How can AI chatbots improve the customer experience?

How can AI chatbots improve the customer experience?


These days, customers are looking for a way beyond the typical product or service they paid for; they basked for “Experience”. The point is that it is the experience brought by a brand that helps to make the difference in this fierce competition because each supplier offers a good quality of product or service.

With the emergence of chatbots, it is one of the trendiest ways for brands to interact with their customers. High-quality chatbots have become the need of the hour, and companies that have used chatbots have seen positive changes instantly.

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Customer experience is without a doubt one of the biggest game changes these days, and here are some of the stats to prove it:

  1. Research conducted by the 2017 Gartner customer experience in the marketing survey claimed that by the end of 2019, nearly 81% of companies would be competing with each other on the basis of customer experience.
  2. There was an investigation made by Oracle who said 80% of brands plan to use chatbots by the end of 2020.
  3. A study by Ubisent said that 35% of consumers today want to see businesses use chatbots which are seen as an effective way to interact with the public.
  4. A study conducted by PwC asserted that nearly 80% of U.S. consumers believe the key elements of a positive customer experience are speed, knowledgeable help, convenience, and friendly service.
  5. A study by Helpshift, a chatbot developer, said that 94% of the more than 2,000 respondents “dread contacting customer service.”

With technology improving rapidly every day, the old and traditional ways of connecting with customers are becoming obsolete. Today’s customers are impatient and don’t wait for a response for days, if not hours.

They need businesses to respond to them immediately, and that’s where the important role of chatbots comes in.

There are already many big brands like Starbucks, Sephora, Duolingo, etc. which use AI chatbots to communicate with users and resolve their queries. Let’s understand AI and how it helps chatbots improve the experience.

AI chatbots improve the customer experience:

AI Chatbot uses natural language processing (NLP) and machine learning to reproduce human-like dialogues, then learn from those conversations over a period of time.

Their reaction to a similar survey will vary from customer to customer. Building and implementing AI chatbots takes time and effort.

When implemented, chatbots have the potential to help customers in a better way and boost user experience. So, using chatbots has multiple advantages, and the main one is that it saves the high costs of the business.

This is because the staff assigned to chat live with customers will charge 10 times more salary than a company would spend to set up a chatbot.

Here are some of the other main benefits of using an AI chatbot:

1. Live chats

Customers will never feel the difference whether they are chatting with a chatbot or a human. Indeed, chatbots use very natural languages ​​and methods to communicate with customers.

live chat

Chatbots can analyze customer request and then respond accordingly, enabling AI to improve the customer experience. So, it’s not much of a learning curve or a difference for customers, and they can easily enjoy the smooth live chats and get instant responses.

2. Full support

One of the reasons businesses are investing and relying more and more on chatbots is that they provide full support to customers.

Chatbots act as agents available 24/7 for their customers and make it easier for them by responding instantly to all their queries.

With the emergence of chatbots, customers no longer have to wait to converse by email or phone or to raise their issues through different platforms like social networks. A single conversation with the chatbot is enough to resolve its request.

This is why chatbots are preferred for business growth and revenue increase.

3. Smooth travel without any stress

All customers want is an easy buying process, and that’s what chatbots help them with. Chatbots may appear on any of the products to offer additional information in the form of images, text, videos, or coupons to users.

e-commerce journey

Chatbots also help users gather all the relevant information, including what items they plan to purchase, payment method, shipping process, and more.

4. Collecting feedback

For any business, it is essential to collect feedback, and this is an essential task.

It is important for the company to evaluate, to understand what its target audience thinks about the product or service offered by them and whether they enjoy the experience or not. Right now, data is of paramount importance and chatbots help collect the relevant data.

5. Last farewell to IVR

One of the main complaints that customers have with the entire customer service process was about Interactive Voice Response (IVR) systems when calling customers to provide customer support.

interactive voice response

The chatbot is used very similarly to the IVR, but the only difference is that less IVR induced frustration is used.

6. Product accessibility and navigation

Sometimes we have difficulty in navigating and exploring our required product on an online site or in a commercial marketplace.

This is normally the case with stores, especially those with a huge inventory, where it is sometimes difficult to navigate your way through many alternatives and categories.

With chatbots at your service, your customers have to type in the product name, and the bot will help them reach the desired product, making it easier to find.

7. Social media monitoring

For every organization today, having a strong social media presence is of paramount importance. Customers use social media platforms today and businesses are always on the move to get customers’ attention on social media.

social media bot

Chatbots have recently entered the social media space. Chatbots that are used on social networks are known as social chatbots. These chatbots provide automatically generated messages.

End thoughts

Chatbots have proven to get great results. In customer service, chatbots are more than just the wave of the future.

With the high influx of customer support requirements, there is a need for a dedicated support team. There will be costs associated with maintaining such a large team. Thus, chatbots have provided many opportunities for vendors to engage with targeted customers in innovative ways.

Editor’s Note: This article is written by Smith Johnes for Hongkiat. Smith is a content writer who enjoys writing down his understanding and knowledge in a streamlined and engaging way. He is one of the early adopters, likes to keep abreast of the latest trends and technologies.



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