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Rise of the chatbot

For decades, con­sumers have accessed soft­ware, ordered online or searched the inter­net using clicks, touch­es and swipes. These actions have act­ed as a sort of con­ver­sa­tion­al trans­la­tor between our inten­tions and results we desire. Now and mov­ing into the future how­ev­er, that trans­la­tion lay­er is going to dis­solve. Instead of click­ing and swip­ing our way to the out­comes we want, we’ll be able sim­ply to have a con­ver­sa­tion with soft­ware in our own words.

“Con­ver­sa­tion­al inter­faces are going to be a big part of how we inter­act with tech­nol­o­gy in the future,” says Dharmesh Shah, chat­bot expert and co-founder of Hub­Spot, a cus­tomer rela­tion­ship man­age­ment (CRM) and mar­ket­ing soft­ware plat­form that helps com­pa­nies attract vis­i­tors, con­vert leads and ser­vice cus­tomers. “Instead of hav­ing to learn how to use com­pli­cat­ed soft­ware, we’ll just be able to ask ques­tions and the soft­ware will respond.”

This tech­no­log­i­cal leap in how we inter­act with soft­ware is made pos­si­ble by major tech­ni­cal advance­ments in how machines are able to process and under­stand nat­ur­al lan­guage.

“The soft­ware we use is now a lot more capa­ble of under­stand­ing ideas and com­mands in every­day human lan­guage. As a result, chat­bots are becom­ing smarter and eas­i­er to have a con­ver­sa­tion with,” says Mr Shah.

But advance­ments in the tech­nol­o­gy are only one piece of the puz­zle. If bet­ter nat­ur­al lan­guage pro­cess­ing is the fire behind chat­bots, chang­ing con­sumer behav­iour has been the spark. Con­sumers at work and at home have height­ened their expec­ta­tions when it comes to how they inter­act with busi­ness­es. It is an on-demand cul­ture. There is no such thing as “nor­mal busi­ness hours” in a glob­al econ­o­my. Con­sumers expect always-on con­ver­sa­tions with the brands they like and assume busi­ness­es will embrace the plat­forms, apps and forms of com­mu­ni­ca­tion they’re now using.

The best bots don’t just repli­cate what peo­ple could have done on the web or in a mobile app; they offer some unique capa­bil­i­ties that couldn’t eas­i­ly be done before

Recent­ly, mes­sag­ing apps, includ­ing What­sApp, Face­book Mes­sen­ger and iMes­sage, have grown in pop­u­lar­i­ty. Face­book now has more than 1.3 bil­lion users click­ing on Mes­sen­ger every month, with more than half of polled users more like­ly to shop with a busi­ness they can con­tact via a chat app. We’re also see­ing this con­ver­sa­tion­al behav­iour with devices such as Ama­zon Echo and Google Home.

Fur­ther­more, Hub­Spot research found that 40 per cent of respon­dents don’t care if they’re ser­viced by a per­son or an arti­fi­cial intel­li­gence (AI) tool, as long as they get help quick­ly and eas­i­ly. Chat­bots make it easy for cus­tomers to engage with a brand, when­ev­er and wher­ev­er they pre­fer, whether that’s on Face­book Mes­sen­ger, on a company’s web­site or in a mes­sag­ing app.

It’s pre­dict­ed that 85 per cent of all cus­tomer inter­ac­tions will be man­aged with­out the need for human inter­ven­tion by 2020, accord­ing to research by Gart­ner.

“Chat­bots will have an impact on all things involv­ing the cus­tomer expe­ri­ence because, for an increas­ing num­ber of users, they are the eas­i­est and quick­est way to get some­thing done,” explains Mr Shah.

In the not too dis­tant future, cus­tomers can ask a chat­bot “Do you have an office in Lon­don?” For sales, peo­ple could send a mes­sage such as “Do you accept Amer­i­can Express?” or, for oth­er inquiries, “My device is stuck, how do I reboot it?” The pos­si­bil­i­ties are end­less.

“In each of these cas­es, the cus­tomer can sim­ply ask a ques­tion, or make a request with­out nav­i­gat­ing a com­pli­cat­ed web­site or wait­ing on hold on the phone, there­fore sav­ing time and effort.” says Mr Shah.

hubspot chatbot illustrationHub­Spot recent­ly acquired Motion AI, a com­pa­ny which removes the tech­ni­cal bar­ri­er for com­pa­nies that want to build their own chat­bots. Motion AI’s tech­nol­o­gy enables users to build, train and deploy AI robots to do almost any­thing, from book­ing meet­ings and qual­i­fy­ing leads, to run­ning cus­tomer ser­vice chats and diag­nos­ing prob­lems, all with­out need­ing tech­ni­cal skills.

Mr Shah saw a nat­ur­al syn­er­gy between CRM and mar­ket­ing soft­ware such as Hub­Spot and the goal of more nat­ur­al, per­son­alised con­ver­sa­tions with chat­bots. Using a chat­bot with a CRM, a com­pa­ny could add more his­tor­i­cal con­text to each con­ver­sa­tion.

How­ev­er, it’s unre­al­is­tic to assume every mar­keter can cre­ate their own bot from scratch and this is where HubSpot’s acqui­si­tion of Motion AI hits home. The indus­try-lead­ing cross-plat­form tech­nol­o­gy enables any­one to cre­ate a chat­bot for their site, via SMS, on Face­book Mes­sen­ger, Slack and more, with no pro­gram­ming skills required.

Mr Shah has also been work­ing on his own chat­bot, Growth­bot, since April 2016. It’s used by mar­ket­ing and sales pro­fes­sion­als around the world, and now answers 15,000 to 20,000 ques­tions a week.

“The best way to learn about chat­bots is to just try one out. I encour­age peo­ple to just send a mes­sage to @growthbot on Face­book Mes­sen­ger. Even a sim­ple ‘hel­lo’ is suf­fi­cient. You’ll be sur­prised by how easy it is and I think you’ll find it use­ful too,” he says.

There are sev­er­al lessons Mr Shah has dis­cov­ered by devel­op­ing this bot. First­ly, cus­tomers like chat­bots that have a per­son­al­i­ty. Sec­ond­ly, a chat­bot should not pre­tend to be a human as this can ulti­mate­ly lead to dis­ap­point­ment.

“Basi­cal­ly, it’s per­fect­ly fine for a chat­bot to be a chat­bot. The best bots don’t just repli­cate what peo­ple could have done on the web or in a mobile app; they offer some unique capa­bil­i­ties that couldn’t eas­i­ly be done before,” says Mr Shah.

Cus­tomers now expect a tai­lored expe­ri­ence, includ­ing cus­tomised rec­om­men­da­tions and a per­son­al touch. Chat­bots offer a scal­able solu­tion to these demands and com­pa­nies that adapt will be reward­ed with a sig­nif­i­cant com­pet­i­tive advan­tage.

For more infor­ma­tion please vis­it www.hubspot.com