Paint this scenario in your mind: A ‘digital talkathon’ where the chatbots of various brands compete verbally — a platform that tests the intelligence of chatbots. Regardless of the nature of the digital talkathon, the ultimate measure of success would be the ability to have an intuitive and natural conversation with a human. Thanks to technology, humans can have real conversations with machines. Conversational interfaces are based on the simple and yet powerful art of communication — talking. Technological advances of the past decade have enabled businesses to create personalized and convenient customer experiences through various conversational interfaces.
A conversational interface enables users to interact with software based on human-to-human conversation principles. Conversational interfaces are broadly classified into Chatbots and Voice UI. Conversation with a chatbot typically happens in the form of chat bubbles in a messaging app. AI Chatbots and Rule-based or Scripted chatbots are the two types of chatbots. AI chatbots are built on natural language processing (NLP) and machine learning. Chatbots can be the intuitive conversational interface for different types of businesses. Voice assistants are another type of conversational interfaces that enable communication without any graphical interface. These are powered by artificial intelligence, machine learning, and voice recognition technologies.
The latest AI Market report by Market Research Engine reveals that the Global Conversational AI Market is poised to exceed 16 billion USD by 2024 at a CAGR of 30%.
The points that drove such widespread adoption of conversational interfaces are as follow:
- 24/7 availability is the most highlighted advantage; no matter the time of the day, there is always someone to respond to your queries.
- A multilingual conversation with chatbots is another advantage that puts users in their comfort zone during a conversation.
- AI-powered conversational interfaces enable data-driven conversations that can drive high levels of personalization into interactions. Brands can use conversational interfaces to create a Bot persona that charms the target audience.
Natural Language Processing in Conversational Interfaces
Ever since conversational interfaces became popular, users expect to have more natural, human-like conversations with machines. Roping in artificial intelligence and natural language processing (NLP), technologies have enables natural interactions between the man and the machine. The term natural language refers to human-to-human interaction. NLP is essentially a combination of natural language understanding (NLU) and natural language generation (NLG). Gartner has listed Autonomous things, Augmented Analytics, and AI-driven development as the top 3 technology trends for 2019. Artificial Intelligence is the engine for Autonomous things and AI-driven development. Another key trend — Augmented analytics is based on data science and machine learning. Machine learning encompasses deep learning, neural networks, and natural language processing. The report also mentions that creating intelligent systems that can learn, adapt, and potentially act autonomously is the main battleground for technology providers until the year 2020.
Conversational systems are leveraging on NLP technology to extract key insights from large documents. The application of NLP need not be restricted to conversational AI alone, it can be used by machines to process thousands of documents and summarize the key points. Content summarization systems based on NLP can be used for generating news stories from social media and other data channels.
AI Chatbots — can they replace human resources?
Chatbots are a refreshing new generation of digital assistants that can be used to perform the desired action. These AI-powered chatbots are data-driven answer engines that talk in context-based natural language. AI Chatbots mimic human dialogue to deliver a unique, personalized user experience. If you thought these intelligent assistants could replace human communication — you may be partially right in your assumption because chatbots are excellent in handling routine or repeated queries/ However, for complex queries, you need human resources.
AI Chatbots are essentially computer programs that maintain a conversation with the user in natural language. The building blocks of chatbots are front-end interface, NLP and machine learning unit for understanding intent, and the dialogue management unit. Scripted or rule-based chatbots operate by engaging in questions about user preferences and offers relevant content to their responses. The more the bot converses with the user, the better it gets in offering personalized content. AI Chatbots, on the other hand, is based on the human capability of learning and absorbing information, hence, they are capable of processing information faster and provide more subtle results.
As efficient as chatbots may be, human experience is required in handling uncommon issues. Chatbots can never match up to a human’s emotional depth. Like any other software, chatbots need to be regulated by humans for smooth functioning. Consider the example of Tay AI, the chatbot released by Microsoft via Twitter, posted offensive messages on Twitter, which were later deleted. Chatbots, however, score upon humans when it comes to speed and efficiency in handling repeated and routine tasks. Ideally, the contribution of humans and chatbots should complement each other for the success of a business/brand.
Conversational AI versus Chatbots
According to a Markets and Markets report on Conversational AI, the market is expected to grow from 4.2 billion USD in 2019 to 15.7 billion by 2024, at a CAGR of 30.2%. The report further adds that the principal contributing factors for this growth are increasing demand for AI-powered customer support services, omnichannel deployment, and reduced cost of chatbots development.
Conversational AI is about building meaningful interactions for your brand for truly transformational customer experience.
Chatbots are conversational interfaces that are capable of providing simple, keyword-based responses. Conversational AI is an intuitive conversational interface based on NLP and NLU concepts.
Conversational AI and Chatbots are conversational interfaces with similar capabilities when it comes to customer interaction. However, conversational AI is a data-driven interface with unlimited scalability. It is also a voice-ready interface that can be integrated with voice UI.
Smart Chatbots — the way ahead
The two main domains implementing smart chatbots are B2B and internal. AI Chatbots have disrupted many sectors such as banking and insurance, healthcare, branding, marketing, e-commerce, and more. The possibilities of its application are endless! Multilingual chatbots are becoming increasingly popular in providing superior customer experience. Chatbots are increasingly used as the internal communication system of enterprises — not just for external communications. Chatbots may not be the only definitive way of improving customer experience, but they can be another means of significantly improving the efficiency and responsiveness in customer engagement.
Winimy AI believes that AI is the way forward. All our solutions are driven by artificial intelligence. Together we can empower your business with the power of conversational AI. Reach out to us at email@example.com to know how.