Chatbots Becoming the Key Feature of Business Analytics
May 7, 2018
The advancements in the Artificial Intelligence has gained full momentum in the past few years and is continuing at full pace. All of us are familiar with the messaging apps flooded in the market. As a result, billions of users are using these apps. With the increasing popularity of these apps, virtual bots are in huge demand.
Popularly known as chatbots, imitate the human conversation, inferring meaning from them and answering the queries of the users. With the help of chatbots, you can book a table in the restaurant, fix an appointment with your physician or book a taxi. It is estimated that by 2020, the majority of the customer support service will be overtaken by chatbots. As chatbots provide more efficient and cost-effective customer support service. It is a product of artificial intelligence research especially a computer program that replicates the conversation with the human especially over the internet.
Chatbots are created using Artificial Intelligence algorithms. Let us first throw some light on Artificial Intelligence. Artificial Intelligence is the branch of computer science that deals with training the machine to become more intelligent by giving them the power of reasoning, perception, and decision-making ability.
Now the question arises why we should use chatbots? Why have they become so important?Are they worth getting so much hype? Well, let us try to find out the answer by discussing some of its applications in business analytics.
Why use chatbots?
Chatbots are used for one of the following reasons:
- Automated human interaction: Chatbots should be used where there is a need for human interaction.They can easily provide answers to the queries and satisfy customers.
- Entertainment: Chatbots may also be used for the entertainment purposes also. Some chatbots are designed for the entertainment purposes that can crack jokes and be like a friend to you.
- No Breaks: Chatbots do not get tired, so they do not require frequent breaks also.
Now let us have a look at the applications of the chatbots in business analytics:
Better customer support
- Chatbots helps in improving the customer service for the businesses. As we all know that customers are having a lot of queries about your products and services. Chatbots help in effectively handling the customers by answering their queries.
- Moreover, customers don’t have to wait for their queries to be answered. This is because chatbots can handle a number of customers simultaneously.
Round the clock availability
- Imagine an employee that is working 24×7 for you. A chatbot is that employee that can work 24×7 for you.It can answer all your customer questions around the globe, irrespective of the time zone of the customer.
- In this way, it can give a boost to your business by taking care of customers in absence of you. This improves your market value as well as your sales.
Fits your budget
- Businesses require lot customer support executives that can handle clients and answer the queries of clients. This requires a huge investment to hire such large number of employees. Chatbots are cost-effective and do not put a huge burden on your pocket.
- A chatbot is a one-time investment and they are good at returns. Therefore chatbots help in cutting the cost of hiring customer support executives.
Increase response rate
- With the implementation of chatbots, various businesses have experienced a big hike in the response rate of the customers. As earlier, customers have to wait for long time for their queries to be answered.
- In this situation, either the customer gets irritated or will switch to another service which is a huge setback for the business.
Chatbots are replacing apps
- Our smartphones are flooded with apps. Every brand is promoting their apps. With these apps, they are providing all their services to the consumers. But it is not practical to install so many apps on the smartphones. Now users have no solution but to delete them.
- Chatbots have come up with the solutions. Chatbots do not need to be separately installed. They can work with your preinstalled messaging apps. In this way, brands need not invest a huge amount of money in making apps.
Chatbots automates repetitive tasks
- A lot of clients most of the times asks same repetitive queries. Chatbot helps in answering these repetitive queries and that too without getting bored with the human counterpart. Moreover, it saves a lot of human hours that can be used for other useful tasks.
Improve shopping experience
- We have seen how E-commerce business has grown over the past few years.With hundreds of e-commerce websites and billions of products, it becomes very difficult to find a particular product.Well, chatbots have a solution for this also.
- You can tell the chatbot about the product you want and chatbot will take you to the exact product.This saves client’s hours of research and provides the better user experience.
In the end, we can say that chatbots have become an integral part of the business analytics. Chatbots are cost-effective, available 24×7 at customer service and they help in retaining the customers also. Businesses using chatbots have experienced a steep growth in their sales. This further helps in improving customer experience and brand value. Chatbots remain always available to the customers so that they can resolve their queries any time, you do not need to be always online and this is only because of chatbots. This helps in better customer interaction and engagement which indirectly increases the demand from customers.