A conversation is something that keeps you engaged and helps you interact with others. When this conversation reality was vividly fused with technology, it resulted in something far from common. As a result of Artificial Intelligence, we now have the most inspiring platform in the field of advancement, i.e Chatbots.
Everybody today has a very clear understanding of what a Chatbot is.
“A Chatbot is an Artificial Intelligence (AI) program that can simulate a natural language conversation (or chat) with users through messaging apps, websites, mobile apps, or over the phone.”
We know that you are pretty much aware about the functions of a Chatbot, but then where does the word Conversational AI comes from? Are they not the same?
Well, we say YES! By default, the roles of both Chatbot and Conversational AI are the same, they both INTERACT. But there is a very thick line that defines the difference in their functionality.
AI has a range of applications like analytics, big data and automation, but Conversational AI provides a whole new group of skills, which business leaders need to understand when serving their consumers and stakeholders.
So, what do you exactly mean by Conversational AI?
AI could be a Chatbot on the website or social messaging application, a voice assistant or voice-activated system, or other collaborative interfaces for messaging. These solutions enable people to ask questions, get feedback or advice, conduct transactions, find help or, through conversations, achieve a context-dependent objective.
Conversational AI takes it a step closer as it can recognize speech and text, understand intent, and decode even different languages. That means Conversational AI has the capacity to build an interaction itself by analyzing the whole situation. “According to a report 80% of customers who have interacted with a Chatbot claim that they had a good experience”.
Whereas, “27% of customers couldn’t tell if their last customer service contact was with a live human or a Chatbot.” Well, being the pioneers of Digital Transformation, we take this as a compliment. Conversational AI is so fantastic that it is difficult for customers to tell whether they are speaking with a real person or a bot. They often cannot tell the difference.
We want machines to imitate human interactions as much as possible when we have conversations with them. Why humans? Because they have the intelligence to recognize a dilemma, ask appropriate questions and comprehend it thoroughly.
Conversational AI allows for a more humanized interaction!
Let’s see the initial problems customers or users face with AI Chatbots, their basic complaints were:
- They are vague
- They ask repetitive questions
- They are dumb
- They are not capable to understand humans
Now, this is a fact, Chatbots should not pretend to be like humans. But they should know how to talk to humans, handle their situations and comfort them when needed. Basically, Chatbots should be sensible and the evolution of Conversational AI as Humanized AI Chatbots has certainly raised the bar high by solving all these speculations.
Let’s look at the 3 most important facts of how Humanized AI Chatbots help businesses.
- Customer wait times have been greatly reduced thanks to the speed of AI. Customers now feel important when they receive prompt responses. According to a report, Humanized AI Chatbots are preferred by 69% of customers due to their ability to respond quickly.
- Conversational AI has increased the conversion rates. Since it responds so quickly to potential customers, businesses will be able to quickly filter out bad leads. It can also categorize them based on how important they are and how likely they are to become customers. This can effectively increase the conversion rates for businesses. According to a report, when companies move from standardized web forms to conversational AI, they analyzed a 50 % rise in their conversion rate.
- Conversational AI is cost-efficient. AI enables businesses to make better use of their consumer data. This means, you can quickly determine a customer’s demographic, psycho-graphic, and other characteristics and act accordingly. As a consequence, integrating AI into your tech stack will help you save money on consultants and analytics outsourcing. According to a report, Conversational AI can save up to 30% on operating costs.
There is no doubt that Conversational AI makes it easier for businesses to stay on top of the changing needs of customers and the market. Many businesses already are using some kind of live chat feature for their sales and support teams to quickly communicate with customers and leads. The benefits of a Humanized AI Chatbot would be immense for companies. It creates an emotional bond and helps people express themselves in a variety of ways. The more human-like features you have, the better your bot interacts with customers. These AI platforms simply allow you to take your customer experience service to the next level by easily and efficiently reaching out to more customers and leads.
Article By – Ms. Neha Modgil, CFO & Co-founder at TECHVED Consulting India Pvt. Ltd.