Chatbot: What is it, what is it for, advantages and disadvantages
Chatbots are computer applications based on artificial intelligence and aim to simulate conversations with a person.
What is a chatbot?
A chatbot or conversational chat is an online communication tool that allows users to interact with a company or brand through a real-time messaging interface.
They can be integrated into a website, mobile app, or social media platform and are used to provide support, provide information, and resolve customer issues.
From a marketing perspective, conversational chat can be a very valuable tool because it allows companies to establish a more personal connection with customers and offer more efficient customer service.
They can be used to promote products and services, collect customer feedback and suggestions, and measure the success of a marketing campaign.
How do chatbots work?
There are different types of chatbots, and each works in a slightly different way. Below we describe some of the most common types of chatbots:
Rule-based chatbots : These types are programmed to follow a set of specific rules and provide predetermined responses based on what the user says. For example, if a user asks what the weather is like, the chatbot can respond with the current weather forecast.
Machine learning-based chatbots : These use machine learning algorithms to analyze user messages and provide appropriate responses. As machine learning-based chatbots receive more messages, they can improve their ability to understand and respond more accurately.
Deep learning-based chatbots : Deep learning-based chatbots use artificial neural networks to process and analyze user messages. These chatbots can be especially effective for complex tasks such as natural language processing and speech recognition.
The new ChatGPT
ChatGPT is the new tool developed and trained by OpenAI. In recent weeks it has been trending due to the great naturalness of its responses, as well as its ability to understand and follow instructions at all times. Currently it is possible to create poems, songs, essays or even programming lines with it.
However, its limitation is the lack of internet connection, which is why it often says that it cannot resolve our question.
How effective are chatbots?
Chatbots can be a very effective tool for marketing, allowing businesses to establish a more personal connection with customers and offer more efficient customer service. Some of the ways chatbots can be useful for marketing include:
Provide information and assistance : Provide information about products and services to customers and help them find what they need. This can be especially useful for companies that have a broad catalog of products and services.
Collect feedback and suggestions : Use surveys and open-ended questions to collect feedback and suggestions from customers.
Offer promotions and deals : You can send promotions and special offers to customers to encourage the sale of products and services.
Measuring the success of a marketing campaign: Chatbots can collect data about customer interactions and provide reports on the success of a marketing campaign.
What problems can chatbots solve?
Many people may be using this type of technology, but the truth is that this is not always the answer. To know when it is important to implement this tool within your company, you should take into account the following:
- Customer service . The company may be one of the most recognized for customer service . However, once congestion problems arise, it is best to resort to technology.
- The buying and selling processes . This is an arduous task where humans can make mistakes.
On the other hand, if there is no problem, but rather you are looking to improve the company, a chatbot could work. In fact, they have become the answer when it comes to implementing strategies that allow:
- Improve communication between the company and the customer through social networks and websites authorized by the company.
- Explain how the products offered work.
- Respond to customer emails.
- Implement personalized care services.
- Accessibility with the client when speaking their native language (this if language software is added).
In addition, another thing that must be taken into account is that the world is moving quickly and people are leaving their lives in charge of technology.
It is no secret that cell phones are the fastest and most effective way to communicate with the world. For this reason, implementing software that allows you to talk to your customer via their cell phone is a great strategy.
Advantages of chatbots
Some of the benefits that can be obtained through the implementation of a chatbot would be:
Immediate responses
Because it is an AI-based software, the company's data will be stored in its system. Because of this, any questions that a potential customer may have can be answered immediately.
Get information quickly
Just as the bot will be responsible for providing information, it will also be able to ask the client for data in a friendly manner.
Improve the company's image
As already mentioned, technology is the key to the new world. Once the company starts implementing software that allows customers to communicate effectively from the community of their electronic devices, the company's image will improve.
In short, these are some of the advantages that have been highlighted by those who have already implemented the tool within their facilities.
Disadvantages of chatbots
As for the disadvantages that can come with using a chatbot, the following are the most notable:
They can leave questions unanswered
In short, a chatbot does not 100% replace a human, so when answering some questions, it could make mistakes or not have an answer. Although it is rare, there are very demanding customers who want to know even the smallest detail.
They have limits
Remember that this is software that needs to be constantly updated. In other words, a chatbot will be excellent at performing the tasks it is programmed to do. However, if something comes along that its system does not recognize, it will not know what to do or how to respond.
They don't work in all cases
It's not that they don't work, but that they have limitations in sensitive work. For example, in the medical field, a chatbot can respond to what is stored in its system. However, if it is an emergency, the company must clarify the limitations.
Although these are not all the advantages and disadvantages that the tool can present, they are the ones that stand out the most. Now, deciding whether or not to implement a chatbot within companies will be up to their owners.
3 tools to create a chatbot
If you want to create chatbots for your business, you have several options available. Some of the tools you can use are:
Chatfuel – A tool that lets you create chatbots for Facebook Messenger or Instagram quickly and easily, without having to know how to code. You can choose from different templates or create your own chatbot with an intuitive drag-and-drop interface.
Livebeep – A platform that offers you various features to manage your online business, such as live chat, email marketing, SMS, and chatbots. You can connect your chatbot with different platforms such as WordPress, Google Ads, and Facebook Ads, and get detailed reports on your users’ behavior.
Flow OX – A service that helps you build chatbots with AI and natural language processing, without having to write code. You can create workflows and integrate them with cloud-based apps like YouTube, GitHub, Trello, Salesforce, and Twitter.
How to create a chatbot for your company?
Before deciding whether you need a chatbot and how to implement it, it is important for the company to consider the following aspects:
Business needs : What do you want to use the chatbot for? What are the needs of the business and how can a chatbot help meet them? It is important to have a clear idea of how the chatbot will fit into the business and what benefits it can provide.
Chatbot Type : There are different types of conversational chats available, and each is better suited for certain purposes. For example, rule-based chatbots are suitable for providing specific information and following a set of predefined rules, while chatbots based on machine learning or deep learning are better suited for complex tasks such as natural language processing.
Deployment Platform : Where do you want to deploy the chatbot? On a website, mobile app, or social media platform? It’s important to consider the deployment platform to ensure the chatbot works properly and is easy for customers to use.
Design and content : What do you want your chatbot to look like and what kind of content do you want to include? It’s important to consider the design and content of your chatbot to ensure it’s engaging and easy for customers to use.
Once these aspects have been taken into account, the following are the steps that a company can follow to implement a chatbot:
Select a chatbot platform : There are several chatbot platforms available, and each has its own advantages and disadvantages. One of the most popular is Hubspot.
Design the chatbot : Design the chatbot with the purpose and target audience in mind. Make sure the chatbot has an attractive and user-friendly design and includes the right content to meet the needs of the customers.
Develop the chatbot : Use the selected chatbot platform to develop the chatbot.
Written by Moises Hamui Abadi : I am an entrepreneur, founding partner of Viceversa and SoyMacho. After leading several digital businesses and advising several other businesses, I decided to form MHA Consulting, a digital marketing consultancy dedicated to growing and empowering digital businesses in more than 7 countries and generating more than 1,500 million pesos.
If you want more information on this topic or are looking for other options to profile your ideal client, you will find the solution you need at MHA. Schedule a call.