Artificial intelligence (AI) chatbots are the most innovative and transformative aspect of today’s digital world. The software application is used to engage humans in a conversation using natural language processing (NLP). To keep users captivated AI bots use the knowledge base i.e. text, graphics, or speech, and give the audience an overview of products/best-selling products.
In addition, AI bots are so effective and active as they tend to anticipate user preferences based on their choice patterns and exploration. The learning-based tools behind every predilection are predictive intelligence and analytics, via this information bots can provide recommendations and future suggestions.
Want to know what an Online AI Chatbot is?
Artificial intelligence chatbots are trained to conduct human-like conversations, which means the NLP enables them to interpret human language as it’s written. In this way, they operate more on a knowledge base rather than on their own. Besides, Chatbot software also works outside the pre-programmed commands and series, it generates a response based on the existing data and certain keywords which correlate with the information stored in it. 
The purpose is to provide site visitors an edge so they could lead a seamless conversation, by positioning the intent and objective. Hold On! That's not it. The learning of AI bots is evergreen, as they are learning with the passage of time. They can adapt their responses according to the new situation and scenario - meaning the information will not remain stagnant but rather get enhanced.
The constant learning pattern can be applied to analyze customers’ feelings and how they react. Based on this knowledge a bot predicts what the customer is looking for on a website.
Mechanism of an AI Bot
Today, a lot of people believe that working on AI bots is extremely difficult and requires a high level of expertise. But the truth is you don’t need to have a fancy programming setup to initialize a basic level of bot. To be honest! All you need is a basic grasp of how AI operates and good AI chatbot software. Invocom brings a quick briefing:
- Initial Level
At first, AI bots are incorporated with input data which then transform it into a relevant output. After a web visitor asks a question, the bots will determine the intent along with other factors like tone and sentiments. On the basis of evaluation, it generates a series of responses that fits the best possible answer. If we can break it down into four steps: 
- Fed Input
- Analyze user request
- Inspect the intent
- Create a reply
- Mid-level
Moving on, bots need tons and tons of data to carry a conversation. Therefore, the next step is the training period. Here in this phase, a programmer teaches the bot user’s context and intent. That’s how a chatbot is entitled to answer customer queries in the most natural way possible.
- Final Level
Now you’ve followed up with all these stages. The next thing is to integrate a conversational experience that delivers the right information to the users at the right time. The rest of trial and error. Because you have to be extra vigilant and careful implementing Chatbot tech into customer engagement service.
Functions of chatbots in business
As we are witnessing a huge digital transition, the real-time and swift response has become the need of industries. No doubt, this automated technology has brought improvements in data science, machine learning, AI, and NLP. It has enabled a large-scale expansion of chatbots, by making it easier to build and operate via various applications and platforms - Benefitting many companies and corporations.
Integration of Chatbots in Industries
Innovation has brought so many advantages to industries, more importantly, it reduces the human effort to such a large extent. Some companies use AI bots as virtual agents, meaning they can handle customer support as well as internal representative communication. In addition, this technical framework can reduce customer service cost and promote high ROI for businesses that use AI bots for customer service.
It also helps companies scale up the sales funnel, generate more leads, enhance real-time response, and boost customer loyalty. A great number of companies have built the notion of personalized user experience to trigger a higher rate of conversion. Companies have started to invest more in novel and complicated technologies, it necessarily involves changing messaging interfaces from time to time. Therefore, the usage of Chatbots has increased to bridge the gap between customers and employees. Huge amounts of information, data, facts, updates, systems, and applications are handled by bots.
It facilitates customers by providing them real-time access, and assistance without any restrictions. When they start to receive timeliness responses, the conversation eventually develops into a more personal and sales experience kind of phenomenon.
Function of chatbots
Before jumping onto implementing a chatbot, you should have a thorough understanding of all the essentials. It helps you to understand why chatbots are a must-have for every business:
Save operational cost
Absolute customer experience is the key to increased retention rate and revenue. According to statistics, businesses spend approx 1 trillion on customer call center setups. Moreover, AI and natural language processing are changing the dynamics by enabling AI-powered virtual agents. It not only helps businesses slash call centers but also drastically improves customer relationships. By using chatbots you can cut down up to 30% of operational costs.
Brand value
Once you have implemented the infrastructure, you can easily build up your brand value. Real-time interactions help a lot in gaining customer trust, and loyalty while providing them a relatable and friendly experience. The best thing is that it can be upgraded and updated as your brand preference changes with time.
A quick and efficient response is all a customer wants. AI chatbots make sure to prioritize these characteristics. At times customer representatives get involved in meetings, and other tasks, to simply put a human cannot be available 24/7. Therefore, the ultimate goal of an AI bot is to provide first-hand information regardless of the time, place, and environment.
Reduce waiting time
One of the biggest hurdles in customer service operation is the number of calls and messages they receive. They often have to wait in long queues to get an answer to a basic query/request. Virtual assistants have the potential to resolve 80% of frequently asked questions. In this way, human agents have freed up time to handle complex queries and complaints.
Personalized alerts
Automated chatbots can offer personalized alerts and notifications. So that each and everyone can know about recent updates, new products/services, and changes. It is essential to keep the community in the loop, specifically when you want to revamp the business model.
Industries benefiting from AI Chatbots
It is now becoming a common practice to infuse AI tools into products. Here we are going to list down some of the industries that are dominating by using chatbots in their various applications.
Healthcare
Hospitals, healthcare centers, and clinics use chatbots to acquire a free flow and smooth communication with patients. It can also help to schedule appointments, provide medical information, give advice/tips, and guide location to the relevant user.
Food Industry and Delivery Apps
We all have witnessed a great deal of transformation in the food industry. Now restaurants are not limited to dine-in and takeaway. They are also offering delivery and app ordering services. For this reason, they need a dedicated customer service representative or a call center setup. Arrange a virtual assistant and feed it with all the information and guidelines, you can personalize all the product directions according to the food line.
E-commerce and retail
Online stores and mega retail showrooms have reshaped their infrastructure to AI Chatbots to serve as their customer service agent. They overlook customized product recommendations, offers, process orders, and return/exchange requests.
Educational sector
Chatbots can be pretty useful in the educational mainstream line as well. Personalize your bot to gather student feedback, and be informed about the issues students are facing in coursework and examination. Make your AI bot capable by feeding them an administrative assistance plan. It can easily entertain registration, new admission, and coursework related queries.
Financial services and insurance
The finance department, banks, and credit forum have incorporated AI bots to answer all the manageable and complex questions. It can also provide account balance, statements, atm information, basic transactions, and advice on loans/investments/savings.
In the insurance industry, AI bots can fulfill all the resourceful roles such as advisors, status updates, files claiming information, scheduling appointments with a client, and doing other small tasks eventually emancipating human agents to do more productive work.
In a nutshell
Proper utilization of Chatbots for the right purpose at the right time can turn any business into a great pursuit with maximized sales. If you haven't deployed chatbots at your workstation then Go Ahead, you are in the right place and we have just the right solution for you.