Intro

AI tools like Chat GPT and Gemini have taken the world by storm in the past two years. Their widespread success is credited to conversation AI, which is the foundation of these chatbots. For non-tech-savvy folks, this concept might sound alien. Don't worry; we've got you covered with a detailed walkthrough of what conversation AI is.

What is Conversation AI?

Conversation AI is a technology integrated into machines, chatbots, and software, allowing them to chat and interact with users as naturally as we do. These AI systems can interpret, process our prompts, and return a practical and satisfying answer. 

All are done in a matter of seconds. As such, we can expect them to initiate meaningful dialogues, respond to our questions, and help with our tasks, replacing a lot of human work. 

Technically, conversation AI employs natural language processing (NLP) and machine learning to process human language, decode user queries, and provide tailored and relevant responses. These days, you'll likely see this technology applied in an array of fields, such as customer service, virtual assistants, and other applications where smooth virtual interactions are much needed.

Advanced technologies also generate more user-friendly features, like voice-based answers instead of texts. Some software can now process and reply with videos and pictures, paving the way for a breakthrough in AI.

Conversation AI empowers machines to communicate with humans. Source: Pxhere

Key Components of Conversation AI

Natural Language Processing (NLP)

The core of conversational AI is Natural Language Processing (NLP). This component empowers machines to understand and interpret human language. NLP can not only recognize words but also grasp the meaning, context, and intent behind them. Whether parsing complex sentences or understanding idiomatic expressions, NLP ensures that interactions feel as natural as possible.

Machine Learning

Machine learning functions based on a data-driven approach. Informed by a vast data pool, these algorithms can recognize patterns, adapt to new prompts, and give more tailored responses. 

For example, Facebook can identify the people in a photo and suggest appropriate names for easy tagging. Though there are still mistakes, this improvement results from continuous data collection and analysis, driven by machine learning.

Thanks to this learning process, AI can deliver more accurate responses that resonate with users. That's how AI tools improve their user experience over time.

Text Analysis

Have you ever wondered why AI can imitate your tone of voice so similarly? Text analysis is the answer! This means AI not only understands what we're asking but also digs deeper into the meaning behind it. 

When we input our text prompts, the tool grasps the overall idea of our input. However, it doesn't stop there; it also analyzes sentence structure, context, and how each word relates to others. This process allows it to identify our attitude, viewpoint, and other communication nuances. That's why Chat GPT can return an answer that sounds familiar, like our daily conversations. 

Computer Vision

Computer vision is not always part of conversation AI, but it's a great step up from merely processing text-based prompts. This technology enables AI tools to recognize and analyze images, videos, and other visual data. The ability to reply with photos makes them more convenient and user-friendly for all walks of life.

Speech Recognition

AI systems can not only "see" but also hear and speak! This advanced ability is thanks to speech recognition. As the name suggests, this technology empowers AI to recognize your audio and answer by voice chat. Spoken queries and answers save a lot of time and hassle, especially for the blind.

Benefits of Conversation AI

Lower Customer Service Cost

Until now, conversation AI has been widely employed in the customer service sector for a good reason. Automated call centres are gradually replacing human customer service representatives. They deliver on-time, accurate, and relevant responses to users while reducing labour costs by a great margin. 

Besides common inquiries with prescripted answers, some automated customer service systems can go the extra mile. For example, the omnichannel contact centre by StringeeX can direct customers to appropriate departments to solve their problems promptly. 

Human staff, in the meantime, can spend time on more complex and sensitive issues, ensuring higher customer satisfaction.

Conversational AI can replace customer service agents to some extent. Source: Wiki

Increase Agent Efficiency

Customer service staff is in charge of a heavy workload daily. This includes mundane tasks like data entry or answering questions about services, products, or company policies. 

When receiving many phone calls at once, they might not seamlessly take care of all the customers. That's when AI comes in to assist them in handling these routine tasks without hassle. 

Customers don't have to wait that long because AI will promptly address their concerns, leading to a more positive customer experience.

Easy Scalability

When your business grows or expands to other regions/countries, the need for customer support also escalates. In this case, the limited number of customer service representatives can't handle all the work at their best. This might result in poor customer experience.

AI can fill the shoes of the customer service team and get the job done just right. There is no need to worry about short staffing with an increased workload!

Better Data Collection

Most, if not all, businesses run on a data-driven system, so data collection and analysis are important. AI can help you gather customer data through conversations or surveys. Then, it will interpret the collected data to gain insights into customer behaviour and market trends.

Thanks to this AI-based data collection system, your companies can make more informed decisions for growth.

Are There Any Drawbacks Of Conversation AI?

Conversation AI is not without drawbacks. First, there is a risk of misunderstanding complex queries. AI chatbots can struggle with complex or long questions. And wrong interpretation certainly leads to inaccurate responses. 

Additionally, people use language differently. While some like to use a formal tone, others might use slang. At the end of the day, AI tools are machines. They don't have well-developed brains like humans to understand all the nuances of communication.

Another concern is the reliance on the speed and accuracy of the underlying models. During peak times or when using less efficient models, receiving responses might take longer than expected. Moreover, if this data is outdated or incomplete, chances are chatbots can't provide comprehensive answers. 

Businesses must constantly invest effort in updating these AI systems. It's essential to retrain and adjust the chatbot regularly so that it gives relevant answers. However, maintenance will require a great deal of workload.

Conversation AI still has some drawbacks. Source: Pxhere

Are Conversation AI and Chatbots Similar?

Conversational AI and chatbots are different.

Chatbots are rule-based systems operating on predefined decision trees and if-then statements. They require specific keywords or phrases to trigger the correct response. This makes them less flexible and unable to understand context or intent beyond what they are trained in. This limitation can frustrate users because the answer doesn't relate to their intent.

On the other hand, conversational AI can be considered a more advanced form of AI. The use of NLP and ML helps it understand the intent behind user queries, even if they are phrased differently or lack specific keywords. This allows for more human-like interactions and greater adaptability in responding to customer inquiries.

Conclusion

We hope that you know what conversation AI is now. Simply put, it is an AI technology that enables machines to answer your queries quickly. Their responses can come in text, images, or voice. Conversation AI is a reliable sidekick for your business's customer service. If you don't know how to leverage this, contact StringeeX for help!