What are Customer Service Chatbots?

This is some text inside of a div block.
This is some text inside of a div block.
ChannelSight
On this page

Consumers know what a great customer experience looks like and as a result they've come to expect it. Gone are the days when your business was compared only with your direct competitors. In an effort to give consumers the frictionless experience they're demanding an increasing number of brands and retailers are implementing AI-aided customer service chatbots into their digital and customer care strategies. And the results are proving positive. According to a new survey by LivePerson 38% of consumers globally rated their overall perception of chatbots as positive. While 80% of businesses have said they already use or are planning to use them by 2020! But just what are customer service chatbots? And could they really help your business revolutionize its consumer experience? Below we explain what chatbots are, how they work and some of the benefits associated with their use.  

What is a customer service chatbot?

Simply put, chatbots are computer programs that use artificial intelligence to translate input data into a desired output value and communicate that desired output value using human conversation. Inside the artificial intelligence of a chatbot are two things: machine learning and what's known as natural-language processing:

  • Machine learning - Using algorithms (known as 'neural networks') that iteratively learn from data, machine learning allows computers to find hidden insights without being explicitly programmed where to look. In other words, through interactions with many consumers over time, chatbots learn better, faster ways to respond to common queries and provide consumers with the most relevant solutions.
  • Natural-language processing - Natural-language processing gives computers the ability to pick up conversational cadences and mimic human conversation which allows them to accurately mimic human speech patterns and tone when interacting with people. Which in turn allows them to create more intimate interactions with consumers.

Chatbots in the Wild

Chatbots are already successfully integrating into a variety of messaging apps such as Facebook Messenger, which is useful as 1.4 billion people are now using messaging apps on a daily basis and Gartner Research are predicting that by 2019 requests for customer support through consumer mobile messaging apps will exceed requests for support through traditional social media.

Final thoughts

As we've seen the benefits associated with using chatbots to improve the customer experience are numerous. They have the potential to improve several areas of customer service as well as converting potential consumers into customers. To learn more about chatbots read about the recent project with Duracell in which ChannelSight created a shoppable chatbot that was hosted on Facebook. The result was that consumers were given a further conversion path. Interested in finding out what a chatbot could do for your business? Get in touch today to see how we can help or book a demo.

Blogs

The latest from ChannelSight

News, guides and analysis on Where to Buy, shoppable media and the data shaping how consumers find and purchase your products.

October 1, 2026
Where To Buy

A Buyer’s Guide to Where to Buy and Shoppable Media Software in 2026

Where to Buy software has no category of its own on Gartner or G2, so we have compiled a guide for global brands.

ChannelSight AI Shopping Assistant launch, showing product recommendations and retailer purchase options.
September 22, 2026
AI

ChannelSight Launches World’s First Multi-Retailer AI Shopping Assistant for Brands

ChannelSight launches a multi-retailer AI Shopping Assistant, helping brands guide shoppers from product questions to purchase across their retail network.

August 12, 2026
AI

Inside ChannelSight’s Conversational Commerce Assistant

How we're combining natural-language discovery, product intelligence and retailer data to help consumers choose - and buy - the right product