AI agents, explained

The words you'll meet when you add AI to your website, defined in one sentence each, with what they mean for your business.

Every term, in plain English.

AI agent

An AI agent is software that understands what someone asks in plain language, decides what to do, and takes actions to get it done, such as looking up information, booking an appointment or passing a request to a person.

AI chatbot

An AI chatbot is a chat assistant that uses a large language model to understand questions written in everyday language and to write answers, instead of following a fixed script of buttons and keywords.

AI agent vs chatbot

A chatbot answers questions in a conversation, while an AI agent also takes actions to complete the visitor's goal, such as booking an appointment, checking live data or handing the request to the right person.

Retrieval-augmented generation (RAG)

Retrieval-augmented generation (RAG) is a technique where an AI first retrieves the most relevant passages from a set of documents and then writes its answer from those passages, so answers are grounded in that content.

Knowledge base

A knowledge base for an AI chatbot or agent is the collection of content it answers from, such as website pages, documents, FAQs, price lists and policies.

AI hallucination

An AI hallucination is an answer that sounds confident and plausible but is false or unsupported, produced when a language model fills a gap with a likely-sounding guess.

Lead capture chatbot

A lead capture chatbot is a website chat assistant that collects a visitor's contact details during the conversation, typically when they ask for a quote, a demo or a person, so the team can follow up.

Conversational AI

Conversational AI is technology that lets people interact with software in natural language, by typing or speaking, and get relevant replies, combining language understanding, a knowledge source and a way to respond.

Embeddings

Embeddings are lists of numbers that represent the meaning of a piece of text, so that texts about similar ideas end up close together and a computer can search by meaning rather than exact words.

Answer rate

A chatbot's answer rate is the share of visitor questions it answers from its knowledge, as opposed to replying that it doesn't know.

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