What is Chatbot?

chatbots

The development of new technologies often carries many amenities. Most people quickly get used to the opportunities that new technology gives us. Many forget that only fifty years ago – the same activities, which now do not require any effort, were very time consuming and absorbing. As an example, let us use any mobile device – back in the day scholars needed to search their references in libraries, nowadays a simple smartphone Google search can reveal a sea of knowledge.

For today’s people, using a mobile phone is natural, but it was not always the case. In the past these technologies were new. Today these new products are Chatbots, which, although they have perfectly fitted into the modern world, still not everyone knows what big opportunities it brings. Technology continues to change!

Our daily lives are constantly changing, and technology has a great impact on this. This applies to how we spend our free time, how we order food, listen to music and how we watch TV or do shopping. The changes also apply to how we interact with other people. The letters got replaced by SMSs, and these are even replaced by instant messengers such as Instagram, Messenger or WhatsApp. Even then, the messages are simplified to a string of emoji followed by a random string of acronyms.

In one day, we receive as much data and as many stimuli as our grandmothers throughout our lives. And 90% of the data was created in the last 2 years.

Marr, B. (2018). How Much Data Do We Create Every Day? The Mind-Blowing Stats Everyone Should Read. [online] Forbes. Available at: https://www.forbes.com/sites/bernardmarr/2018/05/21/how-much-data-do-we-create-every-day-the-mind-blowing-stats-everyone-should-read/#1d2a5e2d60ba

It Used To Be Different …

What impact does rapidly changing technology have on our company? Business owners have to face the fact that customers no longer want to wait for an answer, they want to be sure and know the details. Modern customers do not wait, they expect everything here and now. If we were to indicate one of the more impatient groups, these would be young people. That is why it is worth preparing your company well for communication with Millennials who are very aware of their needs. Companies should be able to always respond to them, preferably in the shortest possible time.

It is worth remembering that in 2020 50% and in 2025, already 75% of customers will be Millennials.

Economy, P. (2019). The (Millennial) Workplace of the Future Is Almost Here — These 3 Things Are About to Change Big Time. [online] Inc. Available at: https://www.inc.com/peter-economy/the-millennial-workplace-of-future-is-almost-here-these-3-things-are-about-to-change-big-time.html

The vast majority of young people don’t call – they prefer to send messages; they prefer to use Messenger. 50% expect an immediate response and availability of brands 24 hours a day, 7 days a week.

That is why today’s customers, not only those young, prefer to talk to a virtual assistant than be condemned to search for information on the internet or wait for the hotline. New technologies come in handy, thanks to which we can present our offer in an interesting way, contact our clients and answer every question.

Every day, employers face real challenges, changing expectations of clients and employees, problems with recruiting qualified staff, increasing costs of work and services. The solution to many of these challenges could be an ideal employee. But these don’t exist. Fortunately, Chatbots help us overcome some of these issues.

What Is Chatbot?

Chatbot is a robot, often artificial intelligence, that can communicate with people via the major chat interfaces (Facebook Messenger, Slack, Email, WhatsApp, Viber, Text Messages, etc.). It can talk to several people at the same time and in many languages, with 99.999% availability.

The software can be uploaded to the channel’s facility or on a website. Thanks to this solution, the customer service team gains additional, valuable time. Chatbot works great in small businesses because, even at night, it can answer any questions. As well as in large businesses, because it effectively unloads traffic, and relieves the already overloaded duties of sales assistants.

Although the development of mobile phones allows you to install many applications, most users are not fond of the idea to add extra ‘useless’ app on their phone. Especially if they can use applications that they already know and are used to. The integration of Facebook Messenger with bots was a real revolution in this area. Today, no one is surprised, not only by writing to the bot to order a pizza, but also to learn from the bot about the regulatory dimensions of hand luggage on the plane or about the details of a hotel reservation.

Yesterday And Today…

KONINKLIJKE LUCHTVAART MAATSCHAPPIJ (KLM) ROYAL DUTCH AIRLINES

Bot is a huge improvement especially for companies that have a lot of inquiries – such as airlines, thanks to the possibility of simultaneous and immediate assistance to many clients. KLM is a great example of how people easily unloaded the traditional helpline and started using the bot.

Before the implementation of the automatic assistant, the airline received about 15,000 weekly queries, and in the first month of ‘bot employment’, the number of messages sent by email decreased by 40%. These queries have been sent to Chatbot.

Gutierrez, C. (2018). KLM Handles 2x More Customer Requests with Artificial Intelligence. [online] Altoros. Available at: https://www.altoros.com/blog/klm-handles-2x-more-customer-requests-with-artificial-intelligence
Image Source: The Future according to Facebook: all bots, AI, VR, and live video. (2016). Facebook messenger KLM bot. Available at: https://tapptitude.com/blog/how-facebook-is-changing-our-future-a-review-of-2016-f8/

SEPHORA

Chatbot from Sephora – Kik, is not only a shopping assistant, but also a mine of tips tailored to users’ preferences. Kik asks a number of questions to identify personalized products
choices. After selecting products of interest to the customer, chatbot takes the user to the store’s website to complete the purchase.

Kik helped Sephora use bots to foster 1:1 communication with Gen Z around prom, a key beauty moment for teens. Sephora engaged Helen Phillips, the Sephora Collection National Artist to broadcast a prom makeup tutorial to fans—and answer any questions teens might have—in real-time via Facebook Live. The Facebook Live also featured a social media influencer as the moderator and tutorial subject. The influencer shared the news about the Facebook Live and sweepstakes on her social channels as well. Sephora’s custom prom bot experience helped drive ongoing engagement on Kik as well as viewership of the Facebook Live broadcast.

Kik.com (2016). Sephora uses Kik to engage with teens for prom. [online] Kik. Available at: https://www.kik.com/casestudy/sephora/
Image Source: Sephora Kik. (2016). Sephora. Available at: https://www.kik.com/casestudy/sephora/

DOMINO’S PIZZA

Chatbot can be an assistant in the restaurant industry as well! With over 14,400 pizza restaurants around the world (85 countries), Domino’s Pizza decided to use Chatbot in Facebook Messenger. Chatbot Domino’s Pizza creates a new shopping experience.
To order pizza at Domino’s via chatbot, simply add Domino’s Pizza to your Facebook Messenger contacts. Click ‘PIZZA’ to order pizza from the entire menu via the Facebook application. This is any pizza lover’s dream!

Domino’s introduced Chatbot in 2017 to hit 1 billion active Facebook Messenger users. Chatbot also makes subsequent orders easier by remembering certain information that you don’t need to enter again. It also gives you the ability to track orders.
Domino’s Pizza now allows customers to order from at least 15 platforms, including Google Home, Amazon Alexa, Slack, Facebook, Twitter, Ford Sync, Samsung Smart TV, Smart Watch, Apple Watch, Domino’s Zero Click app, text via emoji, voice message via Domino’s app for Android and iPhone.

This could further boost digital ordering’s contribution to Domino’s sales. The emphasis that Domino’s has placed on technology has given the firm an estimated $4.7 billion annually in global digital sales. In the US alone, more than half of sales have come from digital channels.

Business Insider, I. (2016). You can now order Domino’s pizza through a chatbot on Facebook Messenger. [online] Business Insider. Available at: https://www.businessinsider.com/you-can-now-order-dominos-pizza-through-a-chatbot-on-facebook-messenger-2016-9?r=US&IR=T
Image Source: Domino’s Anyware. (2018). Domino’s Anyware. Available at: https://anyware.dominos.com/

LEGO

Lego also came up with an interesting idea. It is known for a long time that choosing the perfect gift is a real challenge, especially at a time when we have so many options available. Chatbot ‘Ralph’ prepared by this brand may make this selection a bit easier, especially if you are looking for blocks.

At the beginning, the chatbot asks about the age of the person for whom we are looking for a gift, the estimated budget and the topics of interest to the recipient. After a while, we receive several suggestions with links to detailed information and the possibility of making a purchase.

LEGO’s chatbot is available in the UK, US, France, Poland and Germany. Using Facebook’s click-to-Messenger ads, in some of these markets Lego has seen a 6x return on ad spend. The bot also helped LEGO to reduce their cost per conversion by 31% (vs. other conversion-based ads).

Sumo Group, I. (2019). 5 Ecommerce Chatbots (Plus How To Build Your Own In 15 Minutes). [online] Sumo. Available at: https://sumo.com/stories/ecommerce-chatbot-marketing
Image Source: FACEBOOK MESSENGER BOTS The Definitive Guide. (2019). lego. Available at: https://www.maxvancollenburg.com/facebook-messenger-bots/

1-800 FLOWERS

To make it not too boring, at the end I left one of the first Facebook Messenger chatbots. In mid-2009, they offered their Facebook fans to order bouquets of roses directly from Facebook Messenger.

Chatbot 1-800 Flowers – an online florist, allows you to choose and buy flowers and other gifts. Products can be segregated by event type (birthday, anniversary, new baby, etc.), as well as selected among suggested products and other gifts.

Orders are possible directly in the application, without having to enter the company’s vast online store. Thanks to this solution, in urgent cases the ordering time is significantly reduced.

1-800-Flowers.com was an early adopter of internet ordering more than 20 years ago, and has continually invested in the latest technologies to reach newer generations of gift buyers, especially around Valentine’s Day, when many people order floral arrangements for loved ones . Customers can also sign up for email and mobile alerts to receive special deals and limited-time offers, demonstrating how more traditional marketing efforts still resonate with consumers.

Williams, R. (2019). 1-800-Flowers cashes in on conversational commerce, AR for Valentine’s Day. [online] Mobile Marketer. Available at: https://www.mobilemarketer.com/news/1-800-flowers-cashes-in-on-conversational-commerce-ar-for-valentines-day/547187/

Chris McCann, president of 1-800 Flowers, told that over 70 percent of the company’s chatbot orders have been from new customers. As early adopters, these users skew younger than its usual audience.

Caffyn, G. (2016). Two months in: How the 1-800 Flowers Facebook bot is working out. [online] Digiday. Available at: https://digiday.com/marketing/two-months-1-800-flowers-facebook-bot-working/
Image Source: Why Retail Should Start Using Chatbots. (2017). 1800-flowers. Available at: https://rubygarage.org/blog/why-retail-should-use-chatbots

Chatbots are perfect as sales and customer service support for every industry. The above brands are just a few examples of how companies can use intelligent automation to reach their target groups, build brand awareness and trust among customers.

In addition, using chatbots can help you and your company in the following areas:

  • Lead generation
  • Simplification of the customer’s shopping path
  • Increased satisfaction through better customer service
  • The ability to distribute knowledge via messengers
  • Shortening response time
  • Better message targeting

Chatbots Gone Bad

MICROSOFT scored a slip-up with their chatbot Tay based on AI. In 2016, Tay was launched on Twitter, her job was to interact with real people to get to know human behaviour
and reactions. The knowledge acquired in this way was to be used in the future for efficient customer service. However, Twitter users only needed an hour to turn a digital teenager Tay into a monster who hates feminists and is a racist, Hitler fan and supporter of Donald Trump. How quickly Tay changed her face from a loving teenager to a robot who had genocidal tendencies so terrified its creators that after a series of controversial entries Microsoft was forced to turn it off. Only after sixteen hours!

Chinese BABYQ bot created by Turing Robot disappeared from the Internet for describing the Communist Party of China as corrupt and incompetent. The algorithm has been placed QQ messenger – one of the most popular messengers in China, which is used by about 800 million users every month. Like Tay, based on interaction with people, BabyQ was supposed to learn the art of conversation, but was soon turned off due to criticism of the Communist Party of China.

TOOLS

Below I chose applications that allow creating bots without coding. Each of the tools provides an editor that allows you to easily build the logic of our application.

BOTSIFY – www: https://botsify.com

CHATFUEL – www: https://chatfuel.com

CHATCLUB – www: https://chatclub.me

MANYCHAT – www: https://manychat.com

FLOW XO – www: https://flowxo.com

TOMORROW…

Transactional chatbots should become more popular over time, which will allow the customer to make a specific purchase in a given store or extend the selected service. The situation is somewhat different for sales chatbots, in which there are definitely more variables, and an additional challenge is also sharing the service catalogue.

Technological innovations, although we often think they are moving slowly, can have big consequences in the near future. This is also the case for chatbots. Even 20 years ago, the most desirable digital product was the website – today business is increasingly focusing on chatbots. A company that will not use this type of technology solutions may have a problem with competitiveness in a dynamic market. That is why it is worth getting interested in the topic today and starting a new dialogue with the client.

In the near future, Chatbots, using the collected big data, will know about the preferred airport, type of travel, dates, times and means of transport, propose ideas for trips based on weather and price prediction algorithms, match attractions, restaurants (based on knowledge of users diet) and hotel or transport facilities. However, it may not yet cope with sunburn after a day on the beach.

Recent Post

horizontal linie

Categories

horizontal linie

Author

horizontal linie
contact screen

Hello and welcome to LoveArtDesign If you have any questions please contact us and we'll be happy to answer.

contact gear
contact mailopen