Retailers and eCommerce Firms Embrace Conversational Retail

Retailers and eCommerce Firms Embrace Conversational Retail
Dražen Tomić / Tomich Productions

Infobip has released its latest Messaging Trends Report, which reveals that conversational retail is growing fast. Brands use chatbots and voice assistants to make shopping quicker and more personalized.

The company analyzed more than 530 billion interactions on its platform between businesses and consumers in 2024 to identify the latest global business messaging trends. The data shows a 33% increase in customer interactions in retail in 2024. Interactions in Asia are growing most quickly, up 169%, while interactions with European retailers are up 92%.

Retailers worldwide embrace several channels to meet their consumers on the channels they use with family and friends, and grow loyalty and sales. Some 38% of all interactions in the retail sector were on SMS, while email accounted for 35% of all traffic. Mobile app messaging interactions accounted for 15%, while WhatsApp interactions now account for 11% of all traffic in the retail sector, demonstrating the growing importance of highly engaging, two-way customer interactions.

”Consumers no longer want one-way interactions with their favorite retailers. They want to engage in two-way conversations and experiences. As a result, retailers and eCommerce firms globally are adopting conversational retail where consumers can complete an entire end-to-end transaction without leaving the chat window on their phone,” said Ivan Ostojić, Chief Business Officer at Infobip.

Infobip research also shows how sales seasons are going online and globally. With 55% of online shoppers completing their purchases on their mobile device, Infobip reveals how many brands with a physical and online presence now focus more on online sales during popular promotion days like Black Friday. Online sales make supply chains more efficient and help avoid overcrowding in stores.

In addition, Infobip’s research shows an eastward and westward migration of retail trends. Concepts like Black Friday and Cyber Monday, which started in the United States, are gaining popularity in Asia Pacific, where the firm recorded 250% more interactions in Australia on Black Friday in 2024, 78% more interactions in the Philippines, and 47% more interactions in China compared to 2023. At the same time, major retail brands from the East, like Temu, are grabbing market share in Western countries, bringing with them retail practices like app-purchase coupons and gamification that are common in the East.