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Communication Channels Businesses Use (Latest Stats + Tips)
With digital customer service channels gaining rapid popularity among modern enterprises, it's become crystal clear that you either personalize your approach or get left behind.
These days, it's not just about having the best product or service; it's about the experience you create. Customers are more likely to hit that "unsubscribe" button than stick around if you don't get it right. So, nailing the proper communication channels is more critical than ever.
In this blog, we'll break down the top business communication channels, why they matter, recent innovations around each and the hottest trends you need to know about. Let's get into it!
- What is a communication channel?
- Why are communication channels important?
- 9 Types of communication channels for businesses
- Summary table of communication channels
- How to identify the right communication channel for customers
- Tips for identifying the right communication channel for internal teams
- Future-proof your communication stack with Sprinklr
What is a communication channel?
A communication channel is any medium through which information is transmitted between a business and its customers. These channels range from traditional phone calls and emails to modern digital avenues such as social media, live chat and mobile apps.
The widespread availability of high-bandwidth internet access and the prevalence of smartphones has revolutionized customer communication. These technological advancements have led to a customer base that expects instant, frictionless, personalized interactions at every stage of their customer journey.
Gone are the days of lengthy on-hold times and cumbersome navigation processes. This demand for real-time engagement has propelled businesses to embrace a more responsive and dynamic communication channel ecosystem.
Why are communication channels important?
Today, the quality of the product or service alone is no longer the sole determinant of success. The way you communicate with your customers has become equally, if not more, important. Here’s why:
- Enhanced customer experience: The right communication channels allow you to tailor your communication to different customer needs and preferences. This personalization fosters a more positive experience, increasing customer satisfaction and loyalty.
- Improved efficiency: Using strategic communication channels can streamline processes and reduce customer wait times. For instance, live chat allows for real-time troubleshooting, while the knowledge base on your website empowers customers to self-serve.
- Streamlined onboarding: Communication channels play a vital role in customer onboarding. You can ensure a smooth and successful onboarding process by leveraging targeted emails, interactive tutorials and personalized welcome messages.
- Boosted brand reputation: Prompt and professional communication across all channels builds trust and strengthens your brand image. Customers who feel heard and valued are more likely to become brand advocates.
- Valuable customer insights: Communication channels open a two-way street for valuable customer feedback. Through customer surveys, social media interactions and targeted email marketing campaigns, you can gather insights to improve your products, services and overall customer experience.
Similarly, communication channels play a critical role from an internal communication standpoint.
- Announcing important updates: Utilizing appropriate channels for important announcements ensures that critical information reaches the intended audience. For instance, company-wide announcements are often best communicated via email or internal newsletters. This approach helps prevent miscommunication and ensures alignment across the organization.
- Improving collaboration and decision-making: Video conferencing tools enable face-to-face meetings even when team members are remote. This enhances collaboration and ensures that everyone is on the same page.
9 Types of communication channels for businesses
In 2024, how you communicate can make all the difference. Choosing the right communication channels keeps teams in sync and delights your customers. Let's dive into the top communication channels that can transform your customer interactions.
1. Phone call
While phone calls might seem traditional, they remain a crucial customer service channel for complex inquiries or situations requiring a personal touch. They are irreplaceable for resolving intricate issues, building rapport with customers and offering personalized support in sensitive situations.
💡Innovation spotlight: Voice over IP (VoIP) technology offers cost-effective business phone solutions with advanced features like call routing, call forwarding, voicemail transcription and call analytics.
❗Trouble spots: Phone calls, while still a crucial channel, have some drawbacks in today's fast-paced, digital world. They demand immediate availability from both the customer and the contact center agent, which might not always be convenient.
Also, complex issues can be challenging to explain or understand over the phone and sharing visuals or documents might not be feasible. Moreover, customers with hearing impairments or who prefer asynchronous communication might find phone calls inaccessible.
🧐 Trend Tracker
As per Statista, 54% of respondents in the United States stated that they prefer phone calls to resolve customer service problems.
2. Email
Email remains a workhorse due to its versatility, cost-effectiveness and global reach. Targeted campaigns nurture leads, deliver updates and personalize the customer journey.
💡 Innovation spotlight: Personalization tools and marketing automation platforms are transforming email marketing. These advancements enable highly targeted campaigns based on customer behavior and preferences. Also, there are email tracker tools available these days that help you with analytics like open rate, how many times an email was opened with real-time notifications and more.
❗Trouble spots: Customers are bombarded with emails daily, leading to a cluttered inbox and potentially overlooked important business messages. Moreover, you may face the following challenges:
- Slow response time: Email communication is asynchronous, meaning responses can be delayed, leading to frustration for customers who expect prompt service.
- Misinterpretation and lack of context: The lack of nonverbal cues like tone of voice can lead to misunderstandings and misinterpretations of email content.
- Security concerns: Phishing scams and data breaches can pose security risks for both you and your customers.
3. SMS or text messages
SMS or text messages are a powerful communication channel due to their direct, immediate and personal nature. They offer high open rates and are ideal for time-sensitive information, reminders and alerts.
💡 Innovation spotlight: SMS integration with contact center CRM systems and marketing automation enables you to send personalized, automated messages based on customer behavior and preferences. Rich communication services (RCS) enhance traditional SMS by allowing interactive media, such as images, videos and action buttons, to create a more engaging experience.
❗Trouble spots:
- Message fatigue: The high frequency of promotional messages can lead to customer fatigue and opt-outs, potentially diminishing the channel's effectiveness.
- Character limitations: The brevity of SMS messages can restrict the amount of information that can be conveyed, sometimes leading to incomplete or unclear communication.
- Privacy and compliance: Ensuring compliance with regulations like the Telephone Consumer Protection Act (TCPA) is crucial to avoid legal issues and maintain customer trust.
🧐 Trend Tracker
In a survey of business owners and marketing managers in the United States, 53.5% of respondents reported adopting text marketing due to its higher open and click-through rates compared to other marketing channels. Additionally, approximately 29% cited the preference of younger consumers for texting over other forms of communication.
(Source: Statista)
4. Video conferencing
Video conferencing, a rapidly growing communication tool for businesses, offers a unique blend of visual and auditory engagement. It transcends geographical barriers, enabling face-to-face interactions and fostering stronger connections and clearer communication.
💡 Innovation spotlight: Modern video conferencing platforms, such as Zoom, Microsoft Teams and Google Meet, offer features like screen sharing, virtual backgrounds, breakout rooms and integration with productivity tools. AI enhancements, such as real-time language translation, automatic speech-to-text transcriptions and background noise reduction, further enhance the video conferencing experience.
❗Trouble spots: Connectivity problems, software glitches and hardware malfunctions can disrupt meetings, leading to frustration and loss of productivity. In addition, there are a few emerging challenges that you must be aware of.
- User fatigue: The phenomenon of "Zoom fatigue" can set in due to prolonged screen time and the cognitive load of processing visual cues on video calls.
- Security concerns: Unauthorized access, data breaches and "Zoombombing" incidents highlight the importance of robust security measures to protect sensitive information during video conferences.
- Accessibility challenges: Not all participants may have access to high-speed internet or up-to-date technology, which can create disparities in communication quality and participation.
- Coordination difficulties: Scheduling video conferences across different time zones can be challenging, potentially impacting attendance and engagement.
🧐 Trend Tracker
In 2024, videoconferencing software achieved a market penetration of approximately 66%. Zoom emerged as the leading videoconferencing tool, holding a market share of around 55%.
(Source: Statista)
5. Live chat
Live chat has become an indispensable communication channel for modern enterprises. It offers real-time interaction and instant support, catering to the demand for immediate assistance and enhancing customer engagement and satisfaction.
💡 Innovation spotlight: Integrating live chat services with CRM systems allows for personalized interactions, while analytics tools provide insights into customer behavior and chat performance.
❗Trouble spots: Live chat has its own limitations. Take a look.
- Live chat's effectiveness hinges on agent availability. Insufficient staffing can lead to long wait times, and frustrating customers who expect immediate assistance.
- While live chat is excellent for resolving basic inquiries, intricate technical issues or situations requiring in-depth explanation might be better suited for phone calls or video conferencing.
- Like email, the absence of nonverbal cues can lead to misinterpretations of tone or intent in chat conversations.
🧐 Trend Tracker
Around 73% of clients say live chat is the most convenient way to communicate with a business. Millennials are 20% more likely than other generations to use live chat.
(Source: SaaSworthy)
6. Chatbots
Chatbots facilitate automated communication through text for one-to-one interactions, providing a convenient solution for both businesses and customers. Integrated into websites or messaging platforms, they are programmed to handle frequently asked questions, guide users through processes and provide automated customer service. Their 24/7 availability makes them a convenient tool for handling basic customer service queries, such as order status or account information. Learn more about customer service chatbots.
💡 Innovation spotlight: Modern chatbots, powered by AI and natural language processing (NLP), are not just intelligent; they are adaptive. They can understand and respond to customer queries, learning from each interaction to improve accuracy and effectiveness. This adaptability also allows them to seamlessly escalate issues to human agents when necessary, providing a reassuring safety net for more complex queries.
❗Trouble spots: While chatbots are efficient for handling simple queries, they may struggle with more complex or nuanced issues, leading to customer frustration. There are also a few more potential issues you must know about.
- Impersonal interactions: Automated responses can sometimes feel robotic and lack the personal touch in customer service that customers appreciate in human interactions.
- Technical glitches: Connectivity issues or software malfunctions can disrupt chatbot services, impacting the customer experience.
- Security concerns: Ensuring the privacy and security of sensitive information shared over chatbots requires robust encryption and secure data handling practices.
Good to know:
Sprinklr’s AI+-powered bots dynamically handle requests and seamlessly resume conversations after interruptions, delivering human-like experiences. With quick and personalized responses on a conversational interface, these bots significantly reduce wait times and enhance customer satisfaction. Learn more about Sprinklr's conversational AI platform.
🧐 Trend Tracker
The primary reasons Americans used AI chatbots in the past three months were for fun (37%), to save time (36%) and to make tasks easier or less stressful (35%). Additionally, about one in three (32%) said they enjoy using new technology.
(Source: Consumer Reports)
In a global 2022 survey, 36% of Indian consumers found customer service via chatbots particularly useful when shopping on mobile devices, the highest appreciation rate. Consumers from the United Arab Emirates and Indonesia followed at 30% each, while 27% of Mexican shoppers shared this view.
(Source: Statista)
7. Instant messaging platforms
Instant messaging platforms, such as WhatsApp, Facebook Messenger and Slack, have become essential communication tools for businesses. They offer fast, convenient and informal ways to connect with customers and internal teams.
💡 Innovation spotlight: These platforms' utility is enhanced by the integration of business features, such as automated responses, customer segmentation and rich media support. Platforms like WhatsApp Business and Facebook Messenger offer APIs for integrating with CRM and customer support systems, while Slack and Microsoft Teams facilitate collaboration and project management within teams.
❗Trouble spots: Instant messaging's casual nature can sometimes lead to miscommunications or a perception of unprofessionalism. As instant messaging platforms gain popularity, the issues below have popped up.
- Volume management: High volumes of messages can overwhelm support teams, leading to delays and potential drops in service quality.
- Platform fragmentation: Customers may use different messaging apps, requiring you to manage multiple platforms and ensure consistent service.
- Security concerns: Ensuring the privacy and security of conversations on instant messaging platforms is critical, especially when dealing with sensitive customer information. Read: 9 Ways to Improve Customer Service Security
🧐 Trend Tracker
In 2024, WhatsApp was the most popular global mobile messenger app, followed by Chinese-based WeChat. Facebook Messenger ranked third and counted almost one billion users – despite falling short of more prominent social media and chat apps in its main market of the United States.
(Source: Statista)
8. Social channels
Social media channels like Facebook, Twitter, LinkedIn and Instagram have become vital for business communication, providing platforms for customer engagement, brand building and customer service.
💡 Innovation spotlight: Social media management tools and platforms enable you to schedule posts, monitor brand mentions and analyze customer engagement metrics. Advanced features like social listening, sentiment analysis and AI-driven content suggestions help you stay ahead of trends and respond proactively to customer feedback.
❗Trouble spots: As exciting as they sound, social channels come with a fair share of challenges. Here’s how they impact.
- Volume and speed: The fast-paced nature of social media can make it challenging to keep up with the volume of interactions and respond promptly, potentially leading to customer dissatisfaction.
- Resource-intensive: Effectively managing multiple social channels requires dedicated resources, including personnel and tools, which can be costly for some businesses. Learn how Sprinklr social media customer service software helps.
- Public scrutiny: Social media interactions are public, meaning any misstep can be widely visible and potentially damage a brand’s reputation.
📑 Bookmark Now: How should brands manage their online reputation
🧐 Trend Tracker
In a 2023 survey of marketing and communication professionals in the Asia-Pacific region, 87% reported that their organizations used Facebook as one of their social media channels. Conversely, 29% of respondents indicated that their organizations utilized TikTok as a social media channel.
(Source: Statista)
9. Online communities
Online communities, including forums, discussion boards and dedicated social groups, offer you a unique platform to engage with customers, foster brand loyalty and gather valuable insights.
Innovation spotlight: Modern online community platforms, such as Reddit, Discord and branded community forums, provide rich features like threaded discussions, moderation tools and integration with CRM systems. You can leverage these communities for user-generated content, peer-to-peer support and real-time feedback.
Trouble spots:
- Moderation challenges: Ensuring a positive, respectful environment requires constant moderation to prevent spam, harassment and misinformation, which can be resource intensive.
- Engagement maintenance: Keeping the community active and engaged requires consistent effort, including regular content updates, community events and proactive interaction.
- Control issues: While user-generated content can be valuable, it also means businesses have less control over the narrative and must be prepared to address negative feedback or criticism publicly.
📣 Do you know
An HBR article noted that responding through a community was 72% cheaper than using other support channels. Without a community, support tickets increased by 58% and response speed decreased by 35%.
So, if you haven't thought of building your online customer community yet, it’s time!
Modern community forum software enables you to build and manage customizable forums where customers can interact, share solutions and suggest product improvements. Additionally, built-in chat options allow customers to easily contact your support teams whenever they need assistance.
Summary table of communication channels
Channels | Pros | Cons | Best suited for |
Phone calls | Supports immediate interaction, delivers a personal touch | Can be disruptive and result in miscommunications | Urgent issues, client negotiations |
SMS/Text messages | High open rate, trustworthy medium to share critical communication | Messaging fatigue, character limitation | Time-sensitive communication |
Emails | Supports documentation and thoughtful composition processes | Offers delayed feedback, may be open to information overload | Detailed reports, formal requests |
Video conferencing | Enables face-to-face interaction and enhanced collaboration | Has predefined technical requirements and scheduling challenges | Remote meetings, client presentations |
Live chat | Shares instant feedback and is convenient | May not be able to resolve complex issues or handle high-volume | Quick support interactions, team queries |
Chatbots | Offers scalability and efficiency | Offers limited responses, often deemed impersonal | Routine inquiries, customer support |
Instant messaging platforms | Faster communication, convenience | Informal, may lead to fragmented experiences | Personalized service, internal communication |
Social channels | Offers broad reach and visibility | Is public by nature and may be resource-intensive | Marketing campaigns, brand building |
Online communities | Reduces workload, public platform | Can spread misinformation, requires monitoring | Customer support, community engagement |
How to identify the right communication channel for customers
Selecting the right communication channel requires a thoughtful and strategic approach. Before choosing a channel for your business communications, consider the following factors:
- Evaluate channel impact: Assess the impact and urgency of your message. Immediate channels like phone calls or live chats are ideal for urgent issues. Detailed discussions might be better suited for emails or face-to-face meetings. For example, a video conference might be more impactful than an email for a critical customer issue.
- Consider privacy and security: Evaluate how secure the communication channel is. Sensitive information requires channels with robust security measures. Assess the security features of each channel. For instance, confidential client data should be shared over secure email or an encrypted messaging platform rather than a public social media message.
- Review audience preferences: Understand your audience's communication preferences. Tailor your communication strategy to meet these preferences. For example, if a client prefers a particular video conference tool for support, ensure your team can assist on this channel.
- Check scalability: Determine if the channel can scale to meet your business needs. As your business grows, your communication needs will evolve. Choose channels that can accommodate increasing volumes and complexities of customer interactions. Implementing a knowledge base, for example, can help manage a growing number of customer inquiries.
🥇 Stay ahead of the curve with a unified communication platform
Sprinklr Service provides a unified customer communication platform that integrates multiple channels to boost efficiency. It combines messaging, video conferencing, file sharing and other features into a single interface, ensuring seamless conversations even as customers transition between channels.
Tips for identifying the right communication channel for internal teams
The tips below will help you tailor your communication strategy to meet your organization’s requirements:
🔍 Identify the level of collaboration required
Determine whether the communication requires real-time collaboration or can be handled asynchronously. Real-time collaboration is essential for tasks that need immediate feedback or interactive discussions. For example, brainstorming sessions and team meetings require instant exchanges.
🔁 Understand your workflows
Map out your team’s workflows and identify key communication touchpoints. Select the most effective channels for each stage of the process. For example, project management workflows may involve initial planning through emails. They may also need daily updates via messaging platforms and final reviews through video meetings.
📝 Ask your team about their communication needs
Regularly solicit feedback from your team to understand their preferred communication methods and identify their pain points. Engaging your team in this conversation ensures that the chosen channels meet their requirements and enhance productivity.
💰 Two Cents from Sprinklr
Don’t forget to use surveys or feedback tools to gather insights and adjust your communication strategy. Regularly check in with your team through quick surveys or feedback forms. This approach allows you to make informed adjustments and improve communication efficiency.
⚖️ Balance the costs
Consider the cost implications of different communication channels. Evaluate both direct costs (such as subscription fees) and indirect costs (such as time spent managing multiple platforms). Plus, ensure that the benefits of a channel justify its costs.
Future-proof your communication stack with Sprinklr
In today's rapidly changing world, it's crucial to have a communication strategy that is both comprehensive and adaptable to meet evolving customer expectations.
Sprinklr's Unified-CXM is designed to address this need by streamlining all communication channels into one system. It eliminates the complexity of using multiple tools and allows your teams to consistently deliver exceptional customer experiences.
By centralizing all communication channels, Sprinklr's Unified-CXM platform provides your teams with the necessary context and collaborative tools to engage customers effectively at every stage—from pre-sales to post-sales. By taking a proactive approach and engaging customers on their preferred channels, Sprinklr helps foster stronger relationships and drive better business outcomes.
If you're interested in learning more, you can request a demo of Sprinklr's Unified-CXM platform today to see how it can benefit your business.
Frequently Asked Questions
Common mistakes include not aligning channels with customer preferences, over-relying on a single channel, neglecting to integrate channels for a seamless experience and failing to stay updated with technological advancements. Additionally, businesses often overlook the importance of training staff to use these channels effectively, which can lead to inconsistent and unsatisfactory customer interactions.
You should re-evaluate their communication channel strategy at least annually. However, it's beneficial to conduct more frequent reviews—quarterly or biannually—considering the rapid pace of technological advancements and shifting customer preferences. Regular assessments help ensure the strategy remains aligned with current trends and business objectives, allowing for timely adjustments.
Key features include multi-channel integration, real-time analytics, AI-driven automation, robust security protocols and seamless collaboration tools. Additionally, look for platforms that offer scalability, customization options, user-friendly interfaces and comprehensive customer support.
Privacy concerns include data breaches, unauthorized access, phishing attacks and the mishandling of sensitive information. It's crucial to ensure that communication channels have strong encryption, secure authentication processes and compliance with privacy regulations like GDPR and CCPA.
Small businesses can enhance customer engagement, improve operational efficiency and gain competitive insights by adopting advanced communication tools. These tools enable personalized interactions, streamline processes and provide valuable data analytics. Additionally, many platforms offer scalable solutions tailored for small businesses, making it affordable to access the same technology that powers larger corporations.