Global chatbot market to reach $23 billion by 2030, report
The global Chatbot market was valued at $3.49 billion in 2021 and is expected to reach $22.9 billion by year 2030, at a Compound Annual Growth Rate, CAGR, of 25.4%. This is according to the latest report by Research and Markets.
The chatbot industry is growing rapidly as it is benefiting businesses in various ways. The major factor driving the market growth is increased demand for personalized customer service and 24*7 support.
Also, they help to reduce human resource cost as they can handle multiple tasks simultaneously. Hence, this is why the adoption of chatbots has been increasing in various industry verticals such as BFSI, healthcare, retail, and others.
A chatbot is a computer program that simulates human conversation, usually through text or voice messages. They are commonly used in online customer service and support, as well as marketing and sales. There are many different types of chatbots, each with their own strengths and weaknesses. For example, some chatbots are designed to help you book a hotel room or buy a product, while others are focused on providing customer support or entertainment.
Chatbot are currently seen on websites, social media platforms, and messaging apps as a key customer service tool. The major drivers of the chatbot market include the need to reduce operational costs, rapid growth in artificial intelligence, and the increasing demand for virtual customer assistants.
The banking, financial services, and insurance vertical is expected to hold the largest market size in the chatbot market during the forecast period. The increasing need for automating the customer service processes and providing 24/7 customer support are expected to drive the market growth in this vertical.
The healthcare and life sciences vertical is expected to grow at the highest CAGR during the forecast period. The increasing adoption of conversational AI-based chatbots in drug discovery, precision medicine, and patient engagement is expected to drive the market growth in this vertical.
The retail and eCommerce vertical is expected to hold the second-largest market size in the chatbot market during the forecast period. The increasing need for enhancing customer engagement and providing a personalized shopping experience are expected to drive the market growth in this vertical.
The travel and hospitality vertical is expected to grow at the highest CAGR during the forecast period. The increasing need for providing 24/7 customer support and enhancing customer engagement are expected to drive the market growth in this vertical.
The IT and telecom vertical is expected to hold the third-largest market size in the chatbot market during the forecast period. The increasing need for automating customer service processes and providing 24/7 customer support are expected to drive the market growth in this vertical.
The government and defense vertical is expected to grow at the highest CAGR during the forecast period. The increasing need for automating customer service processes and providing 24/7 customer support are expected to drive the market growth in this vertical.
Key participants include IBM Watson (New York, U.S.), SMOOCH, Botsify, Nuance Communications Inc. (Massachusetts, U.S.), eGain Corporation (California, U.S.), Artificial Solutions (Stockholm, Sweden), Creative Virtual Pvt. Ltd. (London, UK), Next IT Corporation (Washington, U.S.)
