Everything You Need to Know About AI Chatbots

In today’s digital era, an increasing number of businesses are using artificial intelligence (AI) to improve their customer service and add value to their services. Chatbot development has evolved tremendously in the past few years, which is why chatbots are now leveraged in a range of different industries such as retail, real estate, events, healthcare, banking, education and much more.

Today’s chatbots can do just about anything from reminding patients to take their medications, to buying airline tickets or even making websites. Different chatbots do different things. They can be built for diverse purposes, which sometimes makes it confusing for people to understand exactly what a chatbot is.

What are AI chatbots?

AI chatbots consist of a set of technologies that allow users to have a conversational experience with a computer program, usually within a messaging app, such as Facebook Messenger or Slack. The technologies used in chatbot solutions include artificial intelligence (AI), machine learning and natural language processing (NLP).

Chatbot technology recognizes natural language and performs the actions that are requested by humans in real time. AI bots are basically virtual assistants that are used in different industries to ensure that the communication between businesses and their stakeholders is efficient, relevant and personalized.

Unlike mobile apps, it is not necessary to download or update chatbot platforms. They don’t take up space and they are active 24 hours a day, 7 days a week.

What is the difference between task-oriented chatbots and AI chatbots?

Most people have interacted with ruled-based chatbots before, usually through live chats on some businesses’ websites. However, they might not know that there are different types of chatbots.

There are some important differences between traditional chatbots and chatbots powered by artificial intelligence. The most striking one being that the latter is able to learn and adapt over time by receiving input.

Rule-based chatbots have limited capacities and are commonly used to collect leads. On the other hand, AI chatbots become smarter over time through experience thanks to machine learning. This means that the more they receive input and are faced with new information, the better they become at understanding language outside of their pre-programmed commands. They are able to interpret the user's intentions and the context of the conversation to respond accurately.

AI chatbots are therefore more conversational, predictive, advanced and data-driven. They are smarter than traditional chatbots. They can be used to perform more complex tasks such as predicting what users are looking for on a web page or offering emotional support to patients. In fact, they have a lot of potential in the treatment of mental illnesses.

How do AI chatbots work?

AI chatbots make it possible for humans and software to interact. If voice is used, Conversational AI platforms convert voice data into text by using automatic speech recognition technology. However, if text is used, the chatbots don’t require this technology.

Once this step is completed, the chatbot analyzes the data received and determines the best possible response that should be delivered to the user. The output can be in the form of written text, text to speech or the chatbot can complete a task.

Language can be hard for humans to understand so for chatbots to be able to do this, they rely on a set of technologies such as:

  • Natural Language processing (NLP). This makes it possible for machines to read and process speech and text, interpret meaning, analyze the sentiment and determine which information is important.
  • Natural Language Understanding (NLU). This helps chatbots understand human language by breaking down what the users say into segments.
  • Natural Language Generation (NLG). This enables machines to produce texts by themselves. For this, systems need to work in a multidisciplinary way and incorporate knowledge from linguistics, engineering, computer science and psychology.

Benefits of AI chatbots

AI chatbots are very popular amongst companies and organizations (government, healthcare, etc.) that have a lot of data because they save them a lot of money and time in the long term.

Here are the main benefits of AI chatbots:

  • They learn and improve over time through experience and information gathering
  • They improve the customer experience
  • They improve customer support
  • They operate 24/7
  • They can complete complex tasks
  • They provide immediate answers
  • They obtain customer data in a friendly way
  • They improve brand image
  • Better lead generation
  • They provide a better understanding of customers
  • Costs savings (salary, customer service, infrastructure, education, etc.)
  • They can be used to automate tasks (scheduling meetings, providing advanced search functionality, etc.)
  • AI chatbots are scalable. They can manage thousands of conversations at the same time.
  • They reduce human errors
  • They understand various languages

Need a chatbot for your business?

Botpress is the leading open-source conversational AI platform on the market. Our solution is secure, flexible and scalable and is designed for enterprise automation. It has been tested by thousands of developers around the world. We keep track of the latest news and research on NLP, NLU and NDU so that you don’t have to. Don’t hesitate to contact us if you wish to have more information about our services.

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