Chatbots Overview: Applications, Development & More

The use of chatbots (short for chat robots) is becoming increasingly popular. Inquiries, searches, appointments, information updating, order tracking, booking a table — chatbots can handle it all.

What is a Chatbot?

A chatbot is an AI-powered program that enables human conversations. It uses Natural Language Processing (NLP) in conjunction with machine learning.

NLP algorithms help chatbots to get the context and intent of text or voice queries. Based on its understanding, it replies to users and provides the desired information. On the other hand, ML algorithms help the chatbot learn from user interactions and improve its responses over time.

In some cases, chatbots take further inputs from users to perform the desired task on behalf of the user. For example, if you’re using a chatbot to schedule an appointment with your doctor. First, it will ask you for your doctor’s name. Then it will share available time slots and ask you to select one.

Similarly, there are various chatbot applications across industries, including, but not limited to, healthcare, retail, finance, and education.

What Are Some Chatbot Applications?

Here are some popular chatbot applications:

Customer Support Chatbots

Chatbots help in assisting customers with their queries and problems. They can answer frequently asked questions and even troubleshoot technical issues. Besides this, they offer round-the-clock help to customers.

Using chatbots to offer customer support can significantly reduce costs for the company. It also reduces the workload of the representatives by resolving some of the queries. The representatives can therefore handle the more complex ones.

Healthcare Chatbots

The healthcare industry employs chatbots to provide medical information to patients. Also, to book patient appointments with doctors and give medication reminders.

Sometimes chatbots are linked to fitness devices link smartwatches. So, they keep track of healthcare data and alert the patient in case of an anomaly.

In addition, chatbots can provide mental health support to patients. They help those struggling with anxiety, depression, or other issues.

E-commerce Chatbots

In e-commerce, chatbots assist customers with product inquiries, order tracking, and returns. It saves a lot of time for the customers and boosts satisfaction.

Chatbots can also provide customers with personalized product recommendations. They can remind about pending payments and orders out for delivery.

Education Chatbots

Chatbots provide students with personalized learning experiences. They can provide one on one support by answering questions and explaining topics. Also, they can grade assignments and provide feedback.

Some chatbots can even identify learning gaps and suggest appropriate resources for students. Thus, they improve the efficiency of the learning process.

Banking and Finance Chatbots

Financial chatbots assist customers with basic banking. These include account balance inquiries, transaction history, and money transfers. It saves a lot of time and makes banking easy for customers.

As of today, chatbots use machine learning algorithms to check banking activity. In case of suspicious activity, they alert the customer and help boost security.

How to Build a Chatbot?

Some of the basic steps involved in developing a chatbot are:

1. Define Chatbot’s Purpose

The first step in developing a chatbot is to define its purpose. What problem is the chatbot intended to solve? What tasks will the chatbot perform? A chatbot that is for patients will be different from one that is for students. Thus, defining the chatbot’s purpose helps determine its features and capabilities.

2. Platform Selection

There are several platforms available for chatbot development. These include (but are not limited to) Facebook Messenger, WhatsApp, and Slack. Choose a platform that aligns with the specific chatbot’s purpose and target audience.

3. Design Conversational Flow

The conversational flow refers to the sequence of interactions between the chatbot and the user. Design a conversational flow that is intuitive and user-friendly. Use diagrams and flowcharts to visualize the chatbot’s conversational flow.

4. Develop Backend

The backend is part of the chatbot that processes user inputs and generates responses. Choose a programming language and framework that aligns with your chatbot’s purpose and platform. Use APIs and third-party integrations to enhance the chatbot’s capabilities.

5. Train and Test

Use sample inputs and expected outputs to train and test the chatbot. Use user feedback and analytics to improve the chatbot’s responses and conversational flow.

6. Deploy

After testing, the chatbot is ready to deploy on the chosen platform. Then, promote the chatbot to your target audience so that people start using it. Gather users’ feedback and work on it for simultaneous performance improvements.

What are the Advantages and Disadvantages of Chatbots?

Chatbot AI technology comes with its own benefits and drawbacks. Let’s see the advantages and disadvantages of using chatbots.

Chatbot Advantages

1. 24/7 Availability: Chatbots provide 24/7 support and work tirelessly. Thus, they can significantly improve customer satisfaction and reduce response times.

2. Personalization: Chatbots can provide personalized experiences to users. They can analyze user data and preferences to provide recommendations or respond effectively.

3. Cost-effective: Chatbots automate tasks and can considerably reduce operational costs. They act as a representative and save a lot of human resources.

4. Scalability: Chatbots can handle many conversations simultaneously. Also, they won’t mix one with the other. So they are ideal for large organizations with high customer volumes.

Chatbot Disadvantages

1. Limited Capabilities: Chatbots have limitations to their capabilities. They might not be able to handle complex issues or emotional interactions.

2. Lack of Human Touch: Chatbots are after all trained algorithms. Although a lot of improvements have come, chatbots cannot replicate humans. They imitate the human touch that a customer service representative can provide.

3. Data Privacy Concerns: Chatbots may need access to user data. Some users can find it uncomfortable and raise privacy concerns.

Despite these drawbacks, the benefits of chatbot development outweigh the risks. Chatbots are hence a valuable asset for businesses in today’s digital age.

If you are someone looking for chatbot development services, Anubrain can help you. Our team has expertise in developing chatbots tailored to your business and customers. Get in touch with us today!