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Glossary

Chatbot

A chatbot is a software application designed to simulate human conversation, either through text or voice interactions. It uses natural language processing (NLP) and machine learning algorithms to understand and respond to user inputs in a way that mimics human communication.

Why are chatbots important? 

  • Efficiency: Chatbots can handle a high volume of queries simultaneously, providing instant responses and freeing up human agents for more complex tasks. 
  • Availability: They offer 24/7 customer support, enhancing user experience and satisfaction. 
  • Cost-Effective: Deploying chatbots reduces operational costs associated with hiring and training customer service representatives. 
  • Personalization: Advanced chatbots can offer personalized interactions based on user data, improving engagement and customer loyalty. 

How to measure the Effectiveness of a chatbot? 

  • Response Accuracy: Evaluating how accurately the chatbot understands and responds to user queries. 
  • User Satisfaction: Gathering feedback through surveys and ratings to assess user satisfaction. 
  • Resolution Rate: Measuring the percentage of queries successfully resolved by the chatbot without human intervention. 
  • Engagement Metrics: Analyzing the number of interactions, session lengths, and return visits to gauge user engagement. 
  • Error Rate: Tracking the frequency of incorrect or irrelevant responses to improve the system. 

How to improve a chatbot? 

  • Continuous Training: Regularly update chatbots with new data and scenarios to improve its NLP capabilities. 
  • User Feedback: Incorporate user feedback to identify areas needing improvement and implement changes accordingly. 
  • Context Awareness: Enhance the chatbots’ ability to understand context and handle multi-turn conversations. 
  • Integration: Connect the chatbots with other systems and databases to provide more comprehensive and accurate information. 
  • Regular Testing: Conduct routine testing to identify and fix bugs, ensuring the chatbot remains reliable and efficient. 

Teneo provides, among other things, an advanced framework for building and training chatbots. These chatbots work both with controlled coverage of knowledge areas where the customer wants to have full control of how the bot reacts to certain user inputs as well as with more generalized coverage using Artificial Intelligence (AI) and Large Language Models (LLMs). 

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