Companies make all sorts of mistakes with their consumer chatbots. Here are the most annoying ones—and how some companies are trying to address them.

  • Companies generally like consumer chatbots, but consumers generally don’t
  • Chatbot adoption has been hampered by bad design
  • Common annoyances include overpromising and underdelivering, not understanding common language, sending users elsewhere, not allowing multitasking, asking for too much personal information, not being human enough (or too human), not handling multiple questions, taking too long to connect to a human, not disclosing that it’s a chatbot, and serving up inaccurate answers

When it comes to consumer chatbots, there seems to be a pretty clear disconnect: Companies generally like them, and consumers generally don’t. Last year, 71% of more than 4,500 employees across industries surveyed by Forrester Research said their companies were either experimenting with or implementing conversational AI and chatbots on their websites. The benefits are obvious: Brands are looking to cut costs, and chatbots are cheaper than people. What’s more, they believe, chatbots have the potential to improve customer experiences. At the same time, a Forrester survey conducted last year found that just 16% of consumers said they often used chatbots, and over a third said they never use them. Chatbot adoption “has been significantly hampered by bad design,” says Max Ball, principal analyst at Forrester. “People just look at the cost savings and they don’t look at the customer experience.” The problems, he and others say, run the gamut. Chatbots are slow and don’t understand the question. When they do answer, the responses are too often wrong. They make it hard to be transferred to a human. And they are either too human, or not human enough. Companies believe that technology can address many of these issues. But for now, chatbots continue to frustrate many consumers who dare to start a conversation with them. Here’s a look at some of the biggest annoyances.·

Factuality Level: 3
Factuality Justification: The article provides a mix of information about the adoption and challenges of consumer chatbots, including insights from industry experts and examples from companies. However, the article lacks depth in analysis and relies heavily on anecdotal evidence and opinions rather than concrete data or research. It also contains some repetitive information and does not offer a comprehensive view of the topic.·
Noise Level: 3
Noise Justification: The article provides a detailed analysis of the disconnect between companies’ views on chatbots and consumers’ experiences. It includes examples, expert opinions, and data to support the arguments. The content stays on topic and offers actionable insights for companies looking to improve their chatbot systems.·
Public Companies: Forrester Research (FORR), NatWest (NWG), Signet Jewelers (SIG), Chipotle Mexican Grill (CMG), LivePerson (LPSN)
Key People: Max Ball (Principal Analyst at Forrester Research), Andrew Way (Senior Director of Research at Corporate Insight), Wendy Redshaw (Chief Digital Information Officer at NatWest), Grant Easterbrook (Financial-Technology Consultant), Madhura Deshpande (Vice President of Digital Product at Signet Jewelers), Nicole West (Vice President of Digital Experiences at Chipotle Mexican Grill), Nirali Amin (Senior Vice President of Solutions at LivePerson), Cammy Crolic (Associate Professor of Marketing at the University of Oxford), Evgeny Kagan (Assistant Professor of Operations Management and Business Analytics at Johns Hopkins University)


Financial Relevance: No
Financial Markets Impacted: No
Financial Rating Justification: The article discusses the challenges and issues with consumer chatbots, but it does not pertain to financial topics or have any direct impact on financial markets or companies.·
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: ·

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