CONVERSATIONAL AI AND CHATBOTS – THE RIGHT FIT FOR YOUR MARKETING MIX

Modern marketing stays up to date with the latest technology to keep improving its form and functions. Apart from AI, social media, and Search Engine Optimization – hosting Chatbots on websites and apps has become extremely popular amongst brands to instantly connect with every visitor. These digital conversationalists, powered by Artificial Intelligence, are revolutionizing the way businesses connect with their audience.

In this article, we explore the transformative potential of marketing with AI chatbots, shedding light on how these digital assistants are reshaping the narrative of customer engagement.

A New Age Conversation

The future is here, and the talk of the town is all about AI and robots! AI-powered robotic software programs – also called bots, can understand human languages, respond instantly, and serve their employers meaningfully. Being greeted by a chatbot as you enter a website is a common occurrence today. Any business which is serious about its customer service employs these prompt popups. Chatbots are the perfect receptionists for your digital store. Seeing a ping from one gives visitors a reassurance that someone is here to help.

Conversational AI vs Chatbots

Chatbots and Conversational AI have come to be used synonymously. Now, as marketers it’s important we know the distinction between the two. Chatbots are simple computer programs capable of simulating human conversations and enhance customer experience. Some are based on predefined conversation flows, while the emerging ones are based on AI and Natural Language Processing (NLP) to understand user questions and generate logical responses.

There are primarily two categories of Chatbots – Rule-based Chatbots and AI Customer Service Chatbots.

Conversational AI is a broader concept that comprises AI-powered communication technology such as chatbots and virtual assistants. Siri and Amazon Alexa are popular examples which use data, machine learning, and NLP to understand vocal and text inputs and mimic human interactions.

One notable example is IKEA – the Swedish furniture giant. IKEA utilizes VR to offer customers a virtual showroom experience, allowing them to explore and interact with furniture in a digital space before making a purchase. This not only enhances the shopping experience but also reduces the likelihood of post-purchase dissatisfaction.

IKEA’s VR showroom isn’t just about convenience; it’s a strategic move. By eliminating physical limitations, they showcase countless furniture combinations without the need for extensive floor space. The idea is that testing furniture arrangements in real-time reduces design mistakes and boosts customer satisfaction, leading to fewer returns and happier customers. Imagine trying a bold couch color virtually before it takes a plunge in your real living room – VR unlocks endless possibilities for confident decor decisions.

Spending on VR technology across the world in 2024 is expected to reach $72.8 billion.

Marketing with AI Chat

Chatbots are popular tools for marketing your products and services. They enhance customer engagement and streamline various processes. Apart from customer interactions, here are some incredible ways where chatbots enhance your business operations, especially from a marketing perspective.

Prompt Customer Service

The best part about AI chatbots is that they can be available 24/7. This means that they have a constant presence on websites, always ready to support anyone who visits at any time of the hour. Most bots are given names and have a personality programed in them. This makes it not so easy to tell if one is chatting with an AI assistant or a human one.

Lead Generation

Chatbots hold a position to initiate and qualify leads by engaging with visitors in real-time conversations. All you have to do is program a form that the bot can have filled in by visitors. Even if they don’t buy at the first visit, you’ve got a solid lead that you can cater to!

Content Delivery

With chatting being the fastest form of communication; a chat window has a natural appeal to internet users. Any news, updates, or interruptions can be relayed to visitors in real time through chatbots. They also enable brands to engage visitors through quizzes, surveys, or polls; making the site/app visit meaningful for both the parties involved.

Recommendations

When operating on e-commerce platforms, chatbots can suggest preferences based on purchase history, and help browsing behavior for a personalized experience. Chatbots with superior learning capabilities can serve as shopping assistants, which is a great benefit for online shopping experiences.

Automated Appointments

Chatbots can schedule visits and meetings to streamline your daily routine, events, or even an entire monthly calendar. This feature can be mighty useful for doctors, lawyers, politicians, and the likes. This feature of immediate availability improves the chances of people booking an appointment right at the first visit.

Surveys & Market Research

Asking questions and recording answers is the bread and butter of Chatbots. They can read and record user preferences and behavior. They are your best avenues to conduct surveys and carry out market research with excellent results.

The Challenges

With constant improvements in artificial intelligence and machine learning, this product is constantly evolving. However, there are some challenges. AI models are thus far trained majorly in English and are not conversational in other languages and dialects. Data storage and its security is another major concern. Conversational AI may also prove to be unresponsive to slang, jargon, and regional dialects, which are all constituents of the entire spectrum of human languages.

There is a long way to go, but the humble and helpful AI Chatbot is here to stay. They’ve been widely used across industries and are expected to only advance their capabilities in the future. How businesses leverage their true potential is for agencies to decide. The scope for creativity is immense and Dust Value is excited for the upcoming changes in this space.