top of page
Writer's pictureChesapeake Group

The rise of Chatbots


Overview:

Chatbot is an artificial intelligence (AI) software that can stimulate a conversation (or a chat) with a user in natural language through messaging applications, websites, mobile apps or through telephone.


One of the driving forces in the automation space has been chatbots. They have changed the landscape of customer communication. Chatbots have progressed from being a buzzword into a functional tool that every marketer is trying to learn, understand and implement for their clients.



Major trends in the chatbot adoption:


Deep customer insights: Chatbots easily store customer data which can be retrieved for proper analysis and business insights. AI helps to automate data collection and performs required analysis to get proper solutions to the queries. A marketing team is required to optimize the chatbot for minimising errors and improving success rate.


Automated call centres: With advancements in Natural Language Understanding, AI voice generation and serverless technology will allow for automated call centres. These centres will have deep domain knowledge and will be online at all times.


Virtual assistants: As users are readily uninstalling apps which are redundant / of no use, chatbots gain advantage in the fact that they can combine multiple apps into one. Chatbots can readily automate business tasks and boost customer experience efficiently while saving costs.


The future of the industry:


According to Juniper Research, chatbots will enable $8bn in cost savings by 2022 while reducing 2.5bn hours of effort required by 2023. The overall market size is expected to be $1.3bn by 2024.


According to research from Gartner, by 2020 85% of the customer interactions will be handled without human agent and by 2021 50% of the enterprises will spend more on chatbots than on mobile applications.


However, the future adaptation of chatbots largely depends on lower costs, growing demand and improved technology.

Comments


Commenting has been turned off.
bottom of page