Chatbots vs Conversational AI: Which is Right for Your Business?

Such accurate and fast replies directly convert more potential customers to make a sale or secure a booking. With conversational AI technology, you get way more versatility in responding to all kinds of customer complaints, inquiries, calls, and marketing efforts. When a conversational AI is properly designed, conversational ai vs chatbot it uses a rich blend of UI/UX, interaction design, psychology, copywriting, and much more. It can give you directions, phone one of your contacts, play your favorite song, and much more. This system recognizes the intent of the query and performs numerous different tasks based on the command that it receives.

AI can also use intent analysis to determine the purpose or goal of messages. For example, if someone writes “I’m looking for a new laptop,” they probably have the intent of buying a laptop. But if someone writes “I just bought a new laptop, and it doesn’t work” they probably have the user intent of seeking customer support.

Never Leave Your Customer Without an Answer

Virtual assistants are another type of conversational AI that can perform tasks for users based on voice or text commands. These can be standalone applications or integrated into other systems, such as customer support chatbots or smart home systems. Conversational AI is different in that it can not only help you with customer service tasks like chatbots but also help you complete longer-running tasks. They can help take care of customer service tasks, such as answering frequently asked questions and providing information about products and services. They are normally integrated with a knowledge database to alleviate human agents from answering simple questions.

That’s because, until recently, most chatbots spit out canned responses and couldn’t deviate from their programming. Thankfully, a new technology called conversational AI promises to make those frustrating experiences a relic of the past. So in this article, let’s take a closer look at what conversational AI is and how it differs vs chatbots. Commercial conversational AI solutions allow you to deliver conversational experiences to your users and customer. You can also use conversational AI platforms to automate customer service or sales tasks, reducing the need for human employees. It can be integrated with a bot or a physical device to provide a more natural way for customers to interact with companies.

Education and human resources

It has fluency in over 135+ languages, allowing you to engage with a diverse global audience effectively. Gaining a clear understanding of these differences is essential in finding the optimal solution for your specific requirements. Conversational AI is a game-changer for customer engagement, introducing a sophisticated way of interaction. It’s an AI system built to assist users by making phone calls for them and handling tasks such as appointment bookings or reservations. In the second scenario above, customers talk about actions your company took and stated what they expect to happen. AI can review orders to see which ones were canceled from the company’s side and haven’t been refunded yet, then provide information about that scenario.

Conversational AI systems can also learn and improve over time, enabling them to handle a wider range of queries and provide more engaging and tailored interactions. Compared to traditional chatbots, conversational AI chatbots offer much higher levels of engagement and accuracy in understanding human language. The ability of these bots to recognize user intent and understand natural languages makes them far superior when it comes to providing personalized customer support experiences. In addition, AI-enabled bots are easily scalable since they learn from interactions, meaning they can grow and improve with each conversation had. Rule-based chatbots rely on predefined patterns and rules, making them effective for handling specific input formats and predictable interactions.

Conversational AI examples

These examples highlight the diverse applications of conversational AI chatbots across industries and use cases. They showcase the power of natural language processing, contextual understanding, and personalized interactions that conversational AI enables. Chatbots are computer programs that imitate human exchanges to provide better experiences for clients. Some work according to pre-determined conversation patterns, while others employ AI and NLP to comprehend user queries and offer automated answers in real-time. But it’s important to understand that not all chatbots are powered by conversational AI. For growing companies, keeping up with an escalating volume of customer service requests can be a real challenge.

• In recent years, conversational AI has become a popular option for many businesses.
• Elisa can be used to answer questions about flights, refunds, or cancellations, check in for flights, and make changes to reservations.
• There are several common scenarios where chatbots and conversational AI are used to enhance customer interactions and streamline business processes.
• Also, it supports many communication channels (including voice, text, and video) and is context-aware—allowing it to understand complex requests involving multiple inputs/outputs.
• It’s all about enabling the machine to analyze the input information to make suggestions and recommendations.
• Companies from fields as diverse as ecommerce and healthcare are using them to assist agents, boost customer satisfaction, and streamline their help desk.

Creating a consistent digital experience is important for building brand loyalty. When expanding to new platforms or markets or merging with another company, this may require some work. Top beauty subscription brand Ipsy used conversational AI to create a unified customer experience when they acquired BoxyCharm — saving around $2.7M a year in service costs and reducing response times by an entire day.