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What exactly is conversational AI? Find Out Here

Conversational artificial intelligence is an umbrella term that describes various methods of creating computer systems that can engage in human-like conversations. For computer systems to simulate human conversations, conversational artificial intelligence combines various technologies, including machine learning (ML), natural language processing (NLP), and natural language understanding (NLU).

Since the dawn of conversational artificial intelligence, it has had one goal: to enable computers to engage in natural-sounding conversations with humans. Below, we explain everything you need to know about conversational artificial intelligence and discuss its importance in today’s business world.

How does conversational artificial intelligence work?

Now that you know what conversational AI is, it is time to learn how it works. Conversational artificial intelligence (AI) uses natural language processing to correct spellings, interpret grammar, identify synonyms, identify sentiments, and break down a request into words and sentences that a virtual agent can understand.

After preparing a request using natural language processing, natural language understanding (a combination of machine learning and deep learning models) takes over. It allows conversational AI to understand the intent behind a request and gather other important information, which it uses to generate additional actions, such as providing contextual information.

After understanding the request, conversational AI combines natural language understanding with conversational flows to respond appropriately to a customer. It does so in a conversational manner, making the customer feel like they are interacting with a human: not a machine.

Why do businesses need conversational AI?

As a business owner in the twenty-first century, you need to invest in conversational artificial intelligence. Conversational artificial intelligence has become important for businesses, especially over the past few years, due to its ability to:

  • Provide Round-the-Clock Customer Service

Businesses can use conversational AI to provide round-the-clock customer service through virtual assistants and chatbots. By doing so, these businesses can easily handle large volumes of support requests and customer inquiries.

  • Personalize Customer Experiences

Businesses can personalize customer experiences by using conversational AI algorithms, which use natural language processing to identify the intent of a customer request and provide the most appropriate recommendations.

  • Create Accessible Interfaces

To cater to differently-abled individuals, businesses use conversational AI to create accessible interfaces for these individuals. Businesses also use conversational AI to create accessible interfaces for individuals who cannot use traditional interfaces because of limited technology skills or low literacy skills.

What value does conversational AI add to businesses?

For starters, conversational AI augments human support. Human customer service agents perform better when they harness the power of conversational AI, resolving more cases and responding to more customers.

Secondly, conversational AI reduces customer wait times. It helps human customer service agents work faster by automating customer interactions and enabling support staff to address issues promptly.

Thirdly, conversational AI provides better customer experiences. Many customers prefer interacting with customer care agents via direct messaging because it is simple and faster to do so. With conversational artificial intelligence, customers can interact with agents using their preferred method (direct text or speech) and have their issues resolved in no time.

Leverage Conversational AI for Your Business

Conversational AI is changing how humans and machines interact. But that’s not all! It is also making waves in the business world by adding value to business operations and enhancing how businesses provide services to customers. If you have not yet done so, invest in conversational artificial intelligence today and enjoy the many benefits it has to offer you, your business, and your customers.

IEMLabs is an ISO 27001:2013 and ISO 9001:2015 certified company, we are also a proud member of EC Council, NASSCOM, Data Security Council of India (DSCI), Indian Chamber of Commerce (ICC), U.S. Chamber of Commerce, and Confederation of Indian Industry (CII). The company was established in 2016 with a vision in mind to provide Cyber Security to the digital world and make them Hack Proof. The question is why are we suddenly talking about Cyber Security and all this stuff? With the development of technology, more and more companies are shifting their business to Digital World which is resulting in the increase in Cyber Crimes.


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