Conversational AI is a commonly used technology across a range of businesses. There are plenty of benefits to investing in this technology for yourself, but first, you need to know exactly what it is.
Even if you’re currently unsure what Conversational AI is, it’s possible you’ve already used it in some capacity, potentially without realising it. However, to get the most out of the tool for your business, we need to first understand what it is.
To help, we’ll explore what Conversational AI is, as well as how it works, practical uses for it, and how you can benefit from it.
What Is Conversational AI?
Conversational AI is a group of tools and technologies that mimic human dialogue to create a smooth, streamlined customer service experience.
While this may sound complicated, they’re actually regularly used. In fact, over half of Australian businesses are now using this technology to better their customer service offering. Whether at home or on a business’s website, you’ll likely have used one of these tools yourself.
A few common examples of conversational AI technologies include:
- Chatbots
- Virtual agents
- Voice agents
- Alexa, Siri, Bixby
You may come across Conversational AI when querying a missing order from companies such as Amazon, Uber Eats, or ASOS. Conversational AI is also often used in doctors' surgeries to manage patients' medical history or allocate appointments.
How Does Conversational AI Work?
Understanding how Conversational AI works can provide you with a deeper knowledge of what it actually is, as well as how it could benefit your business.
Conversational AI uses a combination of processes to function properly, Natural Language Processing (NLP), Natural Language Understanding (NLU), and Machine Learning (ML). In the context of a missing order query, Conversational AI works as such:
- Step 1: The NLP analyses the text input by the customer, identifying words, grammar, syntax, and spelling.
- Step 2: With the text analysed, the NLU focuses on understanding what’s being asked and the goal, as well as extracting any key bits of data (order reference number, shipping date, etc).
- Step 3: Now that it knows the customer’s intent, Conversational AI can then use ML to create an appropriate response to the input text and data.
- Step 4: With the answer formulated, the machine is finally able to transform the internal data into a natural-sounding response for the customer to interact with.
While this may sound like it takes a long time, it’s actually all done seamlessly, generating an answer for the customer in seconds. Conversational AI has a continuous feedback loop, meaning the more it’s used, the better the answers it’s able to give.
Practical Uses of Conversational AI
Conversational AI is commonly used in call centres. However, it can also be used across a wide range of other industries.
For those in call centre customer service, Conversational AI can be used to offer your customers 24-hour support and immediate problem resolution, all while freeing up time for your call centre agents. You can also use this technology in other industries, such as:
- Healthcare
- E-Commerce
- Financial services
- Smart home control
- Social media
- Travel
- Real estate
Most businesses can use Conversational AI to streamline internal processes as well. It’s commonly used for data analysis, HR processes, and to boost productivity, too.
If you want to learn more about how Conversational AI is used in call centres, head over to our blog.
Benefits of Conversational AI
Now you know what Conversational AI is, you might be wondering how exactly you can benefit from it. Well, there are plenty of reasons to invest in this technology for your business.
While investing does include upfront costs, you can save money over time by making Conversational AI part of the everyday structure of your business. From customer experience to internal routine tasks, Conversational AI can benefit all areas of business.
1. Reducing Operating Costs
Implementing Conversational AI isn’t only beneficial for your customers, as it’s also able to reduce the amount of money needed to run your business successfully.
In fact, a recent survey revealed 94% of those already using AI as part of their everyday functions also reported a reduction in their total operating costs.
As this technology helps to remove some stress and time off your call centre operatives, you can cut back on the cost of human hours, while still providing the same - or potentially improved - level of service to your customers.
2. Enabling 24/7 Support
Being able to offer support at any hour of the day or night ensures your customers are always taken care of.
The ability to receive instant support at any time is crucial for customer happiness. Recent reports show that 67% of Australian consumers consider around-the-clock availability, specifically through AI-powered chatbots, to be a key benefit.
Having 24/7 support is especially important for international businesses, as customers in any country can access resources without the need to pay call centre operatives through the night.
3. Providing Faster Resolutions
Ensuring speedy resolutions is not only crucial to creating the best experience for your customers, but it also helps retain your business.
Slow response times or long queues to speak to a call centre operative are off-putting for customers, potentially leading them to drop the call and go elsewhere. Nearly 80% of Australian consumers would consider going to another business if the service was slow or poor.
Implementing Conversational AI ensures your customers are always able to get the response they need, when they need it.
4. Streamlining Routine Queries
If your call centre operatives often field similar customer questions, Conversational AI can automate responses for these routine queries.
By allowing this technology to handle frequent repetitive questions, you create a more streamlined experience for customers while improving your operational efficiency. With agent time freed up, you can re-assign them elsewhere, optimising their workday.
5. Improving Customer Satisfaction
Overall, investing in Conversational AI for your business can help improve your customer satisfaction score (CSAT).
In fact, 55% of Australian companies reported improved CSAT scores as a result of implementing Conversational AI into their day-to-day operations.
With faster response times, a smoother experience, and 24-hour support availability, Conversational AI ensures you can provide the best service to your customers. A better experience means happier customers.
Streamline Your Business With Conversational AI From MaxContact
Investing in Conversational AI is an excellent way to streamline everyday internal processes and improve customer experience.
Here at MaxContact, we offer both Conversational AI and Conversational Voice AI. Our team tailors the service to your specific needs, ensuring you get the most benefit out of your investment.
Get in touch with us today to discuss Conversational AI for your business, as well as book a demo. You can schedule a call with a member of our team over on our contact us page. We look forward to hearing from you.
Discover more about Conversational AI, including benefits, uses, and pricing, over on our website.
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