Passed on 7 April, 2025
6. Chatbots
Chatbots are automated programs that simulate conversations with users. They help businesses automate tasks like answering customer queries and guiding users through processes, such as placing an order. In this lesson, we’ll focus on how chatbots enhance customer service and how AI powers their development.
✅ Learning objectivesBy the end of this lesson, you’ll be able to:Explore how chatbots can help improve customer service.Learn how AI drives the development and improvement of chatbots.Discover how to implement chatbots in your business.
Learning objectives
By the end of this lesson, you’ll be able to:
Explore how chatbots can help improve customer service.
Learn how AI drives the development and improvement of chatbots.
Discover how to implement chatbots in your business.
Why use chatbots for customer service?
Customer service chatbots allow businesses to respond to customer queries 24/7, reduce response times, and free up people for more complex issues. This can lead to faster service and improved operational efficiency.
The benefits of customer service chatbots
Chatbots offer a range of benefits for businesses. Let’s explore some of their key features.
Instant responses and faster service
Chatbots can respond instantly to customer questions, providing faster service and ensuring customers get the help they need without delay. This speed improves customer experience and satisfaction.
24/7 availability
Chatbots operate 24/7, allowing your business to offer customer support at any time, even outside regular working hours.
Reduced workload
By handling routine questions and tasks, chatbots free up time for businesses and teams to focus on more important tasks, like managing stock or handling complex enquiries.
Integration with customer service platforms
Chatbots can be integrated with customer service tools and platforms, allowing them to access data and perform actions like checking order statuses, answering FAQs, or processing simple requests.
How one brand personalised chatbot conversations
An insurance brand made an AI-driven chatbot a key part of their marketing strategy. Here’s how they did it.
The challenge
The insurance brand wanted to connect better with customers. They realised that typical chatbot replies felt impersonal, and customers wanted a more friendly, natural way to get answers and explore options.
The solution
The insurance brand created a conversational AI assistant directly in their ads. This chatbot offered tailored chats and personalised insurance quotes based on each user’s questions—all without needing to leave the ad.
The results
The chatbot held over 100,000 conversations, each lasting 3 to 4 mins—exceeding their benchmark of 1 min 17 sec. By creating these personalised chats, the insurance brand boosted engagement and learned more about what customers really wanted.
How to integrate chatbots into your customer service strategy
To implement a chatbot in your business, consider the specific needs of your customers and what you want the chatbot to accomplish.
Steps to implement a chatbot
Follow these steps to get started:
Step 1: Identify the primary tasks for your chatbot
Define what your chatbot will handle, such as answering FAQs, helping with orders, or troubleshooting. Understanding your customers’ needs will shape the way the chatbot is used and ensure it adds value.
Discover chatbots in action
Let’s explore how businesses use chatbots to improve customer service.
✅ ActivityUse the steps below to learn from real examples and brainstorm chatbot ideas for a future or hypothetical project.Check the items off as you go.Visit a few business websites and look for chatbots.Take note of what questions they handle and how they respond.Think about which chatbot features stand out to you.Think about how the chatbot experience could be improved.
Activity
Use the steps below to learn from real examples and brainstorm chatbot ideas for a future or hypothetical project.
Visit a few business websites and look for chatbots.
Take note of what questions they handle and how they respond.
Think about which chatbot features stand out to you.
Think about how the chatbot experience could be improved.
Download PDF
Download PDF
Check your knowledge
Ready to put your chatbot knowledge to the test? See how well you understand their role in customer service.
Question 1 of 3
True or False: Chatbots are only useful for simple yes/no queries.
True
False
Show Answer
Show Answer
Not quite.The correct answer is False—chatbots can handle much more than simple yes/no questions.
Question 2 of 3
Which of the following are the benefits of using chatbots for customer service?
24/7 availability
Reduces the need for human agents to handle routine tasks
Requires constant manual input to function
Instant responses to customer queries
Submit
Submit
Yes.Chatbots are always available, free up time for humans to focus on other tasks, and provide instant responses.
Question 3 of 3
Fill in the blank: The more ________ data you use to train a chatbot, the more effective your chatbot will be at answering queries accurately and efficiently.
Generic
Basic
Relevant
Show Answer
Show Answer
Not quite.The correct answer is ‘relevant’. Providing a chatbot with as much relevant data as possible makes it more effective at answering queries accurately and efficiently.
Lesson complete
Great job!Congratulations on completing theWebsite and Appsmodule! You’ve gained valuable insights into how websites, mobile apps, and chatbots can boost customer engagement and support your business goals.Now that you’ve mastered these essential tools, explore the other modules to take your digital marketing skills even further.
Congratulations on completing theWebsite and Appsmodule! You’ve gained valuable insights into how websites, mobile apps, and chatbots can boost customer engagement and support your business goals.Now that you’ve mastered these essential tools, explore the other modules to take your digital marketing skills even further.
Now that you’ve mastered these essential tools, explore the other modules to take your digital marketing skills even further.
Now that you’ve mastered these essential tools, explore the other modules to take your digital marketing skills even further.
Next Path
Optimise your online shopping experience