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How to Use ChatGPT Conversational AI in Business
We can split the world into two eras — before and after ChatGPT. Since its launch in late 2022, ChatGPT conversational AI has shaken things up across every industry in ways no one saw coming. It’s not just how naturally converses with a user or how clever the answers are. It’s the empathy behind it that really catches people’s attention. ChatGPT even received almost 260 million visits in June 2024, making it one of the world’s most visited websites. That speaks volumes about how quickly it is reshaping our everyday lives.
So, what’s the magic?
Today, making things personal is everything. Customers want to feel like they matter and that’s what keeps them loyal. ChatGPT delivers those thoughtful, tailored conversations that make people feel heard. And for businesses, that means better connections, smoother workflows and more time saved.
But how can you implement ChatGPT conversational AI in your business? You’ll learn that and much more in this blog. Let’s get right into it.
What is ChatGPT conversational AI?
ChatGPT conversational AI is a sophisticated artificial intelligence model that interacts with humans in a groundbreaking natural, conversational manner. It can produce text that feels more fluid, contextually aware and human-like, rather than giving formulaic or pre-scripted replies, which is common with older AI models. That’s how conversational AI with ChatGPT can help businesses change how they interact with their customers, improving both the experience and the efficiency of daily tasks.
At the heart of ChatGPT is something called a Large Language Model (LLM). This model uses machine learning to learn patterns from huge amounts of data — basically, it reads and learns from tons of text. Then, it applies this knowledge when interacting with people, creating responses that feel smooth and natural.
To break it down, ChatGPT uses a few key technologies:
- Natural Language Processing (NLP): This helps ChatGPT understand the text you input. It's what allows it to figure out what you're saying, whether you're asking a question or giving an instruction.
- Natural Language Understanding (NLU): This goes a step further and understands the intent behind every input you provide. This way, ChatGPT can respond in a way that feels relevant to the conversation.
- Natural Language Generation (NLG): After understanding the input, ChatGPT uses NLG to create a response that feels coherent and meaningful. This is what makes its replies feel thoughtful and conversational rather than robotic.
But don’t mistake ChatGPT conversational AI for a traditional chatbot. How do they differ? Let’s find out.
ChatGPT conversational AI vs. chatbot
Before implementing ChatGPT in your business, it is important to learn how it differs from a regular chatbot. Here are a few key distinctions:
Feature | ChatGPT conversational AI | Chatbot |
Data model | Large Language Model (LLM) trained on vast, diverse datasets | Often built on rule-based or narrow ML models with limited training data |
Interactivity | Capable of open-ended, dynamic conversations, adapting to user input | Interaction is usually closed-ended, guiding users through fixed decision trees or menus |
Context retention | Can maintain context across long, multi-turn conversations | Limited context awareness; may lose track after a few exchanges |
Flexibility | Highly versatile, handles a wide range of topics and tasks (e.g., casual conversations, coding, creative writing) | Typically task-specific, designed for predefined use cases (e.g., customer support, appointment booking) |
Personalization | Provides personalized responses based on context and user history | Limited personalization; responses often feel generic and impersonal |
Learning ability | Continuously improves with ongoing updates and larger datasets | May require manual updates for new knowledge; learning is usually static after the initial deployment |
Error Handling | Can handle errors gracefully, offering clarification or adjusting responses based on feedback | Often provides limited or predefined error responses, may loop back to fixed choices when confused |
Key features of ChatGPT conversational AI for businesses
The power of ChatGPT conversational AI lies in its feature-rich foundation. Here are some of those key features:
Extensive data training
ChatGPT is developed using LLMs trained with an extensive corpus that spans a multitude of genres, including literary works, technical manuals and everyday dialogue. This training approach enables it to understand and generate responses that are contextually relevant across various domains — making it a versatile tool for addressing customer needs in diverse situations.
Persistent contextual memory
Thanks to its transformer architecture, ChatGPT conversational AI is quite adept at keeping track of what was said earlier in the chat. This architecture uses self-attention mechanisms that weigh the relevance of all parts of the input data, so it never loses track of the conversation thread, even if it gets complex.
Integrated customer messaging
With its flexible API connectivity, ChatGPT can hook up and interact across different customer service channels without losing consistency in tone or content. This integration is critical for businesses aiming to maintain a uniform customer experience, whether the customer reaches out via email, chat, or social media.
Summarized chat threads
When conversations get lengthy, ChatGPT uses extractive summarization techniques to boil down the essentials. It picks out key sentences directly from the chat, preserving their original context, so you can catch up quickly and know exactly what’s been discussed —ideal for fast-paced customer service scenarios.
Dynamic response generation
ChatGPT's responses are crafted using advanced NLG powered by its underlying transformer model, which really understands the ebb and flow of a natural conversation. It generates responses that aren’t just grammatically sound but are woven with the right context and subtleties, matching the tone and keeping the dialogue engaging and relevant.
4 benefits of ChatGPT conversational AI for businesses
But why should you invest in ChatGPT conversational AI and use it for your business? Well, there are many reasons. We’ve covered the four major ones in this section for your convenience.
1. Curates great experiences
ChatGPT conversational AI makes interacting with your business feel natural and effortless. It analyzes sentiment, tonality and the mood of ongoing conversations to tailor its responses to fit each individual customer’s persona --- all the while ensuring that every answer and solution offered to the customer is aligned with historical context and behavioral data.
Related Read: How to Use Generative AI to Level-up Customer Experience
2. Helps agents be more productive
While ChatGPT can absorb your industry’s training data to answer most of the questions that pertain to your specific use cases, it can also empower agents to deliver their best. ChatGPT can offer suggestions to agents on how to craft responses that stick to your brand’s voice and follow compliance rules. Every suggested reply is tailored to keep conversations on-brand and within legal bounds, ensuring that agents deliver top-notch, consistent service that upholds the company's reputation.
In a similar vein, did you know ChatGPT conversational AI can also step up agent productivity by streamlining the usage of the knowledge base? Sprinklr AI+ effortlessly extracts precise insights from relevant knowledge articles during live conversations. It streamlines the search process, delivering neatly organized snippets directly to agents in real-time, making it easier and faster to find the information they need.
Sounds intriguing? See this happen right before you with a free Sprinklr AI+ demo today.
3. Increases sales and revenue
ChatGPT engages potential customers by providing instant, accurate information and answering questions in real-time, which helps in maintaining their interest and moving them along the sales funnel. Its sophisticated understanding of language and user intent enables it to deliver precise information, making the shopping experience smoother and more compelling, which can lead to increased purchase decisions.
4. Streamlined content creation
ChatGPT conversational AI can produce high-quality, relevant content for marketing and social media. It can help you analyze existing content trends and audience preferences to generate posts that are both informative and engaging. This capability ensures consistent content output that aligns with strategic communication goals, helping to maintain an active and appealing online presence.
Read More: How to Use ChatGPT in Social Media
How to use ChatGPT and conversational AI for business
Introducing conversational AI into your business can transform how you connect with customers and streamline your operations. We’re here to walk you through some essential steps to get started.
1. Set conversational AI goals
The first step is to define what you want to achieve with conversational AI. Do you want to improve customer service, increase sales or streamline internal processes? Having specific goals will guide the implementation process.
Always ensure your goals are measurable. For instance, it could be reducing customer response times or increasing lead conversion rates for your business. Regularly track progress against these metrics to stay on course. Avoid setting vague or unrealistic goals, which can lead to operational bottlenecks.
2. Determine the most frequently asked questions
Identify your customers’ common queries and issues. Why? This will help you train AI to handle these inquiries effectively, providing instant support and freeing up human agents for more complex tasks like defusing service escalations. Review customer service logs and feedback forms to identify recurring questions.
Pro Tip 💡: Sprinklr’s FAQ skill feature on its conversational AI platform helps enhance your bot’s intelligence. Just integrate it with your knowledge base articles or upload relevant documents. Plus, this platform lets you identify customer sentiment and intent in every agent conversation, enabling you to create relevant workflows and automate customer journeys.
Want to give it a try for 30 days for free? Start your trial, no credit card needed!
3. Choose the right platform
Select a conversational AI platform that offers you a solid generative AI bot builder. Consider factors such as integration capabilities, ease of use, scalability and customer support. Opt for one that offers customization options, allowing you to tailor the AI to fit your brand’s voice and specific requirements. Conduct thorough research and take advantage of free trials before committing.
Most importantly, ensure that your ChatGPT conversational AI provider has received thorough training specific to your industry to ensure it can handle sector-specific queries with accuracy.
4. Train the bot
Train the conversational AI bot with relevant data, including past customer interactions, product information and FAQs. Ensure the bot is well-trained on customer data and can handle a variety of topics (such as product knowledge or content creation). Most importantly, ensure that your ChatGPT conversational AI provider has received thorough training specific to your industry to ensure it can handle sector-specific queries with accuracy.
💡Pro Tip: When training ChatGPT conversational AI, it’s crucial to avoid overfitting the model to your specific training data. Overfitting happens when the AI is trained too tightly to a narrow set of examples, which can make it adept at handling those scenarios but struggle with new, unseen queries. To prevent this, make sure the training dataset is diverse and reflects the full spectrum of expected interactions. Employing cross-validation techniques can also help spot and correct overfitting as you refine the model.
5. Integrate across channels
Deploy a conversational AI bot across multiple customer touchpoints, such as your website, social media, email and mobile app. This will ensure a consistent and seamless customer experience.
Start with the most critical channels where customer engagement is highest and gradually expand to other platforms, ensuring seamless and effective integration. Avoid spreading too thin too quickly, as this can compromise the quality of service.
Examples of using ChatGPT conversational AI in business
ChatGPT conversational AI can transform your business in exciting ways! Its applications are both rewarding and vital, from boosting customer support to streamlining internal tasks. Here are some examples of how companies have leveraged it:
1. Expedia
Expedia, a popular travel-planning website and app, has seamlessly integrated ChatGPT conversational AI into its services. Instead of manually searching for flights, hotels or destinations, customers can now plan their vacations by chatting with a friendly, knowledgeable AI-powered travel agent. The app even creates smart lists of hotels and attractions that match customers’ interests.
Key Takeaway: Expedia’s use of ChatGPT enhances customer engagement by creating a fun, interactive trip-planning experience. It provides personalized recommendations tailored to each traveler’s preferences, making suggestions feel more relevant. By simplifying the process and reducing the time spent on traditional searches, Expedia ensures smoother and more efficient vacation planning for its users.
2. Coca-Cola
Coca-Cola has teamed up with Bain & Company to leverage ChatGPT and DALL-E for their marketing efforts. The company plans to use these advanced AI tools to create customized ad copies, images, and messaging that align with individual customer preferences, enhancing its overall advertising strategy.
Key Takeaway: ChatGPT helps Coca-Cola write ad copy that speaks directly to each customer’s tastes, while DALL-E creates striking visuals that make their ads pop. This fresh, tailored content grabs attention and helps Coca-Cola connect with its audience on a deeper, more personal level, giving them a real edge against the competition.
3. Planet Fitness
With a growing number of member inquiries, Planet Fitness joined Sprinklr AI+ beta in June 2023. With a growing number of member inquiries, their 38 social media agents needed a tool to keep pace without sacrificing quality. Sprinklr AI+ stepped in, using generative AI to craft quick, tailored responses that maintained the brand’s tone. It even offered real-time adjustments, so each interaction felt just right.
The results were undeniable: a 30% boost in response times, smoother interactions, and happier members. While Sprinklr AI+ lightened the workload, it also made customer engagement more meaningful.
Key Takeaway: Planet Fitness uses AI+ to make sure their social media team responds quickly and with the right energy members expect from a fitness brand. It keeps interactions encouraging and focused on support, helping members stay engaged and motivated.
While ChatGPT is the pioneering this upcoming technology, Sprinklr’s Conversational AI brings you the best of both worlds — OpenAI’s ChatGPT and Microsoft Vertex — so you can experience all the magic of generative AI.
Want to see it in action? Chat with our experts today and grab your free demo. Let’s show you what’s possible!
Frequently Asked Questions
ChatGPT conversational AI can be trained with industry-specific data and customized interactions to fit various business needs and customer queries.
Challenges include ensuring accurate responses, handling complex queries and integrating smoothly with existing systems while maintaining a consistent user experience.
Businesses should implement robust encryption, follow data protection regulations and use secure systems to manage and protect customer data.
You can maintain accuracy by regularly updating training data, conducting thorough testing and using continuous feedback to refine the AI’s responses.
Integration involves using APIs to connect ChatGPT with CRM platforms, enabling seamless data flow and enhancing customer interactions based on CRM insights.
Employees should be trained to use AI effectively, understand its limitations and manage escalations when AI cannot address complex or sensitive issues.
