How to Create a Chatbot in 2021: an Ultimate Guide
Messaging is one of the most popular communication ways worldwide, and more than half of gadget users prefer it. That’s why it is worth to create chatbot — an intelligent solution answering customers' questions or completing simple actions in the chat interface. Making a chatbot is not only for entertainment but also for business. Such a solution provides a better experience for both the customers and entrepreneurs, optimizing routine processes like bill payments or customer support and saving money due to reduced staff loads.
Such world-known companies as Facebook, Amazon, and Starbucks know how to develop chatbots for their businesses, and what about you? Would you like to increase your company income by a bot implementation? To help you in it, we’ve prepared a guide on how to make your own chatbot. You’ll get to know about bot architecture and types, required technologies, and many more.
A Chatbot Marketing Survey
To find out how to create chatbots, let’s understand the essence of a bot. It is a software application used to conduct an on-line chat conversation via text or text-to-speech, in lieu of providing direct contact with a live human agent. It also has promising prospects of growth, according to industry estimates.
Thus, Gartner stated that 70% of employees would create own chatbot by 2022, which comes true even today. In the context of severely limited interactions with customers, post-COVID business required an adequate solution. So, most companies found their way out of restrictions by answering the question how to develop a chatbot or a digital business assistant. That’s why a talkbot market is estimated at $7.7 billion, according to CB Insights’ survey of 2021.
Moreover, the chatbot forecasts are also optimistic. As per Juniper Research, the bot market will grow to more than $110 billion by 2023. But what will help talkbots be so popular? Why will people ask how to make chatbot app more often than ever?
Trends of Chatbot Building
Let's look closer at trends of chatbot building. Firstly, chatbots start being more complicated, upgrading from year to year. Thus, by 2023 they’ll help customers economize about 5 billion hours during the interactions. Considering the IT sphere development, we can forecast that the self-learning bots will be more and more popular. Before you’ll build your own chatbot, you should know the following trends of its creation:
AI (Artificial Intelligence)
NLU (Natural Language Understanding)
NLP (Natural Language Processing)
Such bots will afford the customers to obtain more personal attention, answering their primary questions based on the previously gained experience. Meanwhile, due to the bot communication with customers, the business owners may economize to 30% expenses once needed for client support and obtain an assistant that can work 24/7. Bear in mind that AI can’t totally substitute communication with a living person but amplify their workflow. So, this is also one of the ways to create your own AI chatbot or a rule-based one.
The Essential Benefits of Making a Chatbot
Analyzing the stats given above, you can find out the chatbot perspectives and necessity to invest in its development due to the following benefits.
Chatbot benefits for business
Reasons to build own chatbot for business
Cost-Effectiveness. JPMorgan Chase & Co, one of the most progressive and biggest US banks, has answered how to create AI chatbot, launching the entire automated centers. The bots can perform various actions like providing access to the bank's software or user password reset. Such chatbots can work instead of 140 people, handling about 1,7 million access requests, which is cost-efficient and time-saving.
Availability & simplification. Since a chatbot is available day and night, it helps customers get faster support and even simplifies the trading process. For example, Taco Bell, a US company producing fast food, built TacoBot for sales automation and succeeded in it.
Keen understanding. The people usually find and buy an appropriate product through your company but rarely talk to you. A chatbot implementation can quickly solve this issue. So, the bots can assist you in improving your products and services, providing your company with the recorded insights of the customers' most significant obstacles.
Personalized Services. Chatbots provide an excellent opportunity for personalized interaction with clients throughout the customer lifecycle. Chatbot service offers all sorts of information about a product, provides support, and interacts with the client, offering guidance.
So, you can find out that talkbots are beneficial. It will be a pro argument to build your own chatbot. However, the building process of a complex bot can be challenging, if you don’t know its peculiarities.
A Chatbot Types Differentiation
There are two essential types of chatbots usually distinguished: rule-based solutions and AI ones. Let’s look at them closer, defining how to make your own chatbot and what type it will be.
This kind of chatbot is proper for small companies with particular aims (like a bot answering FAQ). Such bots can follow various scenarios and accomplish many tasks, though they are more straightforward than AI products.
Maybe you’ll ask, “How can I make a chatbot functioning like that?” Thus, you need to know that rule-based bots have a ‘map’ of the conversation using ‘if/then’ logic. It is a list of questions a customer may ask and instructions for the chatbot to respond. This way, such bots can solve the problems they are familiar with.
Rule-based bot benefits:
Optimal development budget
Integration with legacy systems
Possibility to contain and transfer media files
Companies that use rule-based chatbots
Let’s move on with AI chatbots. They are famous for their self-learning possibilities, due to which they not only perceive users’ intentions represented in messages but also analyze them to offer better feedback. So, the more you train them, the more appropriate answers they give.
So, if you’ve got a question on how to build AI chatbot, you should first investigate its benefits:
Data analysis conducted by AI
The customers’ behavior analysis
Companies that know how to make an AI chatbot
Thus, after studying the bot types, let’s answer a reasonable question: how to build chatbot that your business requires? Both the highlighted types have their own set of benefits, and it’s almost impossible to define the best one.
So, making such a difficult choice, you should act due to your business scale. If a small business needs a FAQ chatbot, it would be better to choose a rule-based solution. If you've got a large company that requires a more complicated solution that can make decisions itself, you should develop an AI-based bot.
I need expert advice on chatbot development. For a user, communication with a bot looks like an ordinary correspondence with a real person. This is exactly the effect I want to get. Can you recommend a service that deals with this? What do you think of this company https://owlab.group/services/chatbot-development? Thanks to all.