or site visitors with relevant offers. For example, bots can remind users about related products or apply discounts, effectively creating new ways to make money online. Indeed, surveys show 82% of customers have messaged a business (via chat or messenger) to buy or ask questions when bots are available, highlighting chatbots’ role in driving repeat sales.

4. Industry Examples & Tools

• Walmart & Instacart: Retail giants experiment with AI chat. Walmart’s Text to Shop lets customers add items via text messages, and Instacart’s ChatGPT plugin helps users plan meals into their baskets. Both reduce friction and surface upsell opportunities.

• H&M & Sephora: Fashion and beauty brands use chatbots for style advice. H&M’s bot helps shoppers assemble outfits, and Sephora’s Beauty Bot gives tailored makeup tips. These bots mimic personal consultants, increasing on-site sales and loyalty.

• Analyst forecasts: Research indicates high ROI. Juniper predicted retail and commerce chatbots would realize ~$11B in cost savings and $112B in sales by 2023. Gartner similarly projects significant chatbot adoption in customer engagement. These trends confirm chatbots are a proven strategy for e-commerce growth.

5. Key Metrics Summary

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Summing Up

AI chatbots let e-commerce brands earn with AI by turning conversations into conversions. They drive more sales and higher AOV while cutting support costs. By engaging visitors proactively (e.g. upsells, cart reminders) and providing instant 24/7 help, chatbots create new ways to make money online and boost customer loyalty. As examples from Walmart to Jinn demonstrate, integrating an AI assistant can directly grow an online store’s revenue.

Sources: Industry reports and surveys (BigSur AI, McKinsey, Statista, Salesforce, etc.) provide the data above. All figures are from 2020-2024 publications by reputable analysts and companies.

Looking to turn your website traffic into real revenue? Jinn’s AI-powered sales assistant helps e-commerce brands increase conversions, recover abandoned carts, and personalize product discovery automatically, 24/7. It’s not just a chatbot, it’s your best-performing sales rep. Try the AI assistant built to convert not just chat.

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