Gone are those days when the only human-like conversations we used to have with fellow humans. It is 2024 and we are already in the future that we have always talked about. You read that right! We have now set foot in a world where we can actually converse with robots. Now that’s pretty exciting, isn’t it?
According to some, there may come a day when Artificial Intelligence (AI) takes over humans entirely. However, today is not that day. Today, let’s appreciate the blessing that AI is to humanity and dive deep into the advantages of conversational AI-powered next-gen chatbots.
Did you know that the global conversational AI market was worth $7,647.46 million in the year 2022? Also, according to research, by 2028, its value will mostly reach $23,596.48 million. This increase in market value is a result of chatbot evolution.
The evolution of chatbots from the first basic chatbot named ELIZA (1966) to modern chatbots that use advanced Natural Language Processing (NLP) and Machine Learning (ML) is a remarkable victory in the world of technology.
Let’s now discuss how AI powers next gen chatbots and allows engaging real-time conversations.
What are AI-Powered Conversational Chatbots?
AI-powered conversational chatbots use Natural Language Processing (NLP) and Machine Learning (ML) to adapt to human language as quickly as possible. As a result, these chatbots can easily comprehend complex queries and respond to them in an interactive and personalized manner.
According to a report published by Com100, AI chatbots can complete their conversations with customers most of the time, which accounts for 70% of the time. This leads to improved customer satisfaction.
Advantages of AI-powered Next-Gen Chatbots
- Automated Real-Time Customer Service
The thought behind the invention of AI chatbots must have revolved around the need for customer satisfaction. Do you know why? It’s because AI-powered chatbots are advanced enough to be able to interact with customers and provide quick solutions to the issues and queries raised by them. This leads to enhanced customer service.
According to a study, the percentage of customers that prefers AI chatbots over human executives for customer support is 74%. This report is advantageous to business owners as well. Business organizations can now cut down on employees in the customer service department. Instead, they can use AI conversational chatbots to help customers with their queries, problems, and demands.
- Instant And Readily Available Customer Support
Would you like to wait in line for hours till a human employee responds to your query? Definitely, no. Well, the good news is that AI conversational chatbots can provide you with instant customer support. Also, without the need for human staff, companies nowadays provide 24×7 AI-powered customer service. According to research by Oracle, it is predicted that 80% of business organizations may use AI chatbots by 2024.
- Personalized Responses:
The most unique part about conversing with AI chatbots is that these chatbots provide personalized responses. They can help customers with personalized interactions and tailored recommendations based on their needs and preferences.
Wouldn’t you love it when your AI virtual assistant recommends a song, an outfit, a movie, or a restaurant to you according to your interests? Survey Monkey did research by asking 2,201 customers about AI-related customer experience. According to the data, 42% of customers love the product recommendations provided by AI chatbots. However, when it comes to gen Z, 56% of Gen Zers love AI-recommended products.
- Businesses Can Gain Customer Insight:
With the help of Conversation Analysis (CA), business organizations can understand the needs, demands, and behaviors of their customers. As a result, they can gain customer insight simply by analyzing the conversations. This way, they can optimize their products and services to provide a more personalized experience. According to Accenture, approximately 80% of company CEOs have changed or plan to change their customer engagement strategy by incorporating AI-powered chatbots.
- Friendly Conversations:
Are you in need of a 2 AM friend? Well, an AI chatbot can be your friendly acquaintance during the wee hours or at any time of the day. You cannot deny the warm and comforting tone of AI chatbots. ChatGPT and GPT-4 can make you feel like you are having a real conversation with a real friend. These AI chatbots offer personalized interactions and recommendations, be it any topic.
The Bottom Line
The evolution of AI-powered chatbots doesn’t end in 2024. Over the years, AI conversational chatbots will transform customer experience to a level beyond our imagination. Through engaging conversations, AI chatbots have the ability to become our lasting companions and help us simplify our everyday lives and allow businesses to transform the way they engage with their target audience.
