What is Conversational AI? Why Your Business Needs It?

Conversational AI acts as a communication bridge between machines and humans.

Pallavi Jaisinghani

Nov 05 • 4 min read

Conversational AI solutions

Conversational AI acts as a communication bridge between machines and humans.

Customers today demand 

  • Value
  • Convenience
  • Personalised experiences

And with this shift in customer behaviour, it is becoming more and more important for businesses to engage them by providing compelling experiences. 

Conversational AI technologyOrganisations that are quick to understand this paradigm shift are already tapping into high-end technologies such as predictive analysis, augmented reality and the likes. 

If your business too is looking to work on this shift (and you should) you don’t need to go all out as even by implementing a simple software (simple is just a term when it comes to software) you can offer your customers a personalised conversational experience with Conversational AI solutions.

What Is Conversational AI?

Have you ever spoken to Siri or Google Assistant or Amazon Alexa or for that matter, Genie-your virtual travel buddy

Basically, any smart AI-powered assistant; how convenient is it to communicate with them?

AI powered voice assistant

They have the needed information and share it in the simplest way we understand, by talking to us. A simple conversation that gives us the information we require or take us closer to the action that needs to be taken.

And this is all done through conversational AI solutions.

Conversational AI chatbots is an amalgamation of artificial intelligence technologies including machine learning (ML), deep learning (DL), natural language processing (NLP), speech to text, recognition, intent and domain prediction and the likes.

"Using chatbots, voice assistants and messaging apps, conversational AI enables businesses to deliver personalized communication experiences to their users. A type of artificial intelligence, conversational AI acts as a bridge between machines and humans. It uses natural language processing to help software understand the context of what people say and interact with them in the most intuitive way".

Any machine that a person can talk to is powered by conversational AI. This could be a chatbot, a messaging app, a voice assistant, a voice-enabled device, any interactive messaging-enabled interface. Changing the face of human-computer interaction, Genietalk.ai solutions allow people to find support, get recommendations, achieve solutions, make transactions, gather opinions,  and complete context-dependent goals through conversation.

Conversational AI Brings Conversations to Life
Simplifying a request by breaking it into essentials to identify people, actions, objects, conversational AI does all this while interpreting the conversation as a whole. It interprets what the user says within the process of NLP (Natural Language Processing) and based on that meaning, the bot then determines which way to take the conversation.

Where Can You Find Conversational AI? 
Conversational AI-powered bots and assistants are all around us- the assistants in our phones, support desk chatbots, voice-enabled interfaces, and with time, they’re becoming more functional and popular.

AI chatbot using by people

Conversational AI is a global trend 

Reaching CAGR of 30.2%, the conversational AI market size is estimated to grow from $4.2 billion in 2019 to $15.7 billion by 2024. The major drivers of the market growth will include:

  • Increasing demand for AI-powered customer support
  • Omnichannel deployment
  • Reduced costs of chatbot development

Messaging apps marketing is getting amazing traction and a strong reason are these virtual beings. These conversational AI-powered digital assistants are able to be there with quick personalised solutions 24x7x365, automate with that human-in-the-room feel.

According to a survey by Statista, this is how organisations are leveraging conversational AI solutions:

  • 78% use AI chatbots for simple self-service scenarios
  • 77% use bots to assess the type and difficulty of a query before they pass it on to a human agent.
  • 70% use bots to retrieve information for their agents so they can offer recommendations to customers and resolve their queries in quick time.

"Empowering brands to deliver smart and personalised customer experience, genieTalk.ai conversational AI solutions are easy to use and more human-friendly making them a go-to option for customers." 

Besides these straightforward reasons, there are various other reasons for businesses to adopt this intuitive technology.

1. Saves Resources

Allowing for quick responses adds to faster and better customer service. This works really well for customers who are looking for quick solutions to generic queries.

2. Any-time access 

Customers can connect with a chatbot any time of the day via the channel they are comfortable with. 

3. Increases efficiency 

As the operations are automated by a conversational AI solution, it increases both operational and customer support efficiency while lowering customer acquisition costs.

4. Relationship management 

Through personalized, synchronized conversations, brands can holistically manage social media interactions and branding engagements.

5. Customer query pipelining 

Providing important information, answering general queries, addressing complex issues conversational AI solutions can efficiently cater to customer needs taking the load off the staff. 

6. Handles the customer cycle 

Conversational AI-powered chatbots or voice assistants can guide a customer from start to finish, from finding a product to completing the purchase and in between receiving details on purchase information, after-sales information covering the complete loop, there are various advantages of having  conversational ai for sales team.

7. A higher level of intelligence 

The interactions get better with every new conversation as the bot maps your entire journey learning your preferences, your 

8. Reduced cart abandonment rate 

As communication is continuous and across channels, customers are kept engaged. Also, it eliminates the hassle of dealing with support centers.

The Scope of Conversational AI

The use of chatbots and voice assistants is not restricted to any particular industry and the use cases have been widely embraced in 2020. And there is no doubt that it will proliferate in 2021 as well. Any enterprise can take advantage of this technology. 

Build your chatbot in a day

"Connect with our sales team for your personalized GenieTalk.ai conversational AI solutions"

Written by

Pallavi Jaisinghani

Content writer

A reader at heart, a writer by profession, Pallavi with her 9+ years of experience in content is a storyteller at GenieTalk.ai. Besides a penchant for words, she is passionate about music, travelling, food, fitness & fashion.

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