The Global Adoption of AI Chatbots: Current and Future Trends

AI chatbots ever since their emergence have remained a transformative technology. It has changed the way humans interact with one another and how industries work. Gradually, the use of AI chatbots in the modification of our day-to-day activities is increasing. These tools enhance the efficiency of our interactions and reduce the time for the execution of tasks in industries.
AI chatbots are software programs that use artificial intelligence(AI) to simulate human conversation. They use artificial intelligence, machine learning(ML), natural language processing(NLP) and LLMs to optimize their responses to be as human-like as possible. With this, they understand and respond to human queries, provide personalized responses while learning from these interactions in order to provide more personalized and optimized responses over time.

The transformative power of this technology is not limited to only one industry. In this article, we are going to explore how AI chatbots have been adopted globally, the current trends and the predicted future of this technology.
Let’s get started.

AI chatbots as a global phenomenon: history to present day

AI chatbots have been around for a while now. However, they have been more popular in recent times amongst individuals and industries. Going back in time, this software program was first developed by an MIT professor, Joseph Weizenbaum, in the 60s. He called it ELIZA. Unfortunately, while ELIZA had the ability to engage in human-like conversations, it could not engage in discourse with true understanding like the chatbots we have today.

Down the line, the developer Rollo Carpenter created another significant AI chatbot called Jabberwacky. It simulated the natural human conversation in a more engaging way. What makes it more significant is that it has led to other relevant technological growth. It uses an AI technique called “contextual pattern matching”.

In 1992, Dr. Sbaitso was created by Creative Labs for MS-Dos. It marks one of the earliest jobs done to incorporate AI into a chatbot with a full voice operated chat feature. Its conversations were basic ones devoid of any complicated interactions
In 2010, Apple created Siri for Ios as an intelligent personal assistant and learning navigator that uses natural language processing. Siri was the stimulant for the development of all the AI chatbots and personal assistants we have today.

In recent years, the adoption of AI chatbots have gained more momentum. This is mostly due to the advancements in ML, NLP and the increased availability of data. In fact, statistics show that there was a 92% increase in the usage of chatBots since 2019.

Also, in 2022, 88% of internet users engaged in at least one conversation with a chatbot.

Top 9 industries where AI chatbots are used the most

AI chatbots is a technology that individuals use for personal reasons.. Similarly, industries use AI chatbots in the running of the daily routine activities of the business. In no particular order, here are the industries that uses these chatbots the most.

Finance and banking

The introduction of chatbots into the banking industry has eliminated “banking hours”. Chatbots help to provide real time answers to customers’ inquiries. Additionally, they can provide information such as balance, transaction history, due payments, and help with money transfers. Without chatbots, these services would require customers to queue for hours just to get a response.

Marketing

By using chatbots, businesses build a stronger relationship with their customers. Customer engagement helps drive sales and leaves you with a bunch of happy customers. Happy customers are the secret to great marketing.

Statistics show that 47% of customers prefer interacting with a chatbot during their buyers’ journey.

Healthcare

By connecting the information about patients’ symptoms, chatbots can diagnose their illnesses. They can also provide first aid guidance and advise patients on precautions during treatment. In addition, they can help with tasks such as booking appointments, gathering patient medical histories, thus streamlining the work for the doctor and other medical staff.

Education

Due to the shift in artificial intelligence, learning has become easier. AI chatbots play a role in education by facilitating personalized and customized learning experiences. Chatbots are among the most vital tools in the education industry. It enhances the learning process, making it more engaging for students.

They also provide answers to common questions for students and teachers.

Customer care

Automation in customer experience is a necessity for all businesses and all industries. Customers should have a good experience and they must get it. By using AI chatbots, customers can get quick responses. Furthermore, these chatbots can also make recommendations based on customers’ interactions so far.

Real estate

This industry is one of the biggest in the world. Therefore, it is important to leverage what you can to succeed. Chatbots can help retain visitors to the real estate website. They help to filter properties based on the potential clients’ requirements. They can also help in providing information about neighborhoods, and scheduling appointments with clients.

Hospitality

The hospitality industry is all about providing better service to their customers. In this regard, they have widely adopted chatbots to provide better service to their customers. Equipped with AI automation, chatbots can handle routine inquiries and reduce the workload on the service staff.

They can answer common questions like check-in and check-out times, room amenities, and even make restaurant reservations.

Chatbots can also provide personalized suggestions based on the customer’s preferences, such as suggesting nearby attractions or restaurants.

Entertainment

In the media industry, chatbots assist in delivering personalized content, increasing user engagement, and providing the latest update to all users with just a tap. However, the news industry uses this technology for several tasks, such as providing information without visiting all news websites.

Logistics

The main job of logistics companies is to package and deliver items. However, in the midst of this they still have to respond to queries and routine questions. Unfortunately, most messages sent often go unread and no response is sent back.

To solve this problem, AI chatbots can be incorporated into the business to handle customers’ complaints and answer queries.

Evolving with AI chatbots: the future

As we continue to interact with AI chatbots and technology continues to evolve, we can expect to see more developments in the functionality of AI chatbots. As this continues, there will be more use cases of AI chatbots. Here are some of the predictions for the the future of AI chatbots:

1. Conversational AI: in the future, we expect that AI chatbots will become more conversational in understanding and answering queries. The constantly evolving ML and NLP supports this prediction as they are the fundamentals or AI chatbots.
2. Multimodal interaction: AI chatbots will incorporate multimodal interaction which allows users to communicate using different modes like text, voice and other modalities. Already, chatbots like Meta AI are able to respond to voice messages. However, this ability still needs some fine tuning.
3. Emotional intelligence: chatbots will be designed to understand and translate human emotions. This will help to provide more empathetic and personalized support.

According to current projections, by 2030, the global AI chatbot market is expected to reach a size of $27.3 billion. This will be followed by a significant increase in the adoption of AI chatbots across various industries. Therefore, potentially making them the primary customer service channel for a large portion of businesses.

As a huge part of AI advancement in this century, Openfabric has developed an AI chatbot that uses ML, AI and NLP to respond to queries efficiently. You can check out the Openfabric AI Chatbots once our mainnet goes live. For now, keep exploring our WEBSITE to stay updated on the latest developments.

Conclusion

The global adoption of chatbots is gradually transforming even the smallest industries into power houses. On a general note, one could say that so far the adoption of this technology is an indicator of a very promising future.
In the future, a large portion of customer interactions would be handled by chatbots and many companies will rely on them as the primary customer service channel. Additionally, chatbots will likely possess more sophisticated natural language processing (NLP) abilities.

AI chatbots were created to transform our world and change the way we interact with other people and businesses.

For more updates like this, visit our WEBSITE today!