Your Guide to HubSpot's Chatbot Tool

12/15/2020 8 min read Written by Corie Stark

Speed and efficiency are paramount for success in today's business landscape, and chatbots have emerged as crucial tools for enhancing customer interaction and operational efficiency. HubSpot, a leader in inbound marketing, sales, and service software, offers a robust chatbot tool integrated within its CRM platform to help. 

This guide provides an in-depth exploration of HubSpot's chatbot capabilities, equipping you with the knowledge and strategies needed to employ this technology effectively.

What is a Chatbot?

A chatbot is an advanced software application engineered to mimic human conversation through text or voice interactions. It is a pivotal component in the modern digital landscape, serving as a virtual assistant that interacts with users in real time. 

In the HubSpot ecosystem, a chatbot is more than just a tool for conversation. It's an integral part of a comprehensive customer engagement strategy. It streamlines interactions, responding immediately to prospect or customer questions, guiding users through website navigation and enhancing the overall customer experience. 

However, the functionality of a chatbot extends beyond mere scripted responses. They can engage in meaningful conversations, provide relevant information, answer queries, and entertain users with personality and humor, making the interaction more enjoyable and engaging.

The Role of AI and Natural Language Processing in Chatbots

Artificial Intelligence (AI) is the foundation of modern chatbot technology. It imbues chatbots with the ability to understand, interpret, and respond to human language in a way that is both coherent and contextually relevant.

Natural Language Processing (NLP), a branch of AI that focuses on the interaction between computers and human language, is at the core of AI in chatbots. NLP enables chatbots to analyze and understand user input, interpret the intent, and respond in a way that mimics human conversation. This technology allows chatbots to handle various queries — from simple FAQs to complex, nuanced questions. It can also help determine when to route a user to a human for more detailed support. 

How Do Chatbots Work?

As mentioned earlier, chatbots operate on a sophisticated blend of algorithmic rules, AI, and machine learning. They use NLP to decipher and comprehend user input, translating this into a response that aligns with the user's intent.

When users interact with a chatbot, their input is processed through these complex AI algorithms. The chatbot evaluates the message, determines the most appropriate response based on its programming and learning, and replies conversationally. This process involves parsing the language, understanding the context, pulling relevant information from an integrated knowledge base, or executing specific programmed actions set up by the person who built the chatbot. 

The Importance of Integration with Your Chatbot 

Integration is a crucial aspect that amplifies the effectiveness of chatbots. By integrating with other systems, such as CRM, analytics tools, or databases, chatbots become more than just conversational agents. They can transform into comprehensive solutions that offer personalized and contextually relevant interactions. 

How? Integrating chatbots with CRM systems like HubSpot enables them to access a wealth of customer data. This data includes past interactions, purchase history, and personal preferences, allowing the chatbot to tailor its responses to each user, enhancing the customer experience and increasing engagement. Fortunately, when using HubSpot's chatbot tool, all of the benefits of integration are built right in. 

Step-by-Step Instructions for Creating a Chatbot in HubSpot

Creating a chatbot in HubSpot is a strategic process that involves several key steps. Each step plays a crucial role in developing an effective digital assistant, from accessing the chatbot builder to customizing its conversation flow. Here's how you can create a chatbot using HubSpot:

  • Accessing the Chatbot Builder: Log into your HubSpot account. Under the “Conversations” tab, you will find the chatbot builder.
  • Choosing a Template: HubSpot offers a variety of templates. You can choose one that suits your needs or start from scratch for a custom bot.
  • Customizing the Flow: Set up triggers, messages, and actions in the chatbot based on anticipated user responses to guide the conversation.
  • Integrating with CRM: Link the chatbot with your CRM to use customer data for more personalized conversations.
  • Testing and Deployment: Before deploying, test the chatbot to ensure it responds as intended. Once satisfied, integrate it onto your website.

Read More: Chatbot Trends to Follow in 2024 

HubSpot Chatbot Best Practices

To ensure your HubSpot chatbot is efficient and effective, following certain best practices is essential. These practices help refine your chatbot's interaction with users, making it an invaluable asset for your business. Consider the following tips for optimizing your HubSpot chatbot:

  • Define Clear Objectives: Understand and define what you want your chatbot to achieve. This could be lead generation, customer support, or aiding sales.
  • Keep Conversations Human: Strive for a conversational tone and build your chatbot to handle different user inputs smoothly.
  • Continuous Learning: Regularly review interactions and refine your chatbot to enhance user experience and performance.
  • Personalization: Use customer data to create personalized interaction experiences.
  • Compliance and Privacy: Ensure your chatbot adheres to data protection laws and maintains user privacy.

16 KPIs to Measure Chatbot Effectiveness

Measuring the effectiveness of your chatbot is crucial. By tracking specific performance indicators like engagement, conversion rate, user satisfaction, and more, you gain valuable insights into how well your chatbot is performing and where your team can improve it. Here is a closer look at some of the most important metrics to examine if you plan on regularly utilizing a chatbot to supplement your customer support efforts: 

Total Number of Users

This KPI represents the total number of users (new, returning, engaged) who have used or are using your chatbot. If this number is low, there may be something off with your chatbot. It could be anything from page positioning to the number of pages to how slow it loads.

Engaged Users

Engaged users are significant because they represent people who have repeated sessions in a short period — daily or weekly, for instance. If you use a chatbot internally or have one set up to answer simple demo or billing questions, you want this number to be higher.

New Users

Equally important is the amount of new users your chatbot receives. The more new users you engage with can indicate that your chatbot is popular.

Chat Volume or Sessions

Chat volume refers to the number of sessions or successful conversations your chatbot has over a given time. Determining the time period is up to you. Monitoring this KPI shows an adoption rate over time. If it's low, you should reexamine parts of your bot.

Conversation Duration

Your conversation duration may depend on what your chatbot's intention is. For example, if you have a chatbot to guide someone to a demo request quickly, a short duration is good. It shows your chatbot understands what is needed. A chatbot programmed to handle support questions about your products or services may have a longer average duration.

Average Daily Sessions

This one is self-explanatory. It merely tells you how often users (new, returning, or engaged) are starting a conversation with your chatbot each day. Ideally, you want a good number of daily sessions to show your chatbot's effectiveness.

Total Conversations

Total conversations are the number of conversations your chatbot can handle daily. As you grow your user base, this number will grow as well. If they don't go up in tandem, this could be a sign that something is off somewhere.

Completion Rate

The completion rate of your chatbot refers to the success rate of a defined action your chatbot performs. If it's to guide people to your services page, and it does that, it's completed its goal. If it's designed to handle simple customer support questions and free up a support agent's time, it's also achieved its goal. Again, the higher the rate, the better.

Bounce Rate

Like a bounce rate on your website, this metric shows how many people entered your site without using or seeing your chatbot. In this scenario, the higher the percentage, the worse!

Fallback Rate

If your fallback rate is skyrocketing, you must restructure your chatbot. That's because a fallback is the number of times your chatbot cannot understand the user's needs and can't complete the task or redirect properly.

Activation Rate

Have you ever interacted with a chatbot and finished your initial conversation only to keep going because the bot engaged you with a new prompt? Then you contributed to its activation rate — or the metric that shows the number of users who engage in more tasks.

Chatbot Response Time

This shows how quickly your chatbot can start responding to your user. When your response time starts to slow, it's an indication something could be wrong with the back end.

Human vs. Chatbot Interaction

A chatbot can't answer all questions, and your bot should be able to pick up on that. The human vs. chatbot interaction rate will show how efficiently your chatbot is routing conversations to a human agent.

Ticket Deflection Rate

If you're using your chatbot to reduce your customer support agents' workload, look closely at ticket deflection rates. This shows the average number of tickets your team has had over time due to your chatbot.

Most Frequently Asked Questions

You can dig into your chatbot's metrics to see which questions are asked and which paths are taken most frequently. Data like this can show whether your chatbot can answer your customers' or prospects' concerns or if you need to make some tweaks.

Customer Satisfaction Rate

Some chatbots end with a simple question: "How would you rate your service today?" Collecting this information results in a customer satisfaction rate of how happy your users are with your chatbot's abilities. Lower rates indicate a misstep somewhere in the chatbot experience. You can follow up with a simple "Why?" to discover the reason.

Examples of a HubSpot Chatbot

HubSpot's chatbot builder offers versatile applications to cater to various business needs. To illustrate the range and capabilities of these chatbots, here are a few examples:

  1. Lead Qualification Bot: This chatbot engages website visitors to identify potential leads. It assesses the visitor's needs and interests by asking targeted questions, effectively segmenting and qualifying leads for further nurturing. HubSpot does a great job of this with its chatbot, which can be found throughout its website. 
  2. Customer Support Bot: Aimed at providing immediate assistance, this bot handles common customer inquiries. It can answer FAQs, guide users through troubleshooting steps, and escalate issues to human agents when necessary. Many agencies use HubSpot's tool to support customers by giving them a selection of queries that align with their interests. 
  3. Booking Bot: This chatbot streamlines the appointment scheduling process. It interacts with visitors to determine their needs and schedules meetings or calls by integrating with your calendar system, ensuring a smooth and efficient booking experience. Several companies in the travel, healthcare, and restaurant industries use chatbots in this scenario. 

Read More: 3 Ways to Extend HubSpot Chatbots with Custom Code 

Get Started with Chatbots Today 

HubSpot's chatbot tool is versatile and powerful, capable of significantly enhancing customer engagement and streamlining business operations. Understanding its functions, adhering to best practices, and effectively measuring its impact are vital to harnessing the power of AI-driven chatbots in your business strategy. With the principles outlined in this guide, you can do just that! 

For help building or streamlining your chatbot, contact our team today.

By: Corie Stark

After spending many years as a sports journalist, Corie switched to marketing in 2013. Her love of writing, talking to people, and keeping up with the industry enables her to use her skills for anything from social media to long-form blogging. Outside of work, she enjoys hiking with her dogs and making her cats chase the ever elusive red dot.

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