Business Bunker Radio
Channel Radio

01233 220 035

on Air

07392 508 726

off Air


You need to know about conversational commerce if your business is to grow over the next 5 years

By Dario Betti, CEO, Mobile Ecosystem Forum 

From the simple text message to WhatsApp to a variety of in-app 1-2-1 messaging opportunities, we use our mobiles for conversations in a wide range of ways. We tend to use these platforms for personal conversations with friends, and, until now, they haven’t been fully leveraged by marketeers and brands. This is about to change.

So far, brands have been sending single messages – the ‘I am here’ message, but with true conversational commerce brands ask you what you want, not tell you what they want. 

Conversational commerce is an evolution of the app economy, representing the third wave of marketing strategy. The first wave was broadcast. Advertisers broadcast a single message to all potential customers via selected magazines, radio shows, billboards and TV placements. 

The internet changed things by allowing for more personalised broadcast messaging via email and targeted ads. This was the second wave, which also started some interactivity through inbound marketing – customers could visit your website, browse your product selection and sign up for emails and offers. Unfortunately, interactivity via simple websites has been limited and both email and digital advertising are oversaturated.

The third wave is conversational commerce, which elevates the interactivity offered by websites, apps and email to a new level, building lasting relationships through two-way individualised messaging via a unique mix of channels – the channels we use every day in our personal lives. In doing so, conversational commerce brings customer service full circle back to the level of individual customer service and engagement offered by traditional mom-and-pop shops.

As yet, not all companies have managed to understand the full potential of conversational commerce, but at MEF (the Mobile Ecosystem Forum) we anticipate the market will grow rapidly over the next few years as more businesses register the benefits. And this is the tip of the iceberg. Conversational commerce will fundamentally change the way we buy, sell, and serve our customers.

To help you get ahead of the game, here are five things you need to know about conversational commerce if your business is to grow over the next five years.

1. Broadcast messaging is out

Broadcast messaging is about sending the same message to everyone. It works extremely well to build and establish a consistent brand but is terrible when it comes to interaction.

People now expect to have a meaningful conversation about products and services. They want to know what the experience of the brand is like, to really feel it. That’s why influencer marketing is so popular – there is an opportunity to engage with a real person and understand the brand experience.

A number of challenges are also leading to the rapid decline of broadcast messaging: people skip ads by watching more streaming services; podcasts are on the rise; and email is so full of spam that it’s almost impossible to get noticed.

2. Understand the new Messaging Channels

Conversational Commerce will be delivered over a variety of messaging solutions, and the landscape continues to change – it is important for you to be familiar with the tools of this new trade. Some of the messaging solutions are familiar. Millions of businesses already rely on SMS for simple communications with consumers. WhatsApp is known for personal messaging; it is now joining the business communication with new features. Different markets show different take up:  the USA prefers Facebook MessengerWeChat dominates in China, Line in Japan. The list is long.

One messaging channel that should be known by many is RCS (Rich Communication Services). You can think of RCS as an evolution of SMS. Over 1.2 billion smartphones are already RCS enabled, so the potential is huge – and growing. RCS is supported by big tech companies like Google and the mobile operators that created the SMS texting in the first place. RCS is now replacing the SMS inbox in Android phones. 

RCS has also been designed to facilitate a host of new opportunities for businesses and brands to engage with their customers, build relationships and increase sales. RCS offers an upgraded experience with unique features to enable rich and meaningful engagements among users and businesses. 

What will make RCS so popular is that it brings new benefits to consumers: you can send larger, higher-quality images; stream audio and video; provide better group chat capabilities; enjoy greater security than found with most apps; and make use of a number of in-call and post-call features.

And with this popularity and growth among consumers comes opportunities for business for engage in true conversational commerce that will build lasting relationships with customers.  

3. Persona marketing is in

To elevate their marketing and meet the needs of modern consumers, brands need to become personas. Through Conversational Commerce, brands can now both sound and behave like a person. They can be their own influencer. 

They can describe and explain products, engage potential users and discover their needs, convert people into loyal customers, and provide a fantastic ongoing service.

Take, for example, a retailer selling barbeques in bricks-and-mortar stores. Typically, they will sell lots of products in June and, if they’re lucky, see customers again in a year. 

With conversational commerce, this retailer can understand their customers’ needs (e.g. having a garden party), can service those needs (e.g. informing customers when the weather is likely to be sunny or sharing recipes), and provide ongoing support (e.g. how to effectively clean and service the barbeque).

RCS allows the retailer to deliver a tailored mix of video instructionals, personalised messaging and two-way interaction. This can elevate a simple sale into an ongoing relationship with their customers. The retailer can better understand their customers and their needs and thereby provide the very best service. Which in turn leads to recommendations and repeat business. 

4. Data needs orchestration

To make conversational commerce work, companies need data. They need to understand what their customers want, need, and expect. And that data needs to break out of the rigid siloes in which they’re so often confined. 

A typical support journey might start with web support articles. A customer clicks through various options to find the most useful article. If that doesn’t help, they may escalate to a chatbot or phone support, where they are often greeted by robots asking many of the same questions. Finally, they will reach a human who then asks them all the same questions for the third time. 

It’s a frustrating and time-consuming journey for customers and an inefficient use of support staff for companies. It’s like having three different shop windows – there is no coordination. Brands need to drastically rethink their communication and orchestrate their data to help.

Omnichannel orchestration is incredibly important – and RCS facilitates this. When we interact with people, we automatically choose the right channel for the job and can switch task, tone, and register at ease. We drop a message to a colleague via Slack, jump on a quick video call, and share a Google Doc to efficiently and effectively complete tasks. With conversational commerce, brands can do the same. 

By bringing the customer data along with them on their journey, you make the customer feel truly heard and service their needs in the way they want. Ultimately, that is what conversational commerce is all about.

5. People are lazier than ever

Traditional transactional commerce is all about getting the sale as quickly as possible. The aim is to get the customer to do one thing fast. 

But people become bombarded with sales messages, reducing the efficacy of calls to action. When you are told 20 times in a day to “buy now” you start to tune it out. Even worse, customers will begin to actively avoid your brand – feeling burnt by pushy sales techniques when what they need is support.

People no longer want simple transactions; they value conversation, being heard, and an understanding of who they are and what they’ve done. They have a wealth of information at their fingertips and don’t have time for pushy marketing or waiting on hold. They’re better informed yet lazier than ever. 

Imagine, however, being able to bring the personal service of bricks-and-mortar shops, where assistants can help you achieve your aims, together with the efficiency of digital services and the functionality of RCS, allowing you to be helpful and engaging at scale. You could make every interaction count, make messaging stick, and provide a great customer experience that gets you noticed for all the right reasons.

What about the cost?

Providing an orchestrated omnichannel conversation commerce strategy that looks after every customer’s individual needs would be prohibitively expensive for most businesses.

Fortunately, the robots are here to save us. AI can guide customers in the right direction and quickly learn what they need. 

It’s important not to outsource the entire process to robots, however. There is still an essential role humans play in conversational commerce. While the AI could help and guide customers, it may get to the point where they need to speak to a human being. And this is key to conversational commerce: giving people what they want and need at the right time in the most helpful way.

Conversational commerce is about ongoing engagement and deep interactivity with brands. It allows customers to speak to brands as if they are real people building individual relationships that stick. It may sound futuristic, but companies already implementing a conversational commerce strategy, and leveraging the functionality of RCS, are seeing ten times the efficacy of their marketing communications. This competitive advantage won’t last long, however. In the next five years, conversational commerce will become the new paradigm in marketing communications. 


Dario Betti is CEO of MEF (Mobile Ecosystem Forum), a global trade acting as the voice of the mobile ecosystem. MEF focuses on cross-industry best practices, anti-fraud and monetisation.

MEF has partnered with Google to help businesses understand the future of conversational commerce at RCS World in Dublin, 12-13th July: