Among the popular ways of communication are chatbots, which usage is increasing globally. But, how many chatbot types are available and what is the difference between them? The categorization of chatbots is based on their purpose, functionalities, places of implementation, the technology used for their creation, and more, giving businesses the flexibility to choose the chatbot type that aligns with their growth strategy.

There Are Four Primary Categories of Chatbots Used by Businesses Categorized by Their Functionalities. One of These Categories is the Basic Chatbot

It is designed to handle simple and repetitive tasks. Typically used in customer service environments, basic chatbots can only respond to specific predefined actions and are not capable of carrying on a conversation. Although they can’t converse, basic chatbots can provide important information, educational tips, news, and showcase products and services. They have features like forms to fill out to request something or contact a business and buttons to click on to navigate and get more information.

An excellent example of a basic chatbot is the one used by Danexo, a small online car parts store in Bulgaria. The chatbot is used by potential business partners to request an account and individual customers to place an order for a part. The chatbot relies on forms and images with texts and does not use conversational AI. While basic in functionality, the chatbot is effective in handling routine inquiries and eliminating the need for phone calls.

Different Use Cases for Chatbots in the Utility Sector

Compared to basic chatbots, rule-based chatbots are more complex as they require specific rules to provide users with information. They utilize predefined flows to direct customers toward predetermined answers and specific sections within the chatbot. These chatbots are effective for handling simple queries such as yes or no questions, booking appointments, placing orders, and submitting requests.

A significant advantage of rule-based chatbots is that they do not require extensive training, which facilitates the process of creation and implementation, making it quick and easy.