Chatbots and virtual agents provide a number of benefits, and as technology evolves, they will play an increasingly important role in how companies provide customer service and superior CX. That doesn’t mean they will replace human agents. Rather, they should be viewed as team members handling simpler tasks so that agents can focus on higher-value interactions.<\/p>\n
Consumers already know the value of chatbots and virtual agents. They are effective self-service options that are available 24\/7 and can answer common queries. According to a Drift study, the number one reason people say they would use a chatbot is to get a quick response in an emergency<\/strong>.<\/p>\n Response speed is a key benefit of using chatbots and virtual agents. In fact, Userlike research revealed that 68% of users like that these self-service options are quick to respond<\/strong>.<\/p>\n Despite these similarities, chatbots and virtual agents have key differences that make them standalone solutions<\/strong>. Let’s see what they are.<\/p>\n A chatbot is software that interacts with users according to a set of programmed rules<\/strong>. Unlike virtual agents, chatbots do not use Artificial Intelligence (AI), which limits their capabilities.<\/p>\n Most of us are probably familiar with menu-driven chatbots. When interacting with this type of bot, you typically navigate the conversation by selecting a series of menu options. Hopefully, these lead to a satisfactory resolution, such as an answer to a question. Otherwise, CX-focused brands will make it easy to refer to a customer service agent.<\/p>\n Another type of rule-based chatbot focuses on keywords<\/strong>. They are programmed to identify keywords and get the most probable answer from a knowledge base. This type of bot can be ineffective if users don’t use words you can identify or if keywords have multiple meanings, which may be why Userlike’s research found that 80% of consumers still believe chatbots they have to be smarter to use them regularly<\/strong>.<\/p>\n Despite these limitations, chatbots can provide great CX when programmed well and used appropriately. Rule-based chatbots are good at completing simple and predictable tasks; such as providing password reset instructions or collecting customer information<\/strong>.<\/p>\n A virtual agent is also a program that interacts with users by simulating a human conversation, but unlike chatbots, AI powers it<\/strong>. Artificial Intelligence gives them capabilities beyond a normal chatbot, which means that virtual agents are often capable of handling a wider variety of interactions<\/strong>.<\/p>\n Additionally, virtual agents that use Natural Language Processing (NLP) can create a better customer experience by allowing users to use normal language<\/strong>. This means users don’t need to navigate menus or guess the right keywords. Interacting with a virtual agent is similar to interacting with a virtual assistant like Siri or Alexa.<\/p>\n Machine learning<\/strong> (ML), a form of AI, also gives virtual agents an advantage over chatbots by making them smarter with use. This means they can learn to understand user intent and predict the next question a customer will ask based on follow-up questions users have asked in the past<\/strong>.<\/p>\n Like chatbots, the performance of a virtual agent depends on how it is set up and maintained. Virtual agents using AI need to be \u201ctrained\u201d by consuming large amounts of data, preferably real interactions that have taken place before<\/strong>. This allows the solution to identify patterns that it can use to understand concepts such as user intent.<\/p>\n While it is important to understand the differences between chatbots and virtual agents, it is equally necessary to understand the similar benefits that both can offer.<\/p>\n When designed well and used in the right context, chatbots and virtual agents can be an effective way for customers to manage their own inquiries.<\/p>\n Today’s consumers want to be able to solve their problems and find their answers for themselves<\/strong>. In this sense, the use of self-service is growing substantially. Userlike research revealed that 95% of businesses reported year-over-year growth in self-service requests in 2021, with an overall average increase of 37%<\/strong>. In addition, 81% of users demand more self-service.<\/p>\nWhat Is a Chatbot?<\/strong><\/h3>\n
What Is a Virtual Agent?<\/strong><\/h3>\n
Key Benefits of Chatbots and Virtual Agents<\/strong><\/h3>\n
1) Effective Self-service<\/strong><\/h3>\n