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Redefining Customer Experience with Chatbots; The Good and Bad

Can chatbots improve customer experience? Let's find out.

By Dan MartinPublished 5 years ago 4 min read

Conversational process automation is gaining traction in marketing activities. You use automation to execute conversations between humans and computers.

It eliminates the need for human agents without compromising the quality of service. The automation mimics human speech nuances. The customer may not even know they are conversing with a machine.

Without a doubt, customer service can be difficult. The teams have to handle queries, which can get repetitive. Some customers are angry and can take out the frustration on them. As an employer, you have to factor in the cost of human resources. Such include infrastructure, salaries, and even insurance.

Sick-offs and truancy can impact customer service. Some of the staff members may also not be able to give the best service.

Chatbots can help you redefine the customer experience in your organization. Our article will explore the good and bad sides of such technology. Let's dive into it.

Advantages of Chatbots in Redefining Customer Experience

There are three basic types of chatbots.

  • Rule-based chatbots are pretty straightforward. You incorporate pre-defined answers to specific questions.
  • Intelligent chatbots use machine learning. Specific words will trigger a specific response. Over time, they get more insights into the questions. It allows them to enrich the type of answers they give.
  • AI chatbots incorporate the use of artificial intelligence, Natural Language Processing (NLP), and machine learning. You get more advanced features such as the ability to contextualize conversations. They can understand preferences and provide relevant Solutions.

Customers can get access to the service via a voice or chat interface.

The Good Side of Chatbots

Chatbots have several advantages. We can summarize them as:

Provides Immediacy

As a customer, you want quick responses every time you have an issue. The more you wait, the more frustrated you get. It can be incredibly challenging if you are using an e-commerce platform. With chatbots, customers get instant responses, thus a better experience.

Round the Clock Availability

When using human agents for customer service, you have two choices. The first is to have people working shifts to deliver service day and night. The other option is to tell customers that you are only available within a specific window.

The first option will drive up your operating costs. The second option can make you lose customers. When operating online, you may have customers from different geographical locations. While you are asleep, others could be waking up to a new day.

Chatbots give 24/7 service. You don't have to shut down the system at any time.

Better Customer Experience

Human beings do go through different mood swings. A customer service agent may even be going through a difficult time. All this could impact the type of customer experience they give. You may have had a customer agent hang up the phone on you. Others can be very unhelpful or downright rude.

With chatbots, you remove issues of human fallibilities. Prompt responses, friendly conversation, and relevant information will enhance the customer experience.

Allows for Specific Messaging and Leads Generation

AI chatbots learn human behavior. They can then recommend specific products to specific demographics. Such include spend, geographical location, business type, and so much more.

Every time a customer uses chatbots, you get a chance to collect information. If the same customer comes back, the chatbots will have a history of the conversation. It provides a way to understand the customer better. You can then provide a relevant solution.

The Bad Side of Chatbots

Before we highlight the bad, we must make one thing clear. Chatbots cannot replace the critical role played by human beings. Remember, it is a system that depends on your input for optimal performance. You still need someone to oversee the processes. With that out of the way, let's look at the other side of chatbots you need to be aware of.

Exposure to Security Vulnerabilities

AI chatbots, thanks to technology, are becoming more intelligent. The ability to imitate human conversation and behavior can become a risk on its own.

Hackers can create rogue chatbots to get personal information from customers. They also expose areas of vulnerabilities that can lead to phishing attacks.

Some of the chatbots, especially on social media, use open internet protocols. If the service provider does not have adequate security, hackers find quick access.

May Lead to Negative Customer Experience

It is vital to invest in a proper design for your chatbots. Have the following in mind:

  • Give it a personality so that it is not too robotic
  • Chatbots can only provide functionality if the conversation follows an expected path. The pre-programming must take into consideration all possible angles. Yet, we know it is impossible to capture the entirety of human conversation within a system.
  • Input the relevant data so that customers receive the correct information. It can be frustrating if the chatbot keeps on giving the wrong answer.
  • Before launching the chatbots, test several times. It will help correct any issues that may affect the customer experience.
  • You must put in place high levels of security to protect customer data.

Can be Ineffective and Unreliable.

Many factors can result in the chatbots being ineffective. A broken script can bring problems. It results in the chatbots redirecting customers to questions they did not ask. If you do not update the information as you should, customers will not get the help they need. If the customer is not very specific or clear, the chatbots may not be able to respond.

Over-reliance on Chatbots Can Make Businesses Lose Human Touch

Customers may love the convenience of chatbots. But, sometimes, they will want to speak to an actual human being. No matter how good a machine is, it cannot grow a personality. That human touch is still a critical component in running a business.

Final Thoughts

Conversational marketing will play a significant role in most marketing activities. It is with good reason that companies are investing in chatbots. Initial installation cost may be high, but the business can get excellent ROI.

We have looked at the pros and cons if you are thinking of investing in chatbots. Think about your business model and do your research to determine the best one for you.

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About the Creator

Dan Martin

Dan has hands-on experience in digital marketing since 2007. He has been building teams and coaching others to foster innovation and solve real-time problems. Dan also enjoys photography and traveling.

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