Ulimi, chatbots and buying behaviour · 2. Chatbots 101 12 ACTUARIAL SOCIETY 2019 CONVENTION | 22 - 23 OCTOBER 2019 Millennials willing to share…its like Whatsapping a friend Very

Ulimi, chatbots and buying behaviourCan multi-lingual chatbots improve product access and understanding in the

South African market?

1. In t roduct ion

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How do you create emotional connection?

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1. In t roduct ion

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1. In t roduct ion

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1. In t roduct ion

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1. In t roduct ion

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In March 2013…everything changed…

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1. In t roduct ion

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1. In t roduct ion

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Can chatbots create emotional connection?

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1. In t roduct ion

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Why chatbots?

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2. Chatbots 101

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“Chatting” is second nature

Convenient

Personalized

Media rich channel

Data-driven conversation design

Leverages highly adopted platforms

1

3

4

5

6

2

10

2. Chatbots 101

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“Chatting” is second nature

Convenient

Personalized

Media rich channel

Data-driven conversation design

Leverages highly adopted platforms

1

3

4

5

6

2

11

We have built chatbots that help people

1. access

2. understand

3. and buy

financial services products…and we entertain

them along the way

2. Chatbots 101

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Millennials wil l ing to

share…its l ike

Whatsapping a fr iend

Very intuit ive and easy

to use (vs Website)

Low tech requirements

Connected with this user

at 5AM!

CompariSure Valentine’s Day Competit ion

Improved our

understanding of this

customer

Let us help you plan your perfect VDay!

Firstly, are you single and ready to mingle?

Going steady with your Boo?

Planning a romantic night with Hubby?

Going steady with Boo!

Oooh let’s get into it. If you were given the choice, which of

these date options would you go with, Tebogo?

Adventure Romance

Adventure

Something adventurous, interesting…

Will there be candles? A glass or red wine or two?

Share the details of how you would plan this all out

Book an exclusive lodge…rose petals, champagne, and

The room must also have candles.

chocolate

Will put on lingerie!

2. Chatbots 101

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Easily highlight product

features and demonstrate

value to user

Psychology and question

order is crit ical

How much funeral cover would you like to add to your quote?

R40k

Getting Family Funeral Cover

R20k R30k R40k

You have selected R40k cover

Let’s move on to your family members

Tebogo, you mentioned you have two children

A special feature of the ABC Funeral Plan is that

children under 21 can be added at no extra cost

Would you like to add your two children to the quote for free?

Yes

Great! What is your first child’s name?

Am out of battery

Machine learning applied to

reduce user errors / invalid

responses

2. Chatbots 101

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User comprehension

problem – the role of

language

TCF Principle 3: Consumers are

provided with clear

information…

FSCA Objective: Provide f inancial

education and

promote f inancial

l i teracy

Language Challenges

Who would you like to add to your quote next?

I really want my Daughter to be my spouse please

Spouse/Partner Parents Extended Family Other

A Spouse is your husband/wife, boyfriend/girlfriend or partner

Children

Can you confirm that your first name

as per your SA ID is Freedom?

No

What is your first name as per your SA ID?

Come again I’m not understand

because it write a bombastic words

3. The Role and Impact o f Language

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3. The Role and Impact o f Language

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Cognitive Perspective

• Easier to process

• Easier to share information

Affective Perspective

• Effect of language on trust

• User feels acknowledged and

accepted, and that their

culture is appreciated

3. The Role and Impact o f Language

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Language options and consumer

preference

“Would you like to continue in isiXhosa or English?”

Home Eng

Xhosa 57% 43%

Afrikaans 56% 44%

Zulu 54% 46%

Sotho 49% 51%

Pedi 33% 67%

3. The Role and Impact o f Language

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Language options and conversion rate

“Would you like to continue in isiXhosa or English?”

Not given the

option

Given the

option

Start445

100%

445

100%

Complete

Purchase

32

7.2%

38

8.5%

p-value - 0.035

3. The Role and Impact o f Language

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Language options: Zulu versus English

Chose isiZulu,

continued in

isiZulu

Chose English,

continued in

English

Number of conversations 285 275

Average error count 4.79 2.89

p-value (error count) <0.001

Number of policies

bought15 12

p-value (policy sales) 0.3

In English, we asked:

“Would you like to continue in isiZulu or

English?”

4. The Workplace of the Future

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How will bots impact the work force?

4. The Workplace of the Future

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Bots assisting humans

Humans assisting bots

100%

0%

Launch month

Human

sales

Bot sales

Human

sales

Bot sales

17%

83%

Most recent

month

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User Training the Bot

4. The Workplace of the Future

We asked the user:

What is your highest qualification?

They answered: Std 9

I think they meant: No matric

Am I correct?

September Errors per

Conversation3.33

Errors Per Conversation

since Bot Training2.94

Reduction 0.39

September

conversation count12,092

Implied error

reduction for

September

4,715

What is your highest level of education?

Std 9

No Matric Matric Diploma Degree

Please select one of the available options

No Matric

Admin review of Bot Training

The options are ‘No Matric’, ‘Matric’, ‘Diploma’, ‘Degree’

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Administrator Training

4. The Workplace of the Future

Ngabe ufuna ukufaka elinye ilungu lomndenit?

unkosikazi wami

Please select one of the available options

Administrator training the chatbot in Zulu

Confirmed ‘Umlingani’

Admin intervention

4. The Workplace of the Future

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Are people actually engaging with

chatbots?

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>100,000

Cumulative User Count

4. The Workplace of the Future

0,6%

1,9%

3,4%

4,9%5,7%

9,7%

10,8%11,4%

12,8%

April May June July August 2-3 mths 3-6 mths 6-9mths 9-12mths

Conversion Rates

Calendar Month Duration

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The power of a

digital marketing

engine

4. The Workplace of the Future

4. The Workplace of the Future

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Human Agent

• Recruitment, Training

Accreditation, Compliance

• Office space, PCs, desks etc

• Team Leader, Trainer, QA

• HR, Leave Allowance

• Leads, leads, leads, leads

Bot Agent

• Leads

• Leads

• Leads

• Leads

• Leads

• Leads

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4. The Workplace of the Future

20192 20193 20194 20195 20196 20197 20198 20199 201910

50

pols

p/m1 agent

26

½ human agent

0 bot agents

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4. The Workplace of the Future

20192 20193 20194 20195 20196 20197 20198 20199 201910

84

50

pols

p/m1 agent

1.5 human agents

0 bot agents

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4. The Workplace of the Future

20192 20193 20194 20195 20196 20197 20198 20199 201910

50

pols

p/m1 agent

1602 human agents

1.5 bot agents

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4. The Workplace of the Future

20192 20193 20194 20195 20196 20197 20198 20199 201910

286

50

pols

p/m1 agent

3 human agents

3 bot agents

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4. The Workplace of the Future

20192 20193 20194 20195 20196 20197 20198 20199 201910

7003 human agent

11 bot agents

50

pols

p/m1 agent

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4. The Workplace of the Future

20192 20193 20194 20195 20196 20197 20198 20199 201910

1,200 +

Admin = 100

50

pols

p/m1 agent

3 human agents

19 bot agents

1 bot support admin

20192 20193 20194 20195 20196 20197 20198 20199 201910

Actual Sales Estimate

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4. The Workplace of the Future

4. The Workplace of the Future

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Website

Lead Form

Call center

Online ad

4. The Workplace of the Future

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Website

Lead Form

Chatbot

Online ad

4. The Workplace of the Future

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How it works - our business model

Pil lar 2: Marketplace

Consumers and product providers

connect via marketplace

Pil lar 1: Direct To Consumer

Consumers and product providers

connect directly

Product

Provider 1 Product

Provider 4 Product

Provider 5

Product

Provider 1 Product

Provider 2 Product

Provider 3

37

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4. The Workplace of the Future

Chatbot effectiveness

Call Centre Chatbot

Lead Cost 3P

?Call Centre Cost 3P

Conversion Rate 5%

Inception Rate 70%

4. The Workplace of the Future

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