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Lead generation chatbot benefits for business

Manpreet Kalsi
min read
Lead generation chatbot benefits for business

Lead generation is the core of online marketing. Today, businesses are heavily dependent on Lead Generation as it enables such business websites to generate more traffic that can lead to the further conversion of such found Leads into customers.This leads to an increase in conversion rates that will enable a company in the process to gain huge profits. Online marketers know the significance of lead generation for businesses, hence they use a number of strategies and tools to effectively go about this constant process. Automation and chatbots have been growing into all parts of the industry, taking up various roles and responsibilities that an average user would have to manually perform. But how can you use chatbots for lead generation? How does a lead generation chatbot help? Let’s find out!

What is lead generation?

Lead generation in advertising and marketing is the creation of consumer interest or inquiry into a company's products or services. For purposes such as list building, e-newsletter list acquisition or sales leads, leads can be generated. Methods for generating leads typically fall under the advertising umbrella, but may also include non-paid sources such as results from organic search engines or references from existing customers.

Who are leads?

“Leads are the metric that, as marketers, we have to rely on. Because lead means money”- Kipp Bodnar. A lead refers to a potential customer in a sales sense, often known as a "prospect”. The definition of a "lead" can vary for every organization. For some firms, a "lead" is a contact that is already known to be a prospective client, while other firms view any sales touch as a "lead."Depending on the organisation, the definition of the term “lead” may vary. For some companies, a “lead” is a contact already determined to be a prospective customer, whereas other companies consider a “lead” to be any sales contact. But, across these divisions, what remains the same is that a lead can ideally become a potential customer. Therefore, sales teams are responsible for converting as many leads as possible to maintain a good conversion level.

Where do they come from?

Leads may come from various sources or activities, eg virtually through the Internet, through personal recommendations, through client or telemarketer telephone calls, through commercials, and events.

  • A study in 2015 found that 89 percent of respondents cited email as the most widely used channel for lead generation, followed by content marketing, search engine, and events.
  • A 2014 study found that direct traffic, search engines, and site referrals were the three most common lead-generation digital networks, contributing to 93% of the leads.

Lead generation is often coupled to push leads through the purchase funnel with lead management. The term pipeline marketing applies to this mix of activities. A lead is usually assigned to a follow-up person. Once the individual (e.g. sales associate) approves and recommends the individual to have potential business, the lead becomes a business opportunity. Before the contract is achieved, the product has to endure multiple sales phases.

Why is lead generation important for businesses?

The answer is simple. The more leads you have, the greater the probability that some of them will become your paying customers. As we have established, the process of collecting leads is called lead generation. For example: You run a small house-renovation business, you have a website of your own, and you attract a certain number of visitors. One of them, asking some questions, fill out the contact form. You receive their email (a lead), later contact that person (answering queries), and later close the sale and voila, you have a new customer! That's how you've converted the lead.

Chatbots lead generation funnel

Lead generation is particularly important because it allows your business and the website of your business to create huge traffic, leading to higher sales and conversion rates. With good lead generation traffic, you create a target group for each search engineer who actively uses the internet to find and purchase a product or service.

With Google, this process has made it easier to connect with all prospects who are searching for exactly what you have to offer, and you are given the opportunity to show how different your business is and how better it is.

When potential customers actively seek solutions and your business stands out, the chance to convert from lead to customer increases dramatically. If you have a process of quality lead generation, finding the right customers for your business needs will help a lot.

Often the best way for lead generation is to use a lot of different methods or strategies so you can work out what is the best option for providing good quality lead generation. One of the frequently used strategy would be the use of chatbots for lead generation.

How does a chatbot help in Lead Generation?

Chatbots are a great asset to customer service, but how does it help with sales? Well, according to Chatbotslife.com suggests that chatbots can improve conversion rates by up to 25%.

And this data is about chatbots alone. Merging it with Live chat boosts the effects. According to Vtldesign.com, 38% of buyers purchased something because of a live chat session. Besides this, if asked to put down how effective is a lead generation chatbot, here’s a list-

It helps you understand the audience

It’s hard to give a present to your new neighbour but easy when you’re selecting a gift for your close friend. Why so? Because you know your friend inside out. Similarly, it can be difficult to sell products to customers when you don’t know their preferences. Chatbot makes this difficult job simpler. A lead generation chatbot makes it easy for you to understand your audience. It allows you to identify the consumer's product interests, likes and dislikes. This also improves the commitment of the lead. As users speak to it, a chatbot will perform surveys, ask questions and quizzes to collect data and personalise the user experience. A lead generation chatbot will also help you get a better idea of your best and least effective goods. To produce a lead, an eCommerce store can use a sales chatbot.

Segments the audience

Segmentation plays an important role in maintaining relevance to your content. It also increases your strategy for generating leadership. Suggesting a tour package for American residents that is true for Indian nationals will spoil the experience for customers. Based on the data you got, your chatbot will segment the audience. It does this on numerous factors such as demographics, interests, age, sex, etc. This also helps you to nurture and retain the lead. If a consumer belongs to a specific category, the solution you have for that segment can be dealt with by you. For example, if a user celebrates Christmas, your lead generation chatbot can show the best presents available for the customer to give at Christmas. This can be very impactful since it targets the audience with a fitting solution.

Builds Relationships with Customers

Trust is a relationship's foundation. A chatbot helps users gain confidence by communicating with them on a regular basis. By offering direct assistance, it connects users and is always available to help them. It makes users believe they can always rely on a product. For lead generation, this can be very helpful. People rely on chatbots since they are not pushy and will always take care of the preferences of the customer. You can provide your users with customer support via a chatbot. They will ask the bot how to fix it if they consider any issues related to their shopping experience or account. We have different approaches for chatbot lead generation, but this is the one that needs to be followed. You can do this with chatbots to increase lead generation to build a lasting relationship with customers.

Replace manual forms

It has become a tedious task to fill out forms. It's neither thrilling nor attractive. Chatbots will cleverly substitute these forms in a super-effective way. It asks user details as the user goes further in the conversation. It reduces the pressure and streamlines the process of gathering information for you. Therefore, if a customer does not have to make an effort to fill in data, it boosts your lead generation strategy. In response to a comment, users find it easy to provide information. It doesn't annoy a client making a chatbot to collect lead data. Create a lead generation chatbot that can ask for the name, email, phone, address and more about the client. By providing autofill options, you can allow the customer to do less typing, so you can also fasten the detailing process.

Educates the audience

Knowledge is a key element in the cycle of lead generation. The consumer will not buy it without knowledge of the material. With a chatbot, this can be made easy. Most companies use chatbots to educate and make them frequent subscribers for their audience.

How to Generate Leads with Chatbots?

Generate Leads with Chatbots | Engati

Here are the best practices you can follow with chatbots, as well as Live chat to generate leads faster than ever!

Use a survey

With this feature, before the discussion starts, you can ask your visitor questions and get personal information, such as your name or email address. Regardless of how the conversation ends, the visitor's data is already available and you can use it for marketing and sales purposes later.

Collect Leads even when you’re offline

Chatbots can still do the job, even if you're not there.When your potential customer clicks on the live chat widget when you're offline, a chatbot can tell them you'll get in touch with them as soon as possible and collect all the necessary information, such as name, email, phone number, and visitor inquiry.

Greet a new visitor

You may use a lead generation chatbot when a new or a returning user enters your website to automatically greet them and ask a question like, "Are you interested in our product?" You may allow them to leave their email for later interaction if they respond positively. A chatbot can tell a returning visitor from a new one – to enable them to shop, you can use it to approach returning visitors with a discount. You often receive a lead as a reward (because you sent a discount to a particular email, right?).

Generate a Lead when a representative isn't available

The same applies to a non-responding representative. A lead generation chatbot can inform the visitor that at the given moment the live chat agent is busy and offer them the option to wait or leave their contact information. Customers value their time and they hate to wait – their patience wears out at 10 minutes. So, instead of annoying them, give them a choice to either wait or be contacted later.

Order a phone call

Many consumers also prefer other forms of communication to using phones. A chatbot can ask your visitor if they are interested in your product or services and then let them leave their telephone number and order a telephone call. It's a great feature if your business relies mostly through that network on delivering sales and customer service.

Engage users when they want to leave the website or abandon cart

Visitors will bounce from a website for a lot of reasons. Perhaps they didn't like it, they didn't have the data, or they didn't find it interesting. But what if the explanation was more trivial, like leaving the website to come back a little later? You can do the best of any visit – a chatbot can contact a guest who tries to leave the website (or shopping carts) for whatever reason. You may ask some questions to the visitor that will end up getting a lead (or at least some feedback).

Engage a visitor who leaves an application

Suppose you had a visitor on your contact page and they filled out the form, but they didn't send it for some reason. A chatbot can engage them at that very moment and help them with their problems, answer their questions, or gather a lead. Comfortable, isn't it? Once, you're getting the most out of your touch and making money rain!

Engage visitors with live tracking

Live monitoring allows you to take over the initiative and include every website user. Occasionally tourists only walk around the website in search of specific information–you can simplify the cycle and ask your visitor for help. You will resolve barriers to sales, obtain contact information, and close the deal. And this works because you make sure that every visitor has been engaged and encouraged with your excellent, personalized customer service.

Collect Lead through blogs and articles

If you have your own business blog, by engaging visitors who read your posts, you will improve your lead generation. It's simple: someone reads the article, then they are recruited by a chatbot, asking if they are interested in a particular product or service, and collecting their contact information. You can even send that visitor a discount – you’ll boost your chances to convert and you’ll get a lead at the same time.

Engage users on Facebook

Quality lead generation chatbot platforms allow you to integrate with Messenger and your Facebook page in the process. You can essentially do all the things mentioned in previous points with this integration, but enter the game with Facebook and Messenger (and the great opportunities they offer). For example, a chatbot will engage visitors to your Facebook page, ask them if they are interested in your deal, and ask for their email address to follow up with them later. Social media presence is a crucial factor in sales. One-quarter of American online sales are related to social media channels, according to a BigCommerce survey. This incorporation helps you to optimize your market value by engaging prospective buyers across any network.

Engage a visitor on a specific URL

A chatbot can involve users visiting a specific URL. For example, you have a very expensive and lucrative product page from your perspective. You want to make sure there is nothing between the potential customer and the order, so you're setting up a chatbot to help. A chatbot greets the visitor and asks them some sales questions (which will help you close the sale later), before collecting their contact information. You can also require your visitor to instantly complete the sale to a live chat operator.


Growing an online business is getting more and more challenging. How can you maximise your chances of getting customers when competitors are constantly trying to steal your precious customers by using strategies that you’ve never heard about? You must get the absolute best out of every business idea, including customer service, marketing, and sales. Lead generation is one of the crucial part of the growth of the business and effective strategies are to be implemented to keep them leads coming! A lead generation chatbot can help you through this and can be the ideal tool for automation of lead generation process.

Thanks for reading.

Want to build a chatbot for lead generation? Register with Engati to learn how.  

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