Virtual Agent vs Old-School Chatbot: Whats the Difference?

Chatbot vs Conversational AI Chatbot: Understanding the Differences

chatbot vs ai

True AI does not rely on human effort to create decision trees for incoming support queries to then try to answer queries based on keyword matching. Conversational AI offers more of the true AI experience since it is not trying to match human language with a keyword. Last decade’s chatbots and the virtual agents of today are both designed to facilitate bot-to-human conversations. And within the field of customer support, both can be used to automate simple tasks and resolve repetitive queries — freeing up agent time to work on more rewarding cases. They can help take care of customer service tasks, such as answering frequently asked questions and providing information about products and services.

chatbot vs ai

With their limited ability to understand natural human language, first-generation chatbots are best suited to taking on simple tasks where a small amount of information is required. Rule-based chatbots—also known as decision-tree, menu-based, script-based, button-based, or basic chatbots—are the most rudimentary type of chatbots. They communicate through pre-set rules (if the customer says “X,” respond with “Y”). The conversations are sometimes designed like a decision-tree workflow where users can select answers depending on their use case. After you’ve prepared the conversation flows, it’s time to train your chatbot to understand human language and different user inquiries.

Design & launch your conversational experience within minutes!

Elise utilizes machine learning to put unstructured inputs in context and respond through patterned interpretation instead of a fixed flow. Elise looks beyond keywords and breaks questions down according to motives. For example, someone may type “Monthly rent”, while another may input “How much will this cost me? ”; in both cases, NLP will break down pricing in an approachable way that makes your prospect feel that it gives them a favorable opinion of your community. Because chatbots lack personalization and emotion, users become aware that they are communicating with a machine almost instantly.

The Dawn of the AI Chatbot Revolution: Why You Should Care – Psychology Today

The Dawn of the AI Chatbot Revolution: Why You Should Care.

Posted: Sun, 01 Oct 2023 07:00:00 GMT [source]

Businesses are investing in Conversational AI to drive better and more efficient interactions with customers and employees. Ensure the Chatbot can be modified or fine-tuned to your future business tone and style. Also, your business will grow with time, gaining more customers and subsequent queries. The Chatbot you choose should be scalable to make this journey smooth and pleasant for the audience.

Technical Support

Undoubtedly, the responses of a live chat or a human on the customer service end are more personalised and friendly. A supplementary field of artificial intelligence, machine learning is comprised of a combination of data sets, algorithms, and features that are constantly self-improving and self-correcting. With more added input, the platform becomes better at picking up on patterns and using them to generate forecasts and make predictions.

Conversational AI chatbots are commonly used for customer service on websites and apps. Chatbots are designed for text-based conversations, allowing users to communicate with them through messaging platforms. The user composes a message, which is sent to the chatbot, and the platform responds with a text. As businesses develop and launch chatbots on their websites, many considerations must be taken into account. One of the key decisions to make early on is whether to deploy a chatbot that is rules-based or one that is powered by AI. Keep reading to learn the key differences between the two kinds of chatbots, and how to determine which one is best for your business.

The interactions are like a conversation with back-and-forth communication. This technology is used in applications such as chatbots, messaging apps and virtual assistants. Examples of popular conversational AI applications include Alexa, Google Assistant and Siri.

It uses your company’s knowledge base to answer customer queries and provides links to the articles in references. Rule-based chatbots can have difficulty handling intricate suggestions—a tricky drawback to resolve. And compared to rule-based chatbots, conversation AI can better implement a customer-focused approach. AI chatbots are expensive to build compared to the other bots, to mimic a human conversation it takes a lot of time to build a bot.


ELIZA was designed to mimic human conversation and it became quite popular as a smart speaker, with some people even falling in love with it. For example, if you ask a chatbot for the weather, it will understand your input and give you a response that includes the current temperature and forecast. AI Virtual Assistants can also detect user emotions and modify their behaviors accordingly, making their interactions with customers more natural, personalized, and human-like.

In short, using NLP and machine learning make AI bots smarter and more efficient with time. Bard is an innovative chatbot platform that leverages advanced natural language processing (NLP) and machine learning (ML) technologies to deliver engaging and intelligent conversations. Built by Google, Bard aims to be a helpful collaborator with whatever you bring to it. The platform focuses on providing human-like interactions and understanding complex user queries. AI-based chatbots can answer complex questions with machine learning technology.

Rule-Based Vs AI-Based Chatbots

It uses OpenAI’s cutting-edge GPT-4 language model, making it highly proficient in various language tasks, including writing, summarization, translation, and conversation. Moreover, it works like a search engine with information on current events. Chatsonic is a dependable AI chatbot, especially If you need an AI chatbot that is up-to-date on current events. Because Chatsonic is supported by Google, it is aware of current news and can provide you answers and stories that relate to it, which ChatGPT can’t do since its database doesn’t go past 2021. Another scenario would be for authentication purposes, such as verifying a customer’s identity or checking whether they are eligible for a specific service or not.

chatbot vs ai

More so, bots are not the only engagement tools that are available on this platform you can also get other ones as well, including co-browsing software and video software. The bot can be customized to meet the specific needs of the business whether in support, sales, or conversion. When it comes to the chatbot in banking, there can’t be a better example than EVA by HDFC. It’s an AI-powered bot in the true sense that uses Natural Language Processing (NLP) and makes support as fast and effortless as it can get. In this blog, we will discuss in detail all the differences between a chatbot and a conversational AI technology and also show examples from across industries to ensure absolute clarity on the subject. To make sure your SaaS product will be in demand, it’s essential to listen to customers’ needs and focus on software security.

Read more about here.

  • Training a conversational AI is time-consuming, AI chatbots require a lot of time to train and test the algorithms.
  • This conversational AI chatbot (Watson Assistant) acts as a virtual agent, helping customers solve issues immediately.
  • But if you want to improve productivity, you need a virtual assistant that can help you delegate and complete tasks.
  • By incorporating true AI into live chat features, businesses will be able to combine human intelligence with machine intelligence, satisfying customers instead of infuriating them.
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