Defining Conversational AI

A Definition

Conversational AI is a process that allows computers to answer customer inquiries in a human-like manner. It is powered by machine learning, a technology long designed to proactively learn human processes quickly and more efficiently. A clear and easy example of conversational AI would be what is generally referred to as Chatbots or Answerbots.

  • Automatic Speech Recognition
  • Natural Language Processing
  • Advanced Dialogue Management
  • Machine learning
  • Noise Cancelling AI

A quick history of Artificial Intelligence


It’s fascinating how we got to where we are now with regards to artificial intelligence, especially when we look back at how far back it was hypothesized. In the 1950s Alan Turing, a British scientist, came out with a hypothesis that someday computer programs would have the ability to interact with human beings. He published his popular article, ‘Computing Machinery and Intelligence’ which starts with the question “Can machines think?”

Sample companies who have adopted AI


Ford, IBM, and HSBC are just a few of the biggest names who have come around to adopting conversational AI as part of their customer service efforts. IBM, HSBC, and Citibank use LivePerson, a global technology company that develops conversational commerce and AI software.

What are the benefits of Conversational AI?


Artificial intelligence was designed to recognize human processes and behaviors and to convert this knowledge into automated processes. In a contact center context, this yields benefits for both the business and the customer! Let’s have a look at some of them:

    1. Better and quicker customer resolution. With the customer service industry putting more focus on the customer experience, utilizing any technology that leads to faster customer resolution is always helpful. AI basically gathers all necessary information that a customer enters and uses it in the most optimal way possible, leading to a quicker customer journey.
    2. More efficient and accurate interactions. Conversational AI works by using the customer’s speech and text inputs and matches them with the best solutions on your database. A simpler example would be the following: say a customer wants to check on the status of an order, she can simply input her order number and she’s automatically directed to the right department. This saves her from being transferred around queues, and allocates the contact center’s resources better.
    3. Optimization of your team. With an answerbot or chatbot integration, customers can simply input the necessary information required from them and they are offered the best solutions available. This creates a call deflection. If they want to talk to an agent, they always can. but the fact that they can be offered self-service solutions deflects calls and leaves your agents free to handle more pressing matters.
    4. Less Operational Costs. When your contact center agents are optimized in their roles, you are saved from having to employ more. This keeps your overhead operational costs low, while offering all the other benefits of accuracy and efficiency. AI is available to offer more solutions while saving you from having to support more agents, justifying the cost of investment.



Conversational AI is really changing the industry in all the right ways. Contact centers have most to gain from it, thereby making the adaption of the technology a top priority! Google is paving the way with its very own Dialoglow, a framework that is designed to enable interaction between humans and computers using NLP or Natural Language Processing. This is a big step for the industry, and for the adoption of artificial intelligence as a whole.

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