Chatbots Market Growing at a CAGR of 35.2% During 2016 to 2021

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Chatbots market size grows from $703.3 million to $3,172.0 million, at a CAGR of 35.2% from 2016 to 2021, due to the strong need to understand consumer behavior, adoption of cloud-based technology, and proliferating demand of intelligent customer engagement. Websites segment Have largest market share led by North America region.

The smart advisors/chatbots market size is estimated to be USD 703.3 million in 2016 and is projected to reach USD 3,172.0 million by 2021, at a CAGR of 35.2% from 2016 to 2021, due to the strong need to understand consumer behavior, adoption of cloud-based technology, and proliferating demand of intelligent customer engagement. Lack of awareness owing to relatively early presence in tech-adoption life cycle, high deployment cost as well as system integration complexities, and lack of expertise are the major restraining factors of the chatbots market.

The services segment is expected to grow during the forecast period, which supports the implementation of chatbots solutions across various industries.

The websites segment is expected to lead the smart advisors usage market between 2016 and 2021, due to the increasing number of websites of various industries. It is very necessary for business organizations to take care of this concept of emotions on websites to increase their sales and eventually their market share. Hence, a strong need to understand the customer personality is driving the growth of chatbots market.

The mobile platform segment is expected to grow during the forecast period due to the increasing mobile users and BYOD. Growing needs of integrated patient engagement for better physician experience, comprehensive patient documentations, medicines, doctor visits and check-ups reminder systems, patient education, Electronic Health Records (EHR), is projected to increase the adoption of smart advisors across healthcare industry, hence the healthcare industry is expected to grow at a faster rate.

On-Cloud deployment type holds the largest chatbots market share . The cloud-based smart advisor solution reduces the up-front costs and eliminates maintenance of the server. Large enterprise is expected to have the largest market share during the forecast period. Customer retention and better revenue generation is leading towards the growth of chatbots technology adoption in the large enterprises.

With regards to the geographic analysis, North America is likely to benefit from its technological advancements, large number of devices, and industries. Asia-Pacific (APAC) is expected to lead the smart advisors market by region between 2016 and 2021. The growth can be attributed to hyper urbanization and industrialization.

The break-up profile of primary discussion participants is given below:

  • By Company Type: Tier-1 (42%), Tier-2 (33%), and Tier-3 (25%) companies
  • By Designation: C-level (75%) and Manager Level (25%)
  • By Region: North America (43%), Europe (29%), APAC (18%), and Rest of World (RoW) (10%)

The various key chatbots vendors are as follows:

  • Artificial Solutions (Sweden)
  • IBM Watson (U.S.)
  • Nuance Communications, Inc. (U.S.)
  • eGain Corporation (U.S.)
  • Creative Virtual Pvt. Ltd. (U.S.)
  • Next IT Corporation (U.S.)
  • CX Company (Netherlands)
  • Speaktoit, Inc. (U.S.)
  • 24/7 Customer, Inc. (U.S.)
  • Codebaby (Idavatars), Inc. (U.S.)