Many platforms offer a free tier or limited functionality for free. Meanwhile, paid plans can be billed either monthly or annually. Vendors seldom provide discounts or promos, but some provide at least a 14-day free trial.

The average cost of a chatbot platform is between $20 and $200/month, depending on the subscription features and enterprise solutions. Others, like Chatfuel, may charge adjustment fees, while some offer add-ons or customization based on the number of users, monthly conversations, bots, and workflows.

Different businesses have different goals in mind when it comes to chatbot software. While some might want a chatbot to handle customer support and sales inquiries, others might need something more specialized for their industry or niche. It's essential to consider the important features to you and your business before making your choice.

Some of the popular features of chatbot software are:

• Conversational maturity: The best chatbot platforms can understand context, not only content. This means that it "knows" and "learns" the intent of a question or search, which users can phrase in many different ways. These bots, therefore, are no longer confined to limited parameters or algorithms. The best chatbots no longer rely on scripts in the long run because they learn from their interactions with users, building conversation patterns called machine learning.
• Easy integration with multiple systems: Chatbots should integrate with your existing systems. For instance, it should work with your brand’s messaging platforms, including SMS text, Facebook Messenger, Telegram, Slack, and other IM networks. Advanced chatbots are also easy to integrate into customer relationship management (CRM) platforms, enabling them to access customer data to deliver better experiences.
• Easy-to-use interface: The best chatbots are easy to use. For example, they may no longer require complicated coding to build the interface. Instead, they are now built with HTML and JavaScript for quick fixes on sites like Facebook Messenger, Telegram, Skype, Kik, Slack, WeChat. These interfaces are also available through API programming.
• Trainability: Chatbots should be easily trained, given that they have been programmed with modern machine learning algorithms. A user does not need to know coding to train a chatbot. They can simply phrase what they want as a search query or question in natural language and then preview the results, providing relevant information based on how well it matches what the user is looking for.
• Natural Language Processing (NLP): Chatbots must have advanced natural language processing capabilities to mimic human conversation to understand user queries better. The best chatbots can engage in a two-way dialogue between the bot and users by using prompts and cues to improve engagement further.‍
• Hybrid capabilities: Chatbots can learn and adapt rather than simply serve as pre-programmed responses to set questions or conversations. With APIs powering the AI behind these bots, they can function as virtual agents across apps and programs that users encounter on their devices. For example, a user can ask Siri to send messages on Facebook Messenger or request information from Google Assistant. These chatbots are always learning new ways of interacting with their users.

Asking for a demo of the chatbot is one of the effective ways to maximize your investment in the product. But to ensure you control the process (and not the other way around), you need to have a game plan, including a list of questions you should ask the provider:

• How will this solution fit into the rest of my tech stack?
• Is your chatbot capable of integrating the systems that I need?
• Is there a chatbot SDK?
• How will this solution scale performance and response time when my user base grows?
• What is the data retrieval schedule, and how much data can be retrieved at once?
• What kind of customizations are possible?
• How feasible is building a product for multiple audiences with different languages?
• How well is the chatbot able to understand various forms of input? Can your chatbot handle slang, sarcasm, or other nuanced inputs?
• Is it possible to create a chatbot for another company through your platform? What are the restrictions?
• What are the limitations of this solution's ability to provide me with specific answers to questions?
• Are analytics available for this solution, and if so, are they light or detailed?
• How will I know if my chatbot is out of order?
• How will others in the organization use this solution?
• What are the key features?
• What are the things that would make me nervous about buying this sort of solution?
• How secure is the bot? What steps are you taking to ensure security?
• Does the cost cover everything? What add-ons do I need to pay?
• How does your product compare with others?
• What do your other customers say about the chatbot? What is its ROI for businesses like mine?
• Are you planning to have your chatbot on multiple channels?
• How does my bot interact with other bots?

To implement chatbot software, you must first know your customers and objectives. Understanding the target market of your chatbot is vital for establishing what type of personality to give it and what scenarios will best suit its function. Then, determine the channels to use. The two main types of input for a chatbot are text and voice, and it's essential to consider which is best suited for your audience when developing a chatbot.

Assuming you’ve already chosen a chatbot software, the next step is to build and train your bot with sample questions and conversations so that its responses are correct and effective. Then, test it to see if their responses are easy to understand and accurate. Once the chatbot is in place, monitor the platform to ensure nothing has gone wrong. Also, measure and analyze its performance using analytics so that you can expand and optimize it accordingly.

What Is Chatbot Software?

A chatbot is an AI program that simulates a conversation with human users in real-time. It can also be viewed as a virtual robot with certain programmed responses to specific input questions. Chatbots are frequently used in messaging apps, SMS, websites, or any digital device you can think of.

A chatbot's potential is not limited to customer service alone. Businesses can use it to automate conversations with their customers or for any purpose requiring an exchange between two parties at large, such as politics and marketing.

What Are the Common Features of Chatbots?

Most chatbots are web-based applications that use natural-language processing (NLP) to detect user intent. These programs can be divided into two categories:

• Rule-based chatbots: A rule-based chatbot works by matching keywords in a sentence. The program responds with the appropriate pre-programmed response if it finds enough matches.
• Machine-learning-based Chatbots: Unlike a rule-based chatbot, a machine-learning-based chatbot can understand and adapt to human language, making it more interactive and user-friendly.

Other popular features include:

• Chat workflows: Chatbots can be designed to respond in a particular order, with each response triggering the next.
• Customization: Many companies that use chatbots offer users the option to personalize their interactions.
• Analytics: The success of a chatbot can be measured using data collected from customers' messages, analytics tools, or feedback forms.
• Integrations: A chatbot can be linked to other web applications such as CRM and loyalty platforms.
• Cross-channel messaging: Chatbots can be included in different channels like email, SMS, or social media.
• API support: Many chatbots can integrate with existing APIs.

How Does a Chatbot Work?

A chatbot starts working from the moment a user sends an initial message. At this point, the program analyzes the text and matches it to a pre-programmed keyword. Once a match is found, the program will complete a user task or provide an answer to a question.

Most chatbots work using natural language processing (NLP), which means they should understand informal speech patterns typical of human users. Keywords are the basis for making bot conversations possible, so it's not surprising that most bots use language parsing to complete user requests.

Chatbots can understand human input and write it as an output for an app or any other type of software. This opens many doors to new interactions that are not possible with current technology.

When Do You Use a Chatbot?

As a user, you may have already interacted with a chatbot. For instance, ordering a pizza from Domino's or checking your bank balance at Chase are everyday tasks requiring an online conversation between the customer and the company.

In most cases, companies use chatbots to provide customers with information. That means if a user receives a text asking which size pizza they want, a chatbot can send a pre-programmed response. In other cases, bots are used for an initial level of support.

In addition to customer service, there are many other areas where chatbots have been gaining popularity quickly:

• Marketing: Marketing teams can automate conversations and create virtual agents for personalized messages to drive engagement with their target market.
• Customer retention: Your company can use a chatbot to send occasional messages to users who haven't engaged with your brand lately. If the customer responds, it could mean that they're ready for new interactions and may be worth pursuing further.
• Analytics: Chatbots can work in unison with analytics tools and track the success of campaigns. It's an easy way to provide valuable data and insights about your customer base and online habits.
• Automation: Using chatbots, businesses can automate tasks such as generating reports and collecting user feedback by sending relevant messages to customers at the right time.

Are Chatbots Illegal?

No, chatbots are not illegal. However, businesses should consider some legal issues. In some instances, a bot's ability to interact with customers could make the company liable for any miscommunication or misunderstood instructions.

Another potential issue is spam or unwanted marketing messages from your business. For example, if a chatbot asks users to share their email addresses, it can break the rules of many marketing platforms.

Also, if the customer is directed to a live agent or your business attempts to collect user information, note that customers have rights to privacy and choices with how their data is collected and used.

How Do You Build a Chatbot?

There are certain principles to building a chatbot. Whether you use an in-house developer or a third-party chatbot maker, each program relies on the same basic elements:

• Conversational flow: Set up rules to determine how the bot will respond to different interactions. If you want the chatbot to answer questions, it should list possible responses and follow a step-by-step process when completing each task.
• User's requests: To improve your chatbot's interactions with customers, record all requests and analyze how successful responses were handled with user feedback.
• Back-end: With an easy-to-use interface and fast setup, this is the foundation of all chatbots. A database holds collected interactions and user requests so that your team can review information to improve future conversations with customers.

What Are the Benefits of Chatbots?

Chatbots provide numerous advantages for both users and business owners. Here are some significant reasons that businesses should consider investing in this technology:

• Fast speed: Humans can only respond to a limited number of queries per day, while bots can handle thousands without getting tired or making mistakes.
• Cost-effective: Using chatbots can help businesses save money through self-service and customer convenience.
• Improved customer experience: When customers find the information they need quickly, it makes them feel valued and more likely to become loyal customers.
• Accessibility: Bots are easy to use on cell phones, tablets, laptops, desktops, etc., so customers can use them at home, work, or on the go.

What Are Some of The Disadvantages of Chatbots?

Although many companies are investing in chatbots because they want to improve their customer experience and save time, bots also have some disadvantages that businesses should be aware of before making a decision:

• Customer's expectations: If customers aren't used to interacting with chatbots, they could be disappointed if their questions are left unanswered.
• No personalized experience: Chatbots don't care about the customer as human representatives do. Everything can feel automated and impersonal, resulting in frustration for anyone who wants more personalized assistance.
• Missing information: If the chatbot is not programmed correctly, it may be unable to respond to requests or provide relevant information.
• Inaccurate information: Bots sometimes have trouble recognizing certain words and phrases. Therefore, customers can receive incorrect responses that don't apply to their needs, leading to a bad experience for anyone who doesn't know how to fix the issue.

How Much Is a Chatbot?

Chatbots can be free or paid, depending on the provider and functionality.

Basic chatbots are often available for free on messaging platforms. For example, Facebook Messenger offers basic chatbots that users can interact with to get information about businesses, news, weather updates, etc. However, advanced features like personalized experiences require premium plans that may charge a small monthly fee.

What Is the Best Chatbot Software?

It all boils down to business needs, budget, desired customization, the complexity of interactions, and features offered by the different platforms:

• Chatfuel: Meta-friendly no-code chatbot
• ManyChat: Affordable no-code option
• MobileMonkey: Great for Instagram growth
• Botsify: Omnichannel chatbot with great integrations
• Pandorabots: AI avatar with no-code or code options
• Drift: Scalable platform built for revenue acceleration
• TARS: Easy-to-use solution for medium-sized businesses
• Flow XO: Affordable no-code chatbot option
• LivePerson: AI conversational cloud
• Intercom: User-friendly with advanced analytics
• Dialogflow: Versatile Google Cloud-based AI platform 
• Wit.ai: Open-source API for speech recognition
• Tidio: Most essential chatbot elements including live chat‍
• Snatchbot: Small-business-friendly chatbot platform