Conversational AI Vs Chatbots: Which is best for the customer service experience

conversational AI Vs Chatbots

Digitization is an entire bucket of new ideas that blow the minds and help firms work more smoothly, especially in the face of hardship. 

Technology has provided businesses with the ability to service customers more efficiently, from online marketplaces to innovative conversational AI technologies that allow us to communicate with clients.

Although the two concepts are knotted, they can be used interchangeably. Still, there is a distinction between conversational AI chatbots and chatbots in the context of business.


Conversational AI solutions and chatbots sound similar, with almost the same function providing the best customer service experience and better engagements. 

However, there’s a vast concept behind the scenes that makes them different? And which is best for the customer services experience and can help business sites more enhancing? 

This post will figure out the comprehensive difference between conversational AI and chatbots with the best enrollment for the customer service experience.  

So, stick to the conclusion. 

What is Conversational AI? 

Conversational AI is an artificial intelligence that allows users to communicate with apps, websites, and devices using natural language. 

computational ai

It analyzes the user’s speech or text input by using natural language processing to arrange the user’s voice or text input into words and sentences. 

Based on its data, the AI then generates the optimum response (these responses could be voice, text, or some activities).

Benefits of Conversational AI 

Conversational AI is used in the customer service experience for engaging with customers in a human-like manner. A bot in a chat channel or a voice assistant on the phone can be used for the interaction.

However, here are some benefits of conversational AI that you might want to know:

  • 24/7 availability 
  • Automatic Semantic Understanding 
  • Flexibility and Compatibility 
  • User Authentication Support 
  • Deep Learning
  • Quick time-to-market
  • Omnichannel presence at a unified platform 
  • Natural Language Understanding for better communication, and many more

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What are Chatbots? 

AI Chatbots are the predecessors of modern Conversational AI. They frequently employ tightly planned dialogues and keyword-based systems, making them ineffective in conversations that require them to understand what consumers are saying intelligently.

ai chatbots

It’s a straightforward and cost-effective alternative if you don’t require anything more complex than a text-based user interface.

However, there are times when organizations might benefit from chatbots. Users are asked to submit pre-written responses or information retrieval requests, which are subsequently used to generate pre-written responses or requests.

Benefits of Chatbots

In chatbots, users can select replies based on their use case in particular chats, designed like a decision-tree workflow. These bots are similar to automated phone menus in that they require the customer to make a series of choices to get the answers they seek. 

The technology is excellent for answering frequently asked questions and resolving common client difficulties.

Here are some of the benefits of chatbots are that you might know: 

  • 24/7 availability 
  • Self learn 
  • Navigation guide
  • User interface 
  • Quick time to the market, and many more.

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Conversational AI vs Chatbots: Unique Features

Conversational AI and chatbots are designed to focus on some unique features. Here are some special features of conversational AI and chatbots.

Conversational AI: Unique Features

The following are some of the most critical features of Conversational AI:

1. Customer Support

Customer support agents can analyze and provide NLU outcomes using supervised and semi-supervised learning solutions. Over time, it teaches the AI to understand and adapt to your company’s key preferences.

2. User-friendly interfaces

When an AI employs a modern, graphical interface, users don’t need to code to comprehend or update it.

3. Extensions

Extensions are plug-and-play conversational modules that can give immediate help for ordinary demands without requiring you to shape the AI, combining a Conversational AI platform with robotic process automation (RPA) for speedier customer service.

4. Automated Regression Testing

Extensive, automated regression testing ensures that you’re still accomplishing business goals after making changes to your AI.

5. Multi-language compatibility

Conversational AI systems can use the same internal principle and connections to work in different languages at the same time.

Chatbots: Unique Features

Most chatbots include the following unique features:

1. Keyword focus 

The overwhelming majority of all chatbots are unable to understand sentences. Rather, they look for certain terms written by clients and respond automatically.

2. Integration System 

Chatbots are relatively easy to integrate into your system, which is beneficial if you need to get something up and running quickly. Conversational AI is inherently more powerful and capable than chatbots, yet machine learning takes time to shape an AI’s responses.

3. Customers Intentions

Typically chatbots can handle between 100 and 200 different consumer intentions. Customer intent is something that a client is seeking to communicate to the chatbot, and it usually involves a specific set of terms.

These are just a few features that conversational AI and Chatbots can provide to companies. The adaptability of AI shines when it comes to meeting the needs of various businesses.

For example, some businesses don’t need to communicate with clients in many languages; thus, that capability can be turned off.

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Difference between Conversational AI Vs Chatbots

Chatbots are very useful for online businesses, but they have a few shortcomings that make conversational AI chatbots more appropriate and evolved in terms of their capabilities.

The statistics that pertain to the two can be used to make a straightforward comparison between the two.

According to a Cognizant survey, 69% of clients prefer to use chatbots for inquiries and service help. According to Hubspot, 84% of clients are willing to use the conversation AI platform at home, 44% in cars, and 27% at work.

The key points of difference between the two are listed below. It will assist you in distinguishing between chatbots and conversational AI systems.

1. Natural Language Processing (NLP) 

The chatbots are built on logic rules and respond based on keywords that have been pre-programmed into the system. If a query is asked outside of the algorithms’ acceptable range, the chatbots will not respond.

Conversational AI, on the other hand, is built on the processing and response of natural language.

A question is answered using multiple technologies that provide a human touch, such as machine learning, deep learning, and predictive analytics. As a result, the AI may learn on its own and adjust its responses based on previous questions and searches.

As a result, in terms of natural language processing, conversational AI outperforms chatbots.

2. Context Awareness 

Customers that use chatbots can learn about the services that the company provides. It means the reversion will be solely based on the keyword fetched, and it won’t access any other data.

Conversational AI, on the other hand, focuses on the customer’s previous discussions, chats, searches, purchases, and history and makes personalized recommendations based on that information. The customer is even more content and joyful due to the contextual awareness.

So, when it comes to contextual awareness, conversational AI outperforms chatbots.

3. Multi-intent comprehension

Not all questions are about the same thing. For example, in the case of chatbots, if a query is related to two different parts of customer service, the system will not understand. The customer may become irritated because the question must be repeated or asked separately.

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On the other hand, conversational AI platforms can handle several requests and switch from one topic to the next in the middle of a conversation. This allows the user to avoid repeating the query or question, which improves overall satisfaction and efficiency.

As a result, conversational AI outperforms chatbots in terms of multi-intent understanding.

4. Integration, scalability, and consistency

Although chatbots are cost-effective, they are dispersed and disconnected. They are independently incorporated into many platforms, lacking scalability and uniformity. When the platform is changed, the entire query must be started again, slowing down the process.

Conversational AI solutions provide:

  • Quality consistency.
  • Scalability in terms of the number of queries it can process.
  • Integration with multiple social media platforms.

In other words, conversational AI enables a large-scale omnichannel presence, and the consumer experience is improved due to this.

Conversational AI outperforms chatbots in terms of integration, scalability, and consistency.

5. Multilingualism and voice assistance 

When compared to conversational AI, chatbots lack multilingual and voice help capabilities. Users on such platforms cannot issue voice commands or ask questions in any language other than the one pre-programmed into the device.

Conversational AI platforms like Siri, Google Assistant, and Alexa are the best examples. These can recognize voice mode commands in various languages, making it easier for users to communicate and receive responses.

So, in terms of voice help and linguistic capabilities, conversational AI outperforms chatbots once more.

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Conversational AI vs. Chatbots: Which is best for the customer service experience?

Conversational AI may provide various benefits to enterprises, ranging from data personalization to substantial customization for customers willing to invest time in training the AI. With that said, conversational AI has three distinct benefits that set it apart from the competition.

Better customer interactions with conversational AI

Customers receive prompt, suitable responses from conversational AI, allowing them to acquire what they want with the least amount of bother. It provides a far superior experience to standard chatbots.

Shorter wait times using conversational AI

Conversational AI can handle massive amounts of data from clients, effectively automating high-volume interactions and regular operations. 

It implies reduced time on hold, faster problem resolution, and even the capacity to gather and present information intelligently if things do get through to customer service professionals.

Improved human assistance with Conversational AI 

Finally, conversational AI can help your firm provide better customer service. More cases are resolved each hour, more consistent information, and staff is less stressed because they don’t have to focus on repetitive activities.

Human agents may spend more time with each customer, deliver more personalized responses, and loop back into a better customer experience with a reduced workload.

Simple to set up using Chatbots

When allowed to focus on it, chatbots are fundamentally more straightforward to develop than conversational AI, to the point where a single user can install and adjust the system via a guided approach.

Chatbots are essentially question-and-answer systems. It’s simple to provide quick, primary responses if you know what people ask or advise them how to react.

Chatbots are commonly used for customer service, but they can also be used for other aspects of your organization. Chatbots, for example, can be used to request supplies for specific persons or teams or as a shortcut system for retrieving particular, relevant information.

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In the argument between chatbots and conversational AI, Conversational AI is nearly always the best option for your business. 

Setting up and training the system takes time, but that time is cut in half thanks to extensions that perform everyday activities and inquiries. Once set up, a Conversational AI is essentially superior at accomplishing most tasks.

The actual key to success with chatbots and Conversational AI, though, is to use them wisely. You can, however, use the capabilities of an end-to-end Conversational AI platform to create complex virtual agents for chat and voice channels, which you can deploy in days.

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