A bot can refer to any kind of robot. In this infographic I’m referring to a chatbot — a machine that can have a conversation with a human via voice or text. In fact many of us are already having conversations with bots via Siri or Alexa. We request one thing, and the virtual assistant aims to identify that thing. These bots provide value to customers by assisting them in retrieving some kind of information.
You might have heard some of how chatbots are revolutionizing customer experience and are being used in new ways every day. From answering questions, to solving customer issues to product recommendations, chatbots can do many activities without issue. It’s the perfect storm: the use of messaging apps like WhatsApp, Kik, and Facebook Messenger have seen major growth in recent years, with messaging apps now surpassing social media use. Additionally, chatbot start-ups are growing and licensing their technology to larger brands, making it easier to develop a chatbot than ever before. Customers are ready for chatbots, and the technology is here to take advantage of chatbot’s potential and forever change how brands engage with customers. Chatbot technology is constantly improving, and it can be applied to a number of industries and has had success in just about every space.
Every industry has a different use for a chatbot. Let’s look at examples for insurance, banking, retail, travel, healthcare and education.
Chatbots For Insurance
Navigating through the world of insurance can be confusing for many customers, but chatbots are looking to mitigate the confusion and provide information, recommendations, and sales in an easier and more user-friendly format. A handful of insurance companies are turning to chatbots to automate the process and remove red tape for an improved customer experience. Chatbots have also moved into the world of small business insurance to make the process easier by replacing its human insurance agents with chatbots using Facebook Messenger. One of the biggest downfalls to using chatbots for insurance is simply the change in mindset required for customers. After talking with humans and filling out paperwork for so long, it has become engrained in us that doing business with the insurance industry means tons of paperwork. However, that hesitation will likely dissipate quickly as Millennials and others discover the ease of use chatbots.
Chatbots For Banking
One industry that will see enormous chatbot growth is banking. In fact, a recent survey found that most people will bank via chatbots in the next one to two years. The chatbot goes beyond the basic functions of mobile banking to start a conversation about each customer’s finances. Chatbots can use predictive analytics, and cognitive messaging to perform tasks ranging from making payments to checking balances and paying down debt and even notifying customers of personalized savings opportunities. Chatbots are also entering the credit card space on Facebook Messenger. Most customers do not enjoy calling the bank. The process of being identified for security, and then trying to accomplish a transaction is not a walk in the park. Customers are frustrated by having to repeat themselves many times. And according to Harvard Business Review the number one most important factor in customer loyalty is reduction of customer effort.
Chatbots For Retail
From clothing stores to restaurants, chatbots are making a splash in retail. While some retailers today are making the mistake of going app-crazy, some realize customers don’t want to install more apps on their phones. They want to do business on the apps they’re already on. That means using messaging apps like Kik, Facebook, Snapchat, WhatsApp — and providing strong experiences through bots, can be a great customer experience. In fact the biggest advantage of retail chatbots isn’t the mobility, but actually personalization. Because chatbots can store huge amounts of customer data and build off previous interactions, the chatbot can tailor its responses and recommendations to provide a customer experience that improves every time that customer uses the bot. In a world of hyper-customization, being able to build a personal relationship with customers and leverage that data is huge for retail brands.
Chatbots For Travel
Remember the Thomas Guide? That feels like a million years ago. Gone are the days of searching through travel guidebooks to find recommendations of activities, dining, and accommodations. Even a travel agency is no longer something of use. Travel websites are seeing lower usage these days as more travelers switch to mobile during the planning and travel process. Think of travel chatbots as personal travel concierges for users: chatbots can answer questions and provide tips and recommendations in real time as a customer is in the air or in the car. It’s the perfect solution to keeping up with jet setters and for staying on top of fluid travel trends. Instead of booking a hotel weeks in advance, users can now send a text to a chatbot to get hotel recommendations and book a stay the day before. Travelers are getting younger and more tech savvy, meaning there is a huge demand for chatbots within the industry. In the past only older, rich people could travel. In the last few decades we’ve seen all that change, with younger people with less disposable income also enjoying seeing the world. Chatbots will further aid them in creating memorable travel customer experiences.
Chatbots For Healthcare
The hallmarks of chatbots in general are quicker responses and more personalized customer experiences, and there is perhaps no greater need for that than in healthcare, which is notorious for difficult and frustrating customer service. Chatbots are peaking at the right time in the healthcare industry. Telemedicine, where doctors can see patients remotely, is growing and busy patients demand new ways to communicate with doctors and stay ahead of managing their own health. For example Kaiser Permanente doctors will take video calls with patients through the Kaiser mobile app. Healthcare costs are also increasing around the world, and using chatbots eliminates many of those costs while providing an improved customer experience. Instead of waiting on hold to talk to a human or getting bounced around various departments, chatbots can quickly connect patients with the information they need and point them in the right direction, any time of day or night.
Chatbots For Education
Young people are on their smartphones all the time, in fact perhaps we’ll drop the phrase “smart phone” soon since it’s not being used as a phone hardly at all. That said, chatbots have seen growth in higher education, where they are a strong fit for younger demographics. As teenagers and college students turn away from social media and towards mobile messaging due to its more private and controlled nature, these young customers are looking for ways to integrate the pervasive technology into their learning. While chatbots aren’t widely used in education today, there are multiple bots in development, and those that do exist have been incredibly successful in reaching students in a method they understand and appreciate.
For more from Blake Morgan sign up for her weekly customer experience newsletter here.