The Future of Chatbots: How Conversational AI Presents Game-Changing Opportunities
Artificial intelligence doesn’t just exist in the world of science fiction anymore. As this revolutionary technology continues to advance, so will many parts of everyday life and how we interact with digital cyberspace.
In 2020, Analysts reported an estimated global chatbot market size of US$430.9 million and expect the market to expand at a compound annual growth rate (CAGR) of 24.9% by 2028. One of the biggest drivers of this growth is the rapidly increasing adoption of customer service activities among online enterprises and e-commerce businesses to reduce operating costs.
As more people gravitate towards online shopping, digital business transactions, and overall digital integration into everyday life, businesses will feel more pressure to upgrade their chatbot technology if they want to stay ahead of the game, consumer trends, and more.
The Chatbots of the Past
Chatbots, at their most basic level, are interactive platforms developed using either a set of rules or more recently, artificial intelligence (AI) technology.
The function of chatbots is simple. They are designed to interact with humans through messaging and textual conversation processes to help troubleshoot technical problems, answer questions, and aid in site navigation across various sectors.
Some current chatbots still exist in relatively technological infancy. Using built-in scripts to display an illusion of intelligence in answering user questions has led to increasingly frustrating problems that demand more complex solutions.
While older chatbot builders were designed to simply imitate human interaction, they are limited in their ability to capture the nuances of human conversation and provide the value-added scope of what chatbots can do for customers and users everywhere. But that’s where conversational AI comes in.
The Chatbots of the Future
The first generation of chatbots served a useful purpose in making customer service more accessible. However, their technological limitations and inability to handle complex human language, intents, and other aspects of communication have paved the way for conversational AI.
Through innovations like the third generation of Generative Pre-Trained Transformer or GPT-3, chatbot developers are using internet data to generate numerous types of text. Deep learning neural networks opposed to set scripts allow conversational AI to encompass billions of machine learning parameters that have users thinking they are speaking to a real human.
Frontrunners in this space include companies like Tangentia, which provide businesses the industry expertise in automation and chatbot builders that integrate complex technological functions. The TiA Chatbot is a conversational AI chatbot that forms a core part of the Tangentia Intelligent Automation (TiA) platform. Combining intelligent voice capabilities, analytics, and reporting dashboards, RPA integration, and more, this chatbot offers customer service of the future.
Additionally, markets like intelligent virtual assistants (VA) also have been increasing their reach for AI technology and AI-powered chatbots. Like consumer-focused enterprises, conversational AI makes it possible for each student to individualize their on-campus and academic experiences.
The increased accessibility, personalization capabilities, and language comprehension using this technology have completely changed the game of VA and the future of chatbots.
What Enhanced Conversational AI Means for the Customer Experience
With conversational AI chatbot technology advancing quickly, its improvement and innovation benefit both consumers and enterprises. Investment in this technology helps give digitally-driven businesses a leg up on the competition and provides more intuitive and user-friendly functionality for consumers seeking solutions to simple and complex problems.
Here are just a few of the key benefits of conversational AI chatbots:
Customers Get Answers Faster
Chatbots use popular phrases and searches to generate answers that consumers need to obtain. Using aggregated data from each user, conversational AI builds on its bank of phrases and keywords to develop faster responses and more understanding of the nuances in language and communication. When consumers expect perfection in the age of digital automation, conversational AI chatbots push businesses and companies closer to 100%.
Increase Personalization of the Customer Experience
Current, simple script chatbots function well in deflecting straightforward, commonly asked questions that have an obvious response.
However, when more complicated problems arise, they fall short. Investing in more intuitive and complex chatbot technology integrates with other business systems to create a more streamlined customer experience. Without the need to cycle through a list of relevant words, conversational AI gets customers where they want to go more effectively.
Smarter Chatbots Means Enhanced Customer Satisfaction
The biggest economic upside to conversational AI-driven chatbots is that they learn. As they bank customer interaction information over time, they’ll continually analyze that data and turn it into meaningful insights. Learning how humans use language and alternative communication styles keeps track of what works and what doesn’t in each interaction they have.
Every interaction is more data businesses and companies can use to create a more efficient and user-friendly chatbot. As the e-commerce market continues to rapidly expand every day, making sure potential customers find the solutions they need when they need it can make or break a sale, or determine if consumers continue coming back to your site.
Get the Competitive Edge With Conversational AI Chatbots
As digital transformations continue to advance, it has become harder to ignore how consequential the chatbot industry’s role is in dictating how businesses and consumers interact.
Chatbots hold the keys to the potential success your business has in the online marketplace. As the future of Artificial Intelligence, conversational AI creates a distinct personality that feels more natural in how it speaks.
Chatbot development helps businesses take extremely valuable data from traffic already feeding through business pages, and uses them to create customer service that works. In a type of Turing Test, customers get a more fluid back-and-forth instead of the traditional robotic response that can be frustrating to navigate. At the end of the day, customers want the perfect answer instantaneously and conversational AI chatbots create a future where that is possible.
Work With Professionals Who Know Digital Transformation Best
It's up to businesses and companies to consider the necessities of chatbots when building their e-commerce presence. However, without innovation in the digital age, businesses may get left behind.
Working with Tangentia can give your chatbot that competitive edge with conversational AI and innovative chatbot building. As an industry leader in Agile Digital Transformation for Automation, B2B, chatbot building, we work directly with businesses of all sizes to achieve simple solutions to complex technological tasks.
Contact Tangentia today for more information and to schedule a POC on building a conversational AI-powered chatbot that will take your customer service experience to the next level.