Chatbot Implementation for Lazada Customer Service Performance

Technology is always evolving to accelerate human daily life. This rapid technological development makes humans adapt to all existing innovations.

History records that technological developments are always followed by an industrial revolution that has a comprehensive impact on both the economy and social life. As is often echoed by many parties with the term industry 4.0.

It is undeniable, in the industrial era 4.0, all aspects of work have been computed with one another. Thus, various kinds of technological innovations continue to emerge in this modern technological era.

The development of modern technology that is currently being warmly adapted by the industry is Artificial Intelligence (AI) technology. This technology-based on machine computing and artificial intelligence is considered to have rich benefits not only for industry, but also for society.

Moreover, nowadays, people live and grow based on digital technology as their operating system. Or simply called utilizing digital technology.

Implementation of AI Technology in the Industrial Sector

From the industry side, the implementation of AI technology can be found in various things. One of them is for the need to respond to customers as recently done by Lazada.

The implementation of AI technology in Lazada explains the important role of AI in customer service by implementing the chatbot feature.

A chatbot is a computer program that simulates a human conversation via voice commands, text chat, or both. Usually designed to interact with humans via multiple platforms.

The chatbot feature on Lazada helps speed up the completion of incoming contacts or questions, especially for questions from routine buyers (FAQ). Chatbots don’t just focus on customer service either.

However, the chatbot feature on Lazada also serves the seller’s side. It is claimed, the chatbot is able to explore the needs of sellers to answer customer inquiries quickly (under 30 minutes).

And it can be said more specifically, chatbots can increase the response rate to customers because of their speed in responding and reducing waiting times.

In his explanation, Lazada’s AI technology is able to identify random patterns in common questions, such as tracking packages and seller payments.

3 Chatbot Product Lines

The technology products are introduced in 3 lines, namely; CLEO (Buyer Chatbot), ADA (Seller Chatbot), and LISA (Instant Messaging Chatbot) to answer customer questions quickly and efficiently.

In its development, this artificial intelligence-based technology still requires human understanding and intuition.

Lazada claims that AI technology in chatbots is “trained” by AI trainers who are required to have a deep understanding of trends and habits of using written language, including regional languages, terms, abbreviations and so on.

This is intended to make chatbots more capable of mimicking human communication. Even though it uses artificial intelligence, chatbots still need a human touch. Because humans are still a crucial aspect in the development of AI technology – as Lazada also does.

Interestingly, this view can also conclude that the presence of AI adapted technology in industry can open up opportunities for new jobs, especially for workers who want to take part in the digital economy ecosystem.

One of them is AI Trainer. AI Trainers are one of the keys to the success of this chatbot because they must be able to shape artificial intelligence characters in order to understand the various language styles used by users. The AI ​​Trainer is tasked with training artificial intelligence so that it can be optimal in carrying out tasks.

An AI Trainer is in charge of analyzing the answers given and teaching the chatbot to recognize various languages, and provide solution answers in easy-to-understand language.

AI performance in customer service is measured by the level of problem solving or Chatbot Resolve Rate (CRR), where Lazada’s CRR is currently quite high, higher than the industry average.

As promised, the AI ​​technology adapted by Lazada should be able to accelerate Lazada in terms of business, and also customer service performance which may inspire similar businesses to implement AI technology.