The Chatbot: Your Digital Friend and Helper

In this article, you will learn what a Chatbot is, how it works, and what advantages a Chatbot brings to you.

Table of contents
  1. What are chatbots?
  2. How do chatbots work?
  3. What are the benefits of using chatbots?
  4. What are the possible uses for chatbots?
  5. How do I create or program a chatbot?
  6. What chatbot software is there?

Whether it's Fritz-Bot, Chat-Butler, or Chatty-Chat-Botty-Bot, they're all talking about one thing: the chatbot. But what exactly is a chatbot? And how does it work? We'll tell you all this and much more about the new digital employee.

Conversations about products or services are increasingly taking place in the context of chats. Hardly anyone uses the telephone service hotline anymore and agrees to hang on hold for an eternity. The chat function offers an attractive alternative here. But while a few years ago "human" employees were responsible for answering questions via chat, today "digital" colleagues have taken over this task. Chatbots have become indispensable in the digital world.

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Chatbot

What are chatbots?

Chatbots are dialogue systems that use natural language. They enable a dialogue between humans and technical systems. Chatbots always offer you a speech in/out option. So you can communicate with chatbots using text and/or voice input. They then respond to you in no time at all. Communication usually takes place using a chat widget, also known as a small chat window, on your screen.

The term chatbot is composed of the English words "to chat" (to converse) and "robot" (robot), so to speak a "chat robot". A chatbot is therefore, in the truest sense of the word, a robot with whom you can converse.

Industries such as customer service, news, product information, shopping, tourism, banks or authorities, are already using chatbots in Germany. There are also more and more companies that use Messenger services chatbots.

How do chatbots work?

There are two categories of chatbots: rule-based and AI-based.

Rule-based chatbots use a catalog of predefined questions and answers to answer your questions. If you ask a rule-based chatbot a question, it usually responds in the form of links to possible company websites.

Chatbots that answer your questions using artificial intelligence, use different recognition functions. This allows them to understand what you want to know and can establish links independently. More complex conversations are therefore possible. Moreover, chatbots continue to learn with every question you ask them. This increases their knowledge base and the answers become more and more human.

If these chatbots are now connected to other software via an interface, they can give you individual information and answers. For example, they can give you information on the status of your delivery or independently carry out a change of electricity provider.

What are the benefits of using chatbots?

Before you decide on a chatbot, of course, you want to know the benefits. The use of chatbots offers many advantages for you and your employees, as well as for your customers. The advantages vary a bit depending on the type of company. However, in general, chatbots primarily have one task: they are your assistants and support you in many different activities.

A chatbot simplifies customer communication. With a chatbot, you are available for your customers around the clock. Especially international customers appreciate this. In addition, a chatbot increases the efficiency of customer service. As the number of customers increases, the workload and corresponding costs naturally increase. So if you use chatbots for processing simple requests, your employees can concentrate on more complex tasks and you reduce company costs. This not only saves your customers, but also your employees the most valuable thing of all: time.

At the same time, this increases the satisfaction of all parties involved and customers are more likely to revisit your website. A chatbot also reduces the distance to website visitors and improves the overall user experience.

You also have the opportunity to keep a better eye on all customer data. You can even instruct your digital assistant to analyze this data. In this way, your company can better meet the requirements and needs of customers in the future.

In addition, chatbots increase customer interactions. Because customers no longer have to call or wait for email responses, they are more likely to ask questions and express interest. In addition, communication with a chatbot is much more relaxed for many customers. Also, don't forget that a chatbot gives your company a voice from the first click.

What are the possible uses for chatbots?

Chatbots are generally assistants. They are supposed to take work off your hands and improve the experience of your customers. But where exactly can chatbots be used? We have summarized the most popular uses of the digital employee for you:

Use chatbots to answer FAQs

A chatbot gives customers answers to frequently asked questions. This saves your customers from endlessly scrolling through the FAQs. In addition, you do not have to deal with unnecessary emails to FAQs and can concentrate on the important things.

Chatbots in e-commerce

A chatbot can address website visitors right at the first click and ask if they need help. In addition, chatbots can suggest products based on their requirements and thus stimulate purchases. So visitors might soon become customers. If you want to learn more about this topic, read the article on Benefits of Chatbots in E-Commerce.

Chatbots in customer service

With the help of chatbots, you can improve the quality of your customer service. In addition, chatbots enable a simpler evaluation of the dialogues with the customers. This way, your company can respond even more precisely to the wishes of your customers in the future.

Chatbots in order tracking

A chatbot can also provide information on the status of an order and even cancel or divert orders.

Chatbots for internal processes

A chatbot can also be used in internal company processes and thus update CRM systems or act as a digital employee in project management. In addition, it can assist in work preparation and in sending pre-designed emails.

Chatbots for concierge service

In addition to work-related matters, a chatbot can also support you in booking vacations. It can book tours or make hotel and restaurant reservations, among other things.

Chatbots for news and weather

Another use for chatbots is news or weather. For example, the chatbot can keep you up to date on current news events or alert you to severe weather warnings.

How do I create or program a chatbot?

A chatbot offers many advantages and can be used in many different areas. However, you must not forget the sophisticated concept and the exact implementation behind it. A chatbot must primarily provide a benefit to customers. Otherwise, the implementation of a chatbot is pointless. So before you plunge into the development process of your chatbot, you should ask yourself a few essential questions: What goal am I pursuing? What do my customers expect? What functions does my chatbot need to fulfill?

Only when you can answer these questions should you start creating your chatbot.

But how do you actually create or program a chatbot? You can find the answer to this and many other questions about the development process of a chatbot in our article Creating a chatbot.

What chatbot software is there?

Of course, our users have also tested all chatbots software solutions this time and rated them for you. Here is a small overview of chatbot software and tools:

So if you also want to benefit from the countless advantages of a chatbot, take a look at the Chatbot software category. So, what are you waiting for? Is your company ready for the little digital addition?

Sarah Magdalena Huber
Author
Sarah Magdalena Huber

Sarah ist sprachaffin und liebt Herausforderungen. Die gebürtige Österreicherin verfasst und übersetzt Texte in Deutsch, Englisch und Spanisch. Sie ist seit einigen Jahren selbständige Übersetzerin und Dolmetscherin und schreibt als freie Redakteurin bei OMR Reviews zu den Themen Software und Co.

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