Quick Concepts: Conversational AI

What is Conversational AI?

Conversational AI is a type of artificial intelligence that allows consumers to have human-like interactions with a computer program. These applications are most commonly used in customer service and can be found on websites, social media, and online shops as chatbots or virtual assistants.  

Unlike the more constrained interactions that occur when a person converses with a conventional chatbot, a conversational AI chatbot can address frequently asked questions, fix problems, and even make small talk.

How Does Conversational AI Work?

To understand, respond, and learn from every interaction, conversational AI combines a variety of technologies, including Machine Learning (ML), Automatic Speech Recognition (ASR), Natural Language Processing (NLP), and Advanced Dialog Management. 

The first thing the application does is receive data from the user, either in the form of written or spoken language. ASR, also referred to as voice recognition, is the technology that understands spoken input and converts it into text so that it can be read by a computer. 

The program then has to interpret what the text says. To determine the text’s intended message, it makes use of Natural Language Understanding (NLU), a component of Natural Language Processing (NLP). 

The response is then created by the application based on its analysis of the text’s intent via dialog management. Dialog management coordinates the responses and uses Natural Language Generation (NLG) to transform them into human-understandable language. 

The final element is responsible for teaching and enhancing the application over time. This is referred to as machine learning or reinforcement learning, where the program makes improvements and gains knowledge from each interaction to respond more effectively in the future. 

Top 5 Benefits of Using Conversational AI

1. Save Time 

Using a chatbot or virtual assistant can help you meet everyone’s demands without straining your staff or yourself too much. AI chatbots can handle simple customer support issues, freeing you and your team to handle more complicated ones. Additionally, it shortens wait times at both ends.

2. Make Sales Outside Business Hours 

Conversational AI can help anyone waiting to get a query addressed before completing their checkout because it is always open. It means that transactions happen more quickly and that there is less chance of clients losing interest in their purchase before they make it. 

3. Increase Accessibility 

It’s nearly impossible to be available to your clients every hour of every day, every week. But conversational AI can do just this. A chatbot can handle client inquiries, comments, or complaints immediately, whenever they arise. 

4. Eliminate Language Barriers 

Chatbots and virtual assistants typically include language translation software, which means they can effectively identify, interpret, and speak practically any language. As a result, language limitations need no longer hinder customer service interactions. Multilingual chatbots make your company more friendly and accessible to a larger range of clients. 

5. Help Customers Make Purchasing decisions 

One advantage of machine learning is its capacity to give consumers a personalized experience. For example, a conversational AI platform might suggest products or add-ons to customers that they may not have noticed or thought about before

Get Started Utilizing Conversational AI

From chatbots to virtual assistants, conversational AI products are only as smart as the technology and data behind them. At Innodata, we make sure that you have the right data to accurately bridge conversations between humans and machines. 

Combining our deep understanding of conversational AI data requirements with experienced AI resources and technologies, we deliver high-quality datasets to help train your virtual assistants or chatbots to seamlessly interact, engage and converse with humans. 

Learn more: Conversational AI- The Right Data to Train Your Virtual Assistants and Chatbots to Have the Right Conversations

Conversational AI for Banking

Check Out this Case Study to Learn More
Conversational AI for Banking | Data Annotation Solutions Innodata

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(NASDAQ: INOD) Innodata is a global data engineering company delivering the promise of AI to many of the world’s most prestigious companies. We provide AI-enabled software platforms and managed services for AI data collection/annotation, AI digital transformation, and industry-specific business processes. Our low-code Innodata AI technology platform is at the core of our offerings. In every relationship, we honor our 30+ year legacy delivering the highest quality data and outstanding service to our customers.