The economics of Conversational Agents

Abstract

For many years software has been developed to automate the internal processes of a company. Over the years we have learned to measure the cost / benefit ratio linked to the introduction of new automation tools. We have also figured out how to define a strategy that allows introduction into the company by minimizing risks and maximizing returns. This implies the launch of initiatives aimed at preparing the organization for the changes that will be induced through the creation of new features. However, in the last period we are observing a constant growth in the demand for new automation models that can make the most of recent scientific advances made in the field of cognitive services. In recent years we have witnessed the introduction of new automation services for the processes borrowed from the experiences made in the field of robotics and adapted to more complex business models. With the advent of increasingly sophisticated cognitive services we can easily imagine how, by combining RPA tools with cognitive services, we can significantly extend the services that companies can offer. In fact, we can think of automating certain business processes by integrating cognitive services, allowing us to add a new dimension of intervention, allowing the system to interact using natural language. We can briefly define these new tools as conversational agents. There are already several concrete implementations of these technologies that are abandoning the field of research to try their hand at the industrial world. We are in fact witnessing a progressive spread of conversational platforms also in the consumer sphere. Some of the most concrete examples that have had an important commercial success are Google Home\uae, Alexa\uae, Siri\uae, Cortana\uae etc. Such a significant success that the concept of virtual assistant is cleared through. The main companies have begun the introduction of these technologies through the implementation of simple chatbots which, however, are changing the main way of interacting with customers through the progressive replacement of traditional call centers. However, many decision makers remain doubting about the claims surrounding the promised business value of the conversational platforms. Potential adopters must be informed about the true value and economic returns of the technological investments needed to introduce these new tools into organizations. In this work we want to define precisely what the conversational agents are and provide a solid economic model that allows to estimate what are the factors that influence the adoption of this technology and the economic returns of the investments

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