5 Reasons Why Chatbots Are Done For Good

Original article was published by Kim del Fierro on Artificial Intelligence on Medium

5 Reasons Why Chatbots Are Done For Good

Did you know that in 2019 alone, over 90 percent of all chatbot implementations failed? Despite this, many business leaders still think having a chatbot is essential for business. There are good reasons why that is so, since goals such as reducing support costs, improving response times, and pleasing customers must be accomplished.

There are many reasons why chatbots are failing, but one that stands out is the lack of critical data science expertise. Small to mid-size businesses can’t invest in AI on the scale of big companies like Facebook or Google. So, it’s not surprising that the number of organizations attempting to use chatbots has reduced to 10% this year from 40% in 2019.

Before you decide whether you should try to implement chatbots on your company’s website, take a look at these five reasons why they are failing:

1. Limited Chatbot Intelligence

There are two types of chatbots: rule-based and conversational AI-based chatbots. For rule-based chatbots, there is a list of rules or answers set in advance. This list determines how the chatbot responds to varied requests and is scripted, based on supervised guided flows. The user searches for a specific keyword, and if found, the answer will be displayed. However, if there is no pre-determined answer, a rule-based chatbot will be unable to answer the question.

The situation with AI-powered chatbots is a bit different. Although established with an initial set of rules, they can learn from every interaction with a customer and improve the quality of their answers. AI-powered chatbots leverage Unsupervised Conversational AI to provide unscripted conversational experiences to users. Conversational AI is now replacing rule-based chatbots providing a flexible and scalable solution that makes a better investment in the long run as businesses modernize service experience to users.

2. Over Use of Chatbots

Almost every company with a website wants to use chatbots, but that doesn’t mean they need it. Chatbots are usually limited to answer a short set of standardized questions before they collect your information or pass you over to a human support agent. They are not suitable for complicated customer problems or unique individual complaints. The limitations of chatbots dependent on supervised guided flows or decision-trees lead to frustrated users looking for quick resolutions to their problems.

3. Lack of Transparency

When businesses use chatbots, they should be transparent about it. There is nothing more frustrating than thinking you’re talking with a human employee just to discover that it’s actually a bot. This false expectation can hurt your brand and your customer experience. To avoid this, specify from the beginning that you’re using a bot in your communication.

4. There is No Clear Scope

Chatbots automatically try to solve problems for anyone who interacts with them, which can cause more problems than it solves. A chatbot has to have a clear scope of the topics and use cases it can cover. If a bot tries to solve a problem or answer a question around multiple issues, it won’t provide a good user experience.

5. Chatbots Lack of Analysis Functions

Many companies are not aware that chatbots, like any other software, require continuous analysis and a structured process. Once you launch a chatbot, you can’t assume that your work is done. It’s just starting. You must continuously analyze the available data, such as usage statistics, conversation protocols, and user surveys, and implement new and appropriate measures for improvement. Conversational AI virtual assistants differ from this process, for they have the capacity to self-learn using unsupervised natural language processing (NLP), natural language understanding (NLU), and natural language generation (NLG) to adjust autonomously in a conversational manner to auto-resolve customer needs.

Key Takeaway

The overall consensus among chatbot users is that they are a dying digital service. According to eGain, chatbots have managed to rank the lowest in customer satisfaction during the Coronavirus outbreak. But, with the proper AI Service Management (AISM) solution, you can avoid such pitfalls.

Redefine your employee and customer experience with the world’s first AI-driven service desk. An AI Service Desk dramatically transforms support experiences by delivering self-help to users, enabling them to auto-resolve support requests using Conversational AI and Conversational RPA. Now, businesses can digitally accelerate user self-service leveraging their existing ticketing, enterprise applications, knowledge bases, and chat systems. Visit Aisera to learn more or request a demo.