Context: When a NLU algorithm analyzes a sentence, it does not have the history of the user conversation. It means that if it receives the answer to a question it has just asked, it will not remember the question. For differentiating the phases during the chat conversation, it’s state should be stored. It can either be flags like “Ordering Pizza” or parameters like “Restaurant: ‘Dominos’”. With context, you can easily relate intents with no need to know what was the previous question.
Of course, each messaging app has its own fine print for bots. For example, on Messenger a brand can send a message only if the user prompted the conversation, and if the user doesn't find value and opt to receive future notifications within those first 24 hours, there's no future communication. But to be honest, that's not enough to eradicate the threat of bad bots.
Chatbots are often used online and in messaging apps, but are also now included in many operating systems as intelligent virtual assistants, such as Siri for Apple products and Cortana for Windows. Dedicated chatbot appliances are also becoming increasingly common, such as Amazon's Alexa. These chatbots can perform a wide variety of functions based on user commands.

Chatbots succeed when a clear understanding of user intent drives development of both the chatbot logic and the end-user interaction. As part of your scoping process, define the intentions of potential users. What goals will they express in their input? For example, will users want to buy an airline ticket, figure out whether a medical procedure is covered by their insurance plan or determine whether they need to bring their computer in for repair? 
One of the first stepping stones to this future are AI-powered messaging solutions, or conversational bots. A conversational bot is a computer program that works automatically and is skilled in communicating through various digital media—including intelligent virtual agents, organizations' apps, organizations' websites, social platforms and messenger platforms. Users can interact with such bots, using voice or text, to access information, complete tasks or execute transactions. 
Being an early adopter of a new channel can provide enormous benefits, but that comes with equally high risks. This is amplified within marketplaces like Amazon. Early adopters within Amazon's marketplace were able to focus on building a solid base of reviews for their products - a primary ranking signal - which meant that they'd create huge barriers to entry for competitors (namely because they were always showing up in the search results before them).

Using this method, you can manage multiple funnels of content upgrades, and even convince your users to take the next step in the buyer journey directly within Messenger. In the example below I just direct the user to subscribe to content recommendations via Messenger, but you could push them to book a meeting with a sales rep, take a free trial or directly purchase your product.
If your interaction with a conversational bot is through a specific menu (where you interact through buttons but the bot does not understand natural language input), chances are you are talking to a bot with structured questions and responses. This type of bot is usually applied on messenger platforms for marketing purposes. They are great at conducting surveys, generating leads, and sending daily content pieces or newsletters.

Cheyer explains Viv like this. Imagine you need to pick up a bottle of wine that goes well with lasagna on the way to your brother's house. If you wanted to do that yourself, you'd need to determine which wine goes well with lasagna (search #1) then find a wine store that carries it (search #2) that is on the way to your brother's house (search #3). Once you have that figured out, you have to calculate what time you need to leave to stop at the wine store on the way (search #4) and still make it to his house on time.

Like apps and websites, bots have a UI, but it is made up of dialogs, rather than screens. Dialogs help preserve your place within a conversation, prompt users when needed, and execute input validation. They are useful for managing multi-turn conversations and simple "forms-based" collections of information to accomplish activities such as booking a flight.
The progressive advance of technology has seen an increase in businesses moving from traditional to digital platforms to transact with consumers. Convenience through technology is being carried out by businesses by implementing Artificial Intelligence (AI) techniques on their digital platforms. One AI technique that is growing in its application and use is chatbots. Some examples of chatbot technology are virtual assistants like Amazon's Alexa and Google Assistant, and messaging apps, such as WeChat and Facebook messenger.
Facebook Messenger chat bots are a way to communicate with the companies and services that you use directly through Messenger. The goal of chat bots is to minimize the time you would spend waiting on hold or sifting through automated phone menus. By using keywords and short phrases, you can get information and perform tasks all through the Messenger app. For example, you could use bots to purchase clothing, or check the weather by asking the bot questions. Bot selection is limited, but more are being added all the time. You can also interact with bots using the Facebook website.
However, if you’re trying to develop a sophisticated bot that can understand more than a couple of basic commands, you’re heading down a potentially complicated path. More elaborately coded bots respond to various forms of user questions and responses. The bots have typically been “trained” on databases of thousands of words, queries, or sentences so that they can learn to detect lexical similarity. A good e-commerce bot “knows” that trousers are a kind of pants (if you are in the US), though this is beyond the comprehension of a simple, untrained bot.
This is great for the consumer because they don't need to leave the environment of Facebook to get access to the content they want, and it's hugely beneficial to Politico, as they're able to push on-demand content through to an increasingly engaged audience - oh, and they can also learn a bunch of interesting things about their audience in the process (I'll get to this shortly).

An Internet bot, also known as a web robot, WWW robot or simply bot, is a software application that runs automated tasks (scripts) over the Internet.[1] Typically, bots perform tasks that are both simple and structurally repetitive, at a much higher rate than would be possible for a human alone. The largest use of bots is in web spidering (web crawler), in which an automated script fetches, analyzes and files information from web servers at many times the speed of a human. More than half of all web traffic is made up of bots.[2]
The process of building a chatbot can be divided into two main tasks: understanding the user's intent and producing the correct answer. The first task involves understanding the user input. In order to properly understand a user input in a free text form, a Natural Language Processing Engine can be used.[36] The second task may involve different approaches depending on the type of the response that the chatbot will generate.
However, since Magic simply connects you with human operators who carry our your requests, the service does not leverage AI to automate its processes, and thus the service is expensive and thus may lack mainstream potential. The company recently launched a premium service called Magic+ which gets you higher level service for $100 per hour, indicating that it sees its market among business executives and other wealthy customers.
Perhaps the most important aspect of implementing a chatbot is selecting the right natural language processing (NLP) engine. If the user interacts with the bot through voice, for example, then the chatbot requires a speech recognition engine. Business owners also have to decide whether they want structured or unstructured conversations. Chatbots built for structured conversations are highly scripted, which simplifies programming but restricts the kinds of things that the users can ask.
Kik is one of the most popular chat apps among teens with 275M MAUs and 40% of those are in the 13–24 year old demographic. In April, Kik launched its own bot store with 16 launch partners including Sephora, H&M, Vine, the Weather Channel, and Funny or Die. Using Kik’s bots currently feel like using the internet in 1994, very rough around the edges and limited functionality / usefulness. However, we’ll see how their API and bots progress over time, Kik’s popularity among an attractive demographic might convince some brands to invest in the platform.

Consumers really don’t like your chatbot. It’s not exactly a relationship built to last — a few clicks here, a few sentences there — but Forrester Analytics data shows us very clearly that, to consumers, your chatbot isn’t exactly “swipe right” material. That’s unfortunate, because using a chatbot for customer service can be incredibly effective when done […]

IBM estimates that 265 billion customer support tickets and calls are made globally every year, resulting in $1.3 trillion in customer service costs. IBM also referenced a Chatbots Magazine figure purporting that implementing customer service AI solutions, such as chatbots, into service workflows can reduce a business’ spend on customer service by 30 percent.
This kind of thinking has lead me to develop a bot where the focus is as a medium for content rather than a subsitute for intelligence. So users create content much as conventional author, (but with text stored in spreadsheets rather than anywhere else). Very little is expected from the bot in terms of human behavious such as “learning”, “empathy”, “memory” and character”. Does it work?

Magic, launched in early 2015, is one of the earliest examples of conversational commerce by launching one of the first all-in-one intelligent virtual assistants as a service. Unique in that the service does not even have an app (you access it purely via SMS), Magic promises to be able to handle virtually any task you send it — almost like a human executive assistant. Based on user and press accounts, Magic seems to be able to successfully carry out a variety of odd tasks from setting up flight reservations to ordering hard-to-find food items.
Canadian and US insurers have a lot on their plates this year.  They’re not just grappling with extreme weather, substantial underwriting losses from all those motor vehicle claims, but also rising customer expectations and an onslaught of fintech disruptors.  These disruptors are spurring lots of activity in insurance digital labs, insurance venture capital arms, and […]
Human touch. Chatbots, providing an interface similar to human-to-human interaction, are more intuitive and so less difficult to use than a standard banking mobile application. They doesn't require any additional software installation and are more adaptive as able to be personalized during the exploitation by the means of machine learning. Chatbots are instant and so much faster that phone calls, shown to be considered as tedious in some studies. Then they satisfy both speed and personalization requirement while interacting with a bank.
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