Cost-Effective: One customer representative can only handle one customer at a time, whereas a bot can handle multiple customers at a given time, hence it is a huge cost saving for a company.Enhanced Customer Satisfaction: All the points mentioned above will improve customer satisfaction which in turn will increase the retention rate of customers.Programmability: Customers can utilize AI chatbots to arrange meetings, set reminders, and assist in advance search functionalities on a regular basis which a customer service representative cannot do.Endless Patience: There is a high chance of customer service representatives losing patience while on a long conversation, bots are machines that are yet incapable of being impatient.Bots help customers to do simple and instant transactions – some of the bots allow customers to transfer money, book hotel rooms, buy train tickets, and more.

Instant Transactions: Customers these days want instant transactions and are not willing to wait in a long quest with the technology in hand.

But when chatting with the AI Chatbots, customers can take a screenshot of the conversation for future reference.

To record the conversation: While talking to a customer service representative the customers don’t have the privilege to record what they speak, and most customers don’t like their calls being recorded from the company’s side.

But an AI Chatbot can provide a steady response to the same query when asked multiple times.

Steady Responses: The customer has no assurance that all the reps would provide the same responses to a query, hence there is a tendency to call back to confirm with the other reps.

But, Chatbots solve this issue instantly.

Instant Answers: No matter how many customer service representatives are available to respond, there are instances when the traffic is huge – it becomes a problem to address their queries, hence there is a waiting time to respond.Hence companies need to ensure the availability of alternate bots that can replace during the maintenance period. 24/7 Support: While this can be considered as a certain benefit to customers, this becomes a challenge when bots are down due to maintenance or security issues.Hence, bots have become a sensation in providing a better customer experience in the recent past.

The reason to mention benefits to customers first is that anything that benefits customers is a direct benefit to companies, as it can deliver better customer service. Related Read: Benefits of AI Chatbots to Companies On that note, let’s find out how AI chatbots are useful in creating a better customer experience that is beneficial to both customers and companies. The belief that Artificial Intelligence (AI) Chatbots are the next big thing in Customer Service, Marketing is widespread among companies. For instance, in countries like the US, Legal chatbots are built where it helps you to file appeals again traffic violations. The good news about chatbots is that it is being looked upon as a welcome kit across various industries and just not technology-driven companies. When a text (both written and spoken) is presented to a chatbot by the user, it undergoes a process called “Parsing” in which the bots make a series of algorithms that interprets (decodes) and identify what the user means and/or want, and provide appropriate responses based on the information gathered. How do chatbots work?Ĭhatbots are built on processes called Natural Language Processing (NLP), Machine Learning, and Deep Learning. Some of the popular chatbots that are in use for virtual assistants are Alexa for Amazon Services, Siri for Apple Inc, Cortana for Microsoft Inc, and Google Assistant for Google Inc. In the next two years, there were about 100,000 bots available in the market, with multiple features that address almost 1.3 billion users. Soon, Chatbot was considered as the next stage of the communication revolution and many technology-based companies came with their bots to capture the new-found market. Any technology that has a futuristic viewpoint will have good reception among the technology experts, in similar lines, the craze for AI chatbots began in the year 2016 when Facebook announced a developer-friendly platform to build chatbots on Facebook Messenger. It is observed that Artificial Intelligence (AI) bots and Robotic Process Automation (RPA), are the trending topics for quite some time.

Ai customer service chatbot algorithm