Can you really build a bot in a day? Absolutely. AI is revolutionising how we interact with customers and virtual agents are leading the charge. These intelligent bots can handle a huge range of tasks, from answering questions to resolving issues, 24/7. Thanks to AI-powered tools, defining the intents and answers needed to build one is faster and easier than ever. As an example, Oration’s platform provides the ability to create and manage virtual agents, empowering businesses of all sizes to elevate customer service and streamline their operations like never before.
What is a virtual agent?
A virtual agent is an AI-powered program that uses natural language understanding (NLU) to communicate with customers and provide assistance. Unlike basic chatbots that rely on predefined scripts, virtual agents can understand complex requests, engage in natural-sounding conversations and even learn from their interactions.
Is a virtual agent the same as a chatbot?
The term virtual agent is often used interchangeably with chatbot, leading to some confusion. While both aim to automate communication, there are key distinctions that set virtual agents apart. Unlike basic chatbots that rely on pre-defined rules and decision trees, virtual agents leverage advanced technologies to deliver more dynamic and intelligent interactions. Here's how:
Sophisticated natural language processing
While chatbots may recognise keywords, virtual agents utilise NLP to truly understand the nuances of human language. This includes:
- Intent recognition: accurately deciphering the underlying goal of a customer's request, even if expressed in a complex or unconventional manner. Chatbots, on the other hand, often struggle with variations in phrasing or ambiguous language.
- Entity extraction: identifying and extracting critical information from the conversation, such as dates, locations, product names or specific problems. This enables virtual agents to provide more personalised and relevant responses compared to chatbots that might miss these crucial details.
- Contextual awareness: maintaining a coherent understanding of the conversation history, remembering past interactions and using this context to provide more meaningful responses. Unlike chatbots that treat each interaction in isolation, virtual agents can engage in more natural and fluid conversations.
Machine learning for continuous improvement
Virtual agents are not static entities; they learn and adapt. This allows them to:
- Expand their knowledge: continuously update their knowledge base with new information, ensuring they stay current with the latest products, services and policies. Chatbots, in contrast, often require manual updates to their knowledge base.
- Personalise interactions: tailor responses based on individual customer profiles and past interactions, providing a more customised experience than the generic responses often offered by chatbots.
- Optimise performance: analyse conversation data to identify areas for improvement and enhance accuracy over time, leading to more efficient and effective interactions compared to the static capabilities of most chatbots.
Integration with business systems
Virtual agents can seamlessly integrate with various backend systems, such as CRM, order management and inventory databases. This enables them to:
- Access real-time information: provide customers with accurate and up-to-date information, unlike chatbots that may be limited to pre-programmed responses.
- Perform transactions: complete tasks such as order placement, appointment scheduling or payment processing, going beyond the informational limitations of many chatbots.
- Trigger workflows: initiate internal processes based on customer requests, such as escalating complex issues to human agents or creating support tickets, streamlining operations in a way that basic chatbots cannot.
What does a virtual agent do?
Imagine a tireless employee capable of handling hundreds of customer inquiries simultaneously, 24/7, without ever complaining. That's essentially what a virtual agent does. But unlike a simple chatbot that follows a rigid script, a virtual agent boasts a dynamic skillset.
Here's a glimpse into a virtual agent's ‘daily routine’:
- Answering questions: from basic FAQs to complex enquiries, virtual agents can access vast knowledge bases to provide instant and accurate information. Need to know the warranty policy for your new gadget? A virtual agent has you covered.
- Resolving issues: beyond answering questions, virtual agents can guide customers through troubleshooting steps, helping them reset passwords, track orders or resolve technical glitches. Think of it as having a readily available tech support expert at your fingertips.
- Collecting information: need to gather customer feedback or qualify leads? A virtual agent can seamlessly collect data through interactive surveys and forms, providing valuable insights for your business.
- Personalising experiences: by accessing customer data and past interactions, virtual agents can tailor their responses and offer personalised recommendations, creating a more engaging and satisfying customer experience.
- Automating tasks: from scheduling appointments to processing payments, virtual agents can automate repetitive tasks, freeing up human agents to focus on more complex issues.
Virtual agents are versatile tools that can handle a wide range of tasks, streamlining customer interactions and improving efficiency. They're not just about answering questions; they're about providing proactive, personalised and efficient support across the entire customer journey.
What are the benefits of virtual agents?
For businesses:
- Reduced costs: by automating tasks and handling high volumes of enquiries, virtual agents can significantly reduce operational costs associated with staffing and training large customer service teams.
- Increased efficiency: virtual agents can handle enquiries around the clock, eliminating wait times and resolving issues faster, leading to improved first-call resolution rates and overall efficiency.
- Improved customer satisfaction: instant support, personalised interactions and 24/7 availability lead to happier customers and increased loyalty.
- Valuable data insights: virtual agents gather valuable data on customer interactions, providing insights into common issues, customer preferences and areas for improvement.
- Employee empowerment: by freeing human agents from repetitive tasks, virtual agents allow them to focus on more complex and rewarding issues, leading to increased job satisfaction and productivity.
For customers:
- Instant support: no more waiting on hold or navigating complex phone menus. Virtual agents provide immediate assistance, anytime, anywhere.
- Personalised service: virtual agents can tailor their responses to individual needs and preferences, creating a more engaging and satisfying experience.
- 24/7 availability: get support whenever you need it, regardless of time or day.
- Consistent experience: virtual agents deliver a consistent level of service, ensuring every customer receives the same high-quality support.
- Convenient access: interact with virtual agents through various channels, including websites, mobile apps and messaging platforms, choosing the method that suits your preferences.
Types of virtual agents
While simple chatbots are a common form of virtual agent, the technology extends far beyond basic text-based interactions. Here's a look at some of the more sophisticated types of virtual agents:
- Voice assistants: these agents interact with users through voice commands, offering hands-free convenience and personalised assistance. Popular examples include Siri, Alexa and Google Assistant, which can answer questions, set reminders, control smart home devices and more. They are becoming increasingly integrated into our daily lives, offering a seamless way to access information and complete tasks.
- Interactive voice response (IVR) systems: often used in call centres, these agents guide callers through menus and options using voice prompts. They efficiently route calls and provide self-service options for common requests, improving call centre efficiency and customer satisfaction.
- Specialised virtual agents: these agents are designed for specific industries or tasks, such as healthcare, finance or technical support. They possess in-depth knowledge in their domain and can handle complex enquiries, provide personalised advice and even perform transactions. This specialised knowledge allows them to provide more relevant and accurate support than a general-purpose agent.
- Embodied virtual agents: these agents have a visual representation, such as an avatar or animated character, making interactions more engaging and human-like. They are often used in virtual reality environments, gaming and customer service scenarios where a visual presence enhances the experience. They can convey emotions and build rapport with users, creating a more immersive interaction.
Virtual agent use cases
Virtual agents are no longer a futuristic concept; they're actively reshaping how businesses operate across various industries. Here's a glimpse into some of their most impactful use cases:
Customer service
- 24/7 support: provide instant answers to FAQs, guide customers through troubleshooting steps and escalate complex issues to human agents seamlessly. This ensures customers receive timely support, regardless of when they contact the business.
- Personalised recommendations: offer tailored product suggestions, proactively address customer needs based on past interactions and create a more engaging customer experience.
- Self-service options: empower customers to manage their accounts, track orders, update information and resolve simple issues independently, reducing the need for human intervention.
eCommerce
- Product discovery: guide customers through product catalogues, offer personalised recommendations based on preferences and assist with finding the perfect items.
- Order management: track orders, provide shipping updates, process returns and handle customer enquiries related to purchases efficiently.
- Promotional campaigns: engage customers with targeted promotions, offer discounts and provide information on new arrivals, driving sales and increasing customer engagement.
Healthcare
- Appointment scheduling: allow patients to book appointments, manage schedules and receive reminders, streamlining the administrative process.
- Symptom checking: provide preliminary assessments of symptoms, offer basic medical advice and direct patients to appropriate resources or healthcare professionals.
- Medication information: answer questions about medications, dosage instructions, potential side effects and refills, ensuring patients have the information they need.
Finance
- Account management: assist customers with balance enquiries, transaction history, fund transfers and account updates, providing convenient access to financial information.
- Fraud prevention: detect and prevent fraudulent activities by monitoring transactions, verifying identities and alerting customers to suspicious activity.
Navigating the future of customer interaction: the responsible use of AI
As virtual agents become increasingly sophisticated, it's crucial to prioritise ethical considerations alongside technological advancements. Transparency, data privacy and bias mitigation are key to building trust and ensuring positive customer experiences. While virtual agents offer incredible potential, responsible implementation is essential for harnessing their power in a way that benefits both businesses and customers. By embracing ethical AI principles, we can create a future where technology enhances customer interactions while upholding human values.
