Natural Language Processing (NLP) is the technological process in which computers derive meaning from natural human inputs. NLP-Based Conversational Bots are machine learning bots that exploit the power of artificial intelligence, which gives them a “learning brain.” These types of conversational bots have the ability to understand natural language, and do not require specific instructions to respond to questions as observed in types of chatbots such as Scripted and Structured Conversational Bots.
Several studies accomplished by analytics agencies such as Juniper or Gartner [34] report significant reduction of cost of customer services, leading to billions of dollars of economy in the next 10 years. Gartner predicts an integration by 2020 of chatbots in at least 85% of all client's applications to customer service. Juniper's study announces an impressive amount of $8 billion retained annually by 2022 due to the use of chatbots.
Being an early adopter of a new channel can provide enormous benefits, but that comes with equally high risks. This is amplified within marketplaces like Amazon. Early adopters within Amazon's marketplace were able to focus on building a solid base of reviews for their products - a primary ranking signal - which meant that they'd create huge barriers to entry for competitors (namely because they were always showing up in the search results before them).
Artificial neural networks, invented in the 1940’s, are a way of calculating an output from an input (a classification) using weighted connections (“synapses”) that are calculated from repeated iterations through training data. Each pass through the training data alters the weights such that the neural network produces the output with greater “accuracy” (lower error rate).
Authentication. Users start by authenticating themselves using whatever mechanism is provided by their channel of communication with the bot. The bot framework supports many communication channels, including Cortana, Microsoft Teams, Facebook Messenger, Kik, and Slack. For a list of channels, see Connect a bot to channels. When you create a bot with Azure Bot Service, the Web Chat channel is automatically configured. This channel allows users to interact with your bot directly in a web page. You can also connect the bot to a custom app by using the Direct Line channel. The user's identity is used to provide role-based access control, as well as to serve personalized content.
If the success of WeChat in China is any sign, these utility bots are the future. Without ever leaving the messaging app, users can hail a taxi, video chat a friend, order food at a restaurant, and book their next vacation. In fact, WeChat has become so ingrained in society that a business would be considered obsolete without an integration. People who divide their time between China and the West complain that leaving this world behind is akin to stepping back in time.
Chatbots – also known as “conversational agents” – are software applications that mimic written or spoken human speech for the purposes of simulating a conversation or interaction with a real person. There are two primary ways chatbots are offered to visitors: via web-based applications or standalone apps. Today, chatbots are used most commonly in the customer service space, assuming roles traditionally performed by living, breathing human beings such as Tier-1 support operatives and customer satisfaction reps.
There are a bunch of e-commerce stores taking advantage of chatbots as well. One example that I was playing with was from Fynd that enables you to ask for specific products and they'll display them to you directly within Messenger. What's more, Facebook even allows you to make payments via Messenger bots, opening up a whole world of possibility to e-commerce stores.

Back to our earlier example, if a bot doesn’t know the word trousers and a user corrects the input to pants, the bot will remember the connection between those two words in the future. The more words and connections that a bot is exposed to, the smarter it gets. This process is similar to that of human learning. Our capacity for memory and synthesis is part of what makes us unique, and we’re teaching our best tricks to bots.
Chatbots are used in a variety of sectors and built for different purposes. There are retail bots designed to pick and order groceries, weather bots that give you weather forecast of the day or week, and simply friendly bots that just talk to people in need of a friend. The fintech sector also uses chatbots to make consumers’ inquiries and application for financial services easier. A small business lender in Montreal, Thinking Capital, uses a virtual assistant to provide customers with 24/7 assistance through the Facebook Messenger. A small business hoping to get a loan from the company need only answer key qualification questions asked by the bot in order to be deemed eligible to receive up to $300,000 in financing.
Conversational bots can help a business’s customers with difficult transactions, plus collect data and give recommendations. For example, a conversational bot integrated to an airline’s website can answer questions regarding flight availability, rebook tickets, fees and suggest add-ons like hotels. Though a conversational bot may not be able to finish the exchanges, it could still be able to gather preliminary data and pass it on to the next available customer care agent. In both cases, the airline will save considerable time in its call center.
A chatbot is an artificial intelligence (AI) program that simulates interactive human conversation by using key pre-calculated user phrases and auditory or text-based signals. Chatbots are frequently used for basic customer service and marketing systems that frequent social networking hubs and instant messaging (IM) clients. They are also often included in operating systems as intelligent virtual assistants.
The sentiment analysis in machine learning uses language analytics to determine the attitude or emotional state of whom they are speaking to in any given situation. This has proven to be difficult for even the most advanced chatbot due to an inability to detect certain questions and comments from context. Developers are creating these bots to automate a wider range of processes in an increasingly human-like way and to continue to develop and learn over time.

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3. Now, since ours is a conversational AI bot, we need to keep track of the conversations happened thus far, to predict an appropriate response. For this purpose, we need a dictionary object that can be persisted with information about the current intent, current entities, persisted information that user would have provided to bot’s previous questions, bot’s previous action, results of the API call (if any). This information will constitute our input X, the feature vector. The target y, that the dialogue model is going to be trained upon will be ‘next_action’ (The next_action can simply be a one-hot encoded vector corresponding to each actions that we define in our training data).
A chatbot is an automated program that interacts with customers like a human would and cost little to nothing to engage with. Chatbots attend to customers at all times of the day and week and are not limited by time or a physical location. This makes its implementation appealing to a lot of businesses that may not have the man-power or financial resources to keep employees working around the clock.
NanoRep is a customer service bot that guides customers throughout their entire journey. It handles any issues that may arise no matter if a customer wants to book a flight or track an order. NanoRep isn’t limited to predefined scripts, unlike many other customer service chatbots. And it delivers context-based answers. Its Contextual-Answers solution lets the chatbot provide real-time responses based on:
Intents: It is basically the action chatbot should perform when the user say something. For instance, intent can trigger same thing if user types “I want to order a red pair of shoes”, “Do you have red shoes? I want to order them” or “Show me some red pair of shoes”, all of these user’s text show trigger single command giving users options for Red pair of shoes.
Despite the fact that ALICE relies on such an old codebase, the bot offers users a remarkably accurate conversational experience. Of course, no bot is perfect, especially one that’s old enough to legally drink in the U.S. if only it had a physical form. ALICE, like many contemporary bots, struggles with the nuances of some questions and returns a mixture of inadvertently postmodern answers and statements that suggest ALICE has greater self-awareness for which we might give the agent credit.
Google, the company with perhaps the greatest artificial intelligence chops and the biggest collection of data about you — both of which power effective bots — has been behind here. But it is almost certainly plotting ways to catch up. Google Now, its personal assistant system built within Android, serves many functions of the new wave of bots, but has had hiccups. The company is reportedly working on a chatbot that will live in a mobile messaging product and is experimenting with ways to integrate Now deeper with search.
Users want to ask questions in their own language, and have bots help them. A statement that sounds as straight-forward as “My login isn’t working! I haven’t been able to log into your on-line billing system” might sound straight forward to us, but to a bot, there’s a lot it needs to understand. Watson Conversation Services has learned from Wikipedia, and along with its deep learning techniques, it’s able to work out what the user is asking.

The trained neural network is less code than an comparable algorithm but it requires a potentially large matrix of “weights”. In a relatively small sample, where the training sentences have 150 unique words and 30 classes this would be a matrix of 150x30. Imagine multiplying a matrix of this size 100,000 times to establish a sufficiently low error rate. This is where processing speed comes in.
Your first question is how much of it does she want? 1 litre? 500ml? 200? She tells you she wants a 1 litre Tropicana 100% Orange Juice. Now you know that regular Tropicana is easily available, but 100% is hard to come by, so you call up a few stores beforehand to see where it’s available. You find one store that’s pretty close by, so you go back to your mother and tell her you found what she wanted. It’s $2, maybe $3, and after asking her for the money, you go on your way.

However, as irresistible as this story was to news outlets, Facebook’s engineers didn’t pull the plug on the experiment out of fear the bots were somehow secretly colluding to usurp their meatbag overlords and usher in a new age of machine dominance. They ended the experiment due to the fact that, once the bots had deviated far enough from acceptable English language parameters, the data gleaned by the conversational aspects of the test was of limited value.


The process of building, testing and deploying chatbots can be done on cloud-based chatbot development platforms[51] offered by cloud Platform as a Service (PaaS) providers such as Oracle Cloud Platform Yekaliva[47][28] and IBM Watson.[52][53][54] These cloud platforms provide Natural Language Processing, Artificial Intelligence and Mobile Backend as a Service for chatbot development.

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