I Don't Understand How to Actually Chat

I have set up chat and have it installed on a test site on my local server. I have it inserted in a post as well as on a site-wide basis. What I don't understand is, when someone starts a chat - where is the 'receiving' line. Where does the message go to? Other services I have tried (such as Zopim) have a control panel from which you can chat from as well as the ability to sync into other chat systems (such as Google talk). How does this one work?

Be well,

Moshe