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Definition

Conversational AI

Conversational AI is AI that can hold a natural conversation by text or voice. It understands a question asked in everyday words, replies in plain language, and remembers what was said earlier in the chat. It powers modern chatbots, voice assistants, and tools like ChatGPT and Claude. For a small team, the useful version is an AI helper (the industry calls it an agent) that answers your customers' common questions from your own information. We work with a two-person online course business teaching bookkeeping, where 400 students asked the same questions in the community. An AI helper now answers from the course material and links the lesson, so the founders answer about 20 questions a week instead of 120. Anything about a student's own tax still goes to a person.

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