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What is ChatGPT and How Can It Boost Your Business Potential? 

Estimated Read Time: 5 Minutes

Sean Owusu , 17 May, 2023

If you haven’t already heard of ChatGPT, it’s a revolutionary platform that has taken the world by storm. Powered by a large language model (LLM), ChatGPT has been trained on a massive amount of text data, allowing it to generate human-like text responses to a given prompt. Not only can ChatGPT answer questions and converse on a variety of topics, but it can also generate creative writing pieces. This type of technology is known as generative AI and has significant implications for businesses of all sizes. 

In short, the introduction of ChatGPT and other LLM-powered chat-based platforms has been viewed as a potential paradigm shift in the way people engage with technology and with each other. 

As expected, individuals have been quick to capitalise on the benefits of generative AI, but businesses should also be considering how this technology can enhance their operations. It’s important to assess how existing workflows can be optimised through the integration of generative AI solutions. To help streamline this process, we’ve compiled a comprehensive guide to the key benefits that ChatGPT and other chat-based generative AI platforms can offer businesses. 

Improved Customer Service 

One of the generative AI’s biggest selling points for businesses is that it can improve customer service. By training the language model on how to respond to customer queries and complaints, customers can receive relevant responses while not being subject to opening and closing hours, though we’ll dive more into this later. They can also provide answers that are personalised and relevant to each customer, based on their preferences and history. More than that, these models can ask follow-up questions, clarify doubts, and give suggestions to customers. 

Interestingly, this appears to be a two-way benefit. According to research, 35% of consumers want more companies using chatbots to answer their queries, while 48% don’t mind whether their queries are answered by a human or a bot. 

Cost Effectiveness 

Another way that ChatGPT can benefit businesses is by being cost-effective. For one, it eliminates the need for hiring additional customer service staff, which can be expensive for small and medium-sized businesses. Armed with generative AI capabilities, businesses can use intelligent chatbots to handle a bunch of customer issues and requests without any hassle or error. They can also change how much they work depending on how much they need to. This way, businesses can spend less on workers and expenses, while still offering great customer service that can match demand. Given the opportunity to make customers happy and earn more money, ChatGPT provides an invaluable proposition that businesses can’t afford to miss out on. 

Time Savings 

If you’ve ever found yourself frustrated by the tedium of answering the same questions over and over, you’ll appreciate how ChatGPT can lighten the load. Intelligent chatbots can answer frequently asked questions and help customers with routine tasks like booking appointments and making reservations. It can also send reminders and confirmations to customers, so you don’t have to worry about that either!

Personalisation 

Chat-based AI can do wonders for businesses by offering personalised responses to customer queries. With its ability to adapt to different tones and styles, ChatGPT can make customers feel heard and valued. By using customer data, such as name, location, and preferences, ChatGPT can tailor its responses and even recommend products or services based on previous purchases or interests. Customers will feel like they’re interacting with a real human, not just a machine. This leads to improved satisfaction and loyalty, making customers more likely to come back and recommend your business to others. ChatGPT is the perfect tool to personalise your customer service and create lasting relationships with your customers. 

Improved Efficiency 

Generative AI can help customers in making purchase decisions, thus boosting the chances of conversion. The chatbots can recommend products or services based on what the customer likes and what they have been looking at, leading to more sales for the business. For instance, ChatGPT can suggest a matching accessory for a dress, or a complementary service for a subscription. It can also offer discounts and coupons to entice customers to buy more. This way, ChatGPT can make shopping easier and more fun for customers, while also increasing the revenue for the business. 

24/7 Availability 

One more awesome thing that ChatGPT can do for businesses is to operate round the clock, making it a perfect solution for businesses that have customers in different time zones. It ensures that customers can get their queries resolved anytime, anywhere, making the business more accessible to customers. For example, ChatGPT can help a customer in Australia book a flight with a travel agency in New York, or answer a customer in India’s question about a product from a store in London. It can also handle multiple customers at the same time, without compromising on quality or speed. This way, ChatGPT can make your business more available and reliable to customers, no matter where they are or what time it is. 

Valuable insights 

Another amazing thing that ChatGPT can do for businesses is to collect data on customer behavior, preferences, and pain points, providing valuable insights to businesses. This data can be used to improve customer service, product offerings, and marketing strategies, leading to overall business growth. For example, ChatGPT can track what customers are asking, what they are buying, what they are liking, and what they are complaining about. It can also ask customers for feedback and ratings on their experience. This way, ChatGPT can help businesses understand their customers better and tailor their services and products to their needs and wants. It can also help businesses identify new opportunities and trends in the market and adjust their marketing strategies accordingly. This way, ChatGPT can help businesses grow their customer base, increase their sales, and enhance their brand image.   can help businesses grow their customer base, increase their sales, and enhance their brand image.  

Example Use Case: The New-Age Credit Bureau 

Generative AI platforms like ChatGPT can make credit bureaus better in the future by creating and using structured data from different places that have credit information. Chatbots using generative AI can use smart tools like natural language processing and deep learning to find out important stuff and patterns from data that is not organised or only partly organised, like text, images, sound, or video. This can help credit bureaus to make more complete and accurate credit reports and scores for people and businesses who want to borrow or lend money. 

Let’s say ChatGPT wants to use data from social media posts to find out how people feel about their credit cards. Social media posts are not organised because they can have different formats, languages, emojis, hashtags, and so on. Generative AI can use natural language processing and deep learning to analyse the text and images in the posts and extract features such as sentiment, topic and keywords. For example, ChatGPT can find out that a post that says “I love my new credit card!” has a positive sentiment, a topic of credit card, and a keyword of love. ChatGPT can use these features to create structured data that can help credit bureaus to understand the preferences and opinions of consumers and to improve their products and services. 

What else can generative AI do? It can hide the data from nosy people with encryption technology, and keep the data fresh to help credit bureaus stay on top of the credit market and give helpful and current information to people and businesses who need money or have money to lend. It can also link data sources to avoid having the same data more than once and to see the whole credit story and behaviour of people and businesses who need money or have money to lend. 

We’ve been having fun with ChatGPT here at Nucleus and we love how it helps us understand the needs and challenges of SMEs and gives us tips on how to build a database with insights on UK businesses. We even asked it to come up with the best loan products for UK businesses. Did we do what it said? Well, we won’t tell you that. But you can check out our products today and see for yourself! 

 


BY Sean Owusu

5 MIN

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