Conversational AI
AI and ML, Conversational AI / July, 27 2022

Conversational AI – Trends and Future Applications

Over the last few years, most of us have encountered “Let’s chat” option with many businesses that we interact. But so far, the rule-based chatbots that many companies deployed have proved to be a mixed bag. Only 5-10% of the customers could resolve their issues during their first interaction with chatbots. Most customers expect their problems to fix in less than 10 minutes with 24/7 self-service.

With the evolution of deep learning and open-source AI language models, organizations leveled up their Conversational AI adoption. The more sophisticated Conversational AI tools – smart chatbots, virtual assistants, voice assistants, and mobile assistants are gaining traction across business functions.

The Adoption and Growth

As per the data from Conversational AI platform vendors, the volume of interactions handled by the conversational agents increased by 250% across industries. A recent survey also reported that 90% of companies experienced faster issue resolution, and 80% reported increased call volume processing with Conversational AI.

As per Markets and Markets, the global Conversational AI market will grow at a 22% CAGR during 2020-25. Also, Gartner reported that 70% of white-collar workers would frequently interact with Conversational AI systems by 2022.

Conversational AI also pushed the capabilities of chatbots. As per Business Insider, chatbots to drive $142bn retail sales by 2024, close to a 5000% increase between 2019-2024.

Besides that, more than 70% of customers now prefer to interact with chatbots as they shift from rule-based systems to ML-powered chatbots. The NLP/NLU-powered chatbots now understand the context and intent of the customer before actually arriving at a solution. The voice assistants adoption also increased significantly, with most online transactions done through mobile and voice commands.

Are you looking to implement Conversational AI? Watch out for these trends and future apps to plan your strategy.

Conversational AI – A few Trends to Watch

Efficiency in training Conversational AI Agents

As per Deloitte, most businesses faced challenges training a rule-based chatbot during the last few years. They required significant manual workloads and took around six to nine months to implement. As a result, nearly 50% of businesses abandoned chatbot usage.

Rule-based chatbots could not capture the interactions’ context, intent and complexity. Though advances for made in the underlying technology with machine learning and NLP, training the AI models is still a concern. Hence, it has become critical to focus on automation and training process acceleration to improve understanding of input queries and response quality.

Detection and mitigating bias in training data, learning from past interactions, and providing responses in a few iterations are possible ways to accelerate the training process.

Handling complex interactions

Imagine using your virtual assistant to free up your calendar for a day, book flight tickets and arrange for a cab to reach the airport and plan personal work. It looks exciting. But, the current conversational AI platforms may not handle such complex queries.

The current conversational bots only handle simple and short queries. They cannot understand multiple intents in a single voice/chat command. So this may frustrate the user at times.

As per the analysis of patents filed in Conversational AI from Deloitte, a new ‘concept lattice’ technique is evolving to manage multiple facets of conversations effectively and asynchronously. Concept lattice is about building topic-independent agents to create a dialog structure that can guide the discussion automatically.


Around 65% of consumers expect businesses to understand their needs before interacting. Conversational AI can deliver personalized responses by understanding the intent, consumer behavior, past interactions, and emotions.

Personalization can improve the user experience and business outcomes and reduce operational costs, providing significant advantages for chatbot adoption. Also, the vast amount of data collected from user patterns can help brands deliver better customer service and uncover new revenue streams. Customer loyalty and trust have a long way to go to improve customer experience.

Supporting multiple use cases

Conversational AI seems to deliver efficiencies through many interactions we face with devices, services, and products. Let us look at the four common use cases that Conversational agents can serve.

  1. Informative – Conversational AI is mainly used to find information and enable transactions on the website or resolve queries. Imagine a shopper doing product research on your website. Conversational AI can analyze the shoppers’ actions and past interactions to offer customized product recommendations for their needs. Instead, the bot can share this information if the shopper prefers to interact with a human agent to enable positive outcomes.
  2. Productivity – AI can improve the teams’ productivity too. By leveraging Conversational AI, you can analyze your past customer interactions and bucket them according to customer satisfaction. If a customer poses a similar challenge, agents can look at the information and provide a similar solution as in the past.
  3. Enabling transactions – Conversational AI can also help people to move ahead with their conversions. You can book a cab, movie, or flight ticket with it. Retail sales received a big jump with Conversational AI during the pandemic. 56% of online shoppers purchased their groceries with ConversationalAI even before the pandemic.
  4. Controlling devices – It can help customers with smart home equipment too. You can automatically instruct to turn the lights/electronic devices in your home environment with smart voice bots.

Connecting with people on multiple channels

Today, consumers are available on multiple channels. Statista says over 3.09 billion people used over-the-top messaging apps on mobile in 2021. 5bn+ people use SMS, 2bn people use WhatsApp, and 2.9bn people use Facebook monthly. Hence, brands need to address customer issues on multiple channels. In the past, rule-based chatbots could not cater to such varied needs. But the Conversational AI solutions available right now can help you to interact with customers on multiple channels.

The C-suite and industry visionaries are already mapping their strategy to leverage Conversational AI for their customers and employees. Hence the new Conversational Enterprise is evolving.

 How to become a Conversational Enterprise?

As organizations integrate conversational AI into their internal and external workflows, they tend to traverse toward a Conversational Enterprise. Organizations that leverage bots to interact and improve efficiencies for customers, employees, and other stakeholders seem to gain significantly in customer experience and profit margin.

  1. The first and foremost step to moving toward a Conversational enterprise is to analyze the existing business landscape and choose the common use cases to transform with Conversational AI.
  2. The development of any AI system or bot requires high-quality data. The AI models may not be reliable without solid data engineering practice. Analyze your data landscape and establish the best data engineering strategy before you proceed with Conversational AI.
  3. Identify the tools, platforms, and needed technical skills to implement AI solutions. Outsourcing the implementation with an experienced vendor can help you improve your RoI.

Are you ready to start your Conversational AI journey? We can help you build a chatbot with advanced ML capabilities in a week. Get in touch with us for more information.

Get in Touch


Stay up-to-date with our latest news, updates, and promotions by subscribing to our newsletter.

Copyright © 2008-2023 Saxon. All rights reserved | Privacy Policy

Address: 1320 Greenway Drive Suite # 660, Irving, TX 75038

Archana Aila

Archana Aila

Position Here

With 2 years of hands-on experience in Power Platform, I’ve excelled in developing and implementing solutions for businesses, harnessing the power of Power Apps, Power Automate, Power BI, and Power Virtual Agents to streamline processes and enhance productivity. My proficiency extends to crafting custom applications, automating workflows, generating data insights, and creating chatbots to aid operational efficiency and data-driven decision-making.

With an intermediate knowledge in Azure cognitive services, incorporating them into Power Platform use cases to innovate and solve complex challenges. My expertise in client engagement and requirements gathering, coupled with effective team coordination, ensures on-time, high-quality project deliveries. These efforts have yielded significant accomplishments, solidifying my role as a valuable asset in this field.

Akash Jakkidi

Akash Jakkidi

Position Here

I am committed to resolving complicated business difficulties into simplified, user-friendly solutions, and I have extensive experience in Power Apps development. I thrive in integrating cutting-edge technology to optimise process efficiency, leveraging intermediate knowledge in Azure, Cognitive Services, and Power BI. My interest is developing dynamic apps within the Power Apps ecosystem to help organisations achieve operational excellence and data-driven insights.

As a tech enthusiast, my passion for innovation leads me to constantly explore new ideas and push the frontiers of what is possible, assuring significant contributions to our technological world.

Palak Intodia

Palak Intodia

Position Here

I am a tech graduate with a strong passion for technology and innovation. With three years of experience in the IT industry, I’ve been on a continuous journey of professional growth and skill development. My expertise lies in Power Apps and Automate, where I’ve had the privilege of contributing to multiple successful projects.

I’m dedicated to delivering results that not only meet expectations but also drive the success of the projects I’m involved in. I’m committed to my ongoing professional development and the pursuit of excellence.


Roshan Jaiswal

Position Here

With nearly 2 years of dedicated experience in Power Platform technology, my expertise lies in crafting customized business solutions using Power Apps and Power Automate. I excel in identifying intricate business requirements and translating them into innovative, user-friendly applications. My daily tasks involve meticulously deploying applications across diverse environments and harnessing the full potential of the Microsoft ecosystem within business applications.

I have proven my adaptability by consistently meeting the demands of creating responsive and scalable applications. Also seamlessly integrating complex workflows and data sources, ultimately enhancing operational efficiency and driving sustainable business growth.


Sugandha Chawla

Position Here

Sugandha is a seasoned technocrat and a full stack developer, manager, and lead. Having 8 years of industry experience, she has been able to build excellent working relationships with all her customers, successfully establishing repeat business, from almost all of them. She has worked with renowned giants like Infosys, Ernst & Young, Mindtree and Tech Mahindra.

She has very diverse and enriching work experience, having worked extensively on Microsoft Power Platform, .NET, Angular, Azure, Office 365, SQL. Her distinctiveness lies in the profound domain knowledge, managerial skills, and process mastery, that she additionally holds, as a result of possessing a customer facing role, working with different sectors, and managing and driving numerous critical executions, single-handedly, end to end.

Vibhuti Dandhich

Vibhuti Dadhich

Position Here

Vibhuti, a Power Platform technology evangelist, has passionately embraced the transformative potential of low-code development. With a background that includes experience at EY and Wipro, she’s been a trusted advisor for clients seeking innovative solutions. Her expertise in unraveling complex business challenges and crafting tailored solutions has propelled organizations to new heights.

Vibhuti’s commitment to staying at the forefront of technological advancements and her forward-thinking approach have solidified her as an industry thought leader. Her mission is to empower businesses to thrive in the digital age, revolutionizing operations through the Power Platform.

Ruturaj Kulkarni

Ruturaj Kulkarni

Position Here

With 8 years of dedicated expertise in the IT realm, I am a seasoned professional specializing in .NET technologies and Microsoft Azure Cloud. My journey encompasses a profound understanding of software development using the .NET framework and a robust command over Azure’s cloud ecosystem. Throughout my career, I’ve demonstrated a knack for crafting scalable and efficient solutions, leveraging the power of cloud computing.

My passion lies in staying at the forefront of technological advancements, ensuring that my skills align seamlessly with the dynamic landscape of IT. Ready to tackle challenges and drive innovation, I bring a wealth of experience to any project or team.

Sija Kuttan

Sija Kuttan

Vice President - Sales

Sija.V. K is a distinguished sales leader with a remarkable journey that spans over 15 years across diverse industries. Her expertise is a fusion of capital expenditure (CAPEX) machinery sales and the intricacies of cybersecurity.

Currently serving as the Vice President of Sales at Saxon AI, Sija adeptly navigates market dynamics, client acquisition, and channel management. Her distinguished track record of nurturing strong relationships, leading diverse teams, and driving growth underscores her as an adaptable and seasoned sales professional.

Gopi Kandukuri

Gopi Kandukuri

Chief Executive Officer

Gopi is the President and CEO of Saxon Inc since its inception and is responsible for the overall leadership, strategy, and management of the Company. As a true visionary, Gopi is quick to spot the next-generation technology trends and navigate the organization to build centers of excellence.

As a digital leader responsible for driving company growth and ROI, he believes in a business strategy built upon continuous innovation, investment in core capabilities, and a unique partner ecosystem. Gopi has served as founding member and 2018 President of ITServe, a non-profit organization of all mid-sized IT Services organization in US.

Vineesha Karri

Vineesha Karri

Associate Director - Marketing

Meet Vineesha Karri, the driving force behind our marketing endeavors. With over 12+ years of experience and a robust background in the B2B landscape across the US, EMEA, and APAC regions, she is pivotal in setting up high-performance marketing teams that drive business growth through a transformation based on new-age marketing practice.

Beyond her extensive experience driving business success across Digital, Data, AI, and Automation technologies, Vineesha’s diverse skill set shines as she collaborates with varied stakeholders across hierarchies, cultivating a harmonious and results-driven workspace.

Sridevi Edupuganti

Sridevi Edupuganti

Vice President – Cloud Solutions

Sridevi Edupuganti is an innovative leader known for strategically enhancing business opportunities through technology planning, orchestrating roadmaps, and guiding technology architecture choices. With a rich career spanning over two decades as a Senior Business and Technology Executive, she has driven teams to empower customers for digital transformation.

Her leadership fosters democratized digital experiences across enterprises. She has successfully expanded service portfolios globally, including major roles at Microsoft, NTT Data, Tech Mahindra. Proficient in diverse database technologies and Cloud platforms (AWS, Azure), she excels in operational excellence. Beyond her professional achievements, Sridevi also serves as a Health & Wellness coach, impacting IT professionals positively through engaging sessions.

Joel Jolly

Joel Jolly

Vice President – Technology

Joel has over 18 years of diverse global experience and multiple leadership assignments across Big 4 consulting, IT services and product engineering. He has distinguished himself by providing strategic vision and leadership for solving common industry problems on cutting-edge technologies.

As a leader surfacing and operationalizing next-generation ideas, he was responsible for exploring new technology directions, articulating a long-term technical vision, developing effective engineering processes, partnering with key stakeholders to build a strong internal and external brand and recruiting, mentoring, and growing great talent.

Haricharan Mylaraiah

Haricharan Mylaraiah

Senior Vice President - Strategy, Offerings & Sales Enablement

Hari is a Digital Marketer and Digital transformation specialist. He is adept at cultivating strong executive and customer relationships, utilizing data across all interactions (customers, employees, services, products) to lead cross-functionally as a strategic thought partner to install discipline, process, and methodology into a scalable company-wide customer-centric model.

He has 18+ years experience in Customer Acquisition, Product Strategy, Sales & Pre-Sales Management, Customer Success, Operations Management He is a Mechanical Engineering Graduate with MBA in International Business and Information Technology.