What is conversational AI?

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Conversational AI simulates human-like conversations with people across web chat, SMS, email, and other messaging channels. Unlike traditional chatbots that rely on rigid, rules-based responses, conversational AI uses natural language processing and machine learning to understand context, intent, and nuance, so every interaction feels personal and dynamic.

In customer service, the goal of conversational AI is to make interactions fast, easy, and natural, whether someone’s asking a simple question, looking for a product recommendation, or trying to resolve an order issue. Conversational AI uses data from past conversations, shopping history, and real-time signals to provide instant answers, smart product suggestions, and even help complete transactions—all without waiting for a human agent to intervene.

The main purpose of conversational AI isn’t just to answer questions. It’s to turn conversations into conversions. Many people abandon purchases because of unanswered questions about sizing, shipping, or policies. Conversational AI solves this problem instantly, offering personalized, round-the-clock support without you scaling your human team.

What does conversational AI do?

Consumers expect instant, personalized support across every channel they use. According to Klaviyo’s 2025 future of consumer marketing report, 74% of consumers expect brands to deliver more personalized experiences this year, and 81% expect a response within 24 hours after reaching out about a negative experience.

Here are a few ways conversational AI helps businesses meet customers where they are, in real time, without the friction of traditional support channels:

  • Delivers instant, always-on support: Conversational AI can answer questions, resolve routine issues, and guide consumers 24/7, so people never have to wait around for help when they need it.
  • Personalizes every interaction: Conversational AI tailors recommendations, answers, and offers to each person’s preferences and history.
  • Supports buying decisions: Conversational AI can recommend products, guide customers to check-out, and help reduce friction during purchase, helping shoppers make more confident decisions.
  • Maintains consistent brand voice: When it’s trained on your storefront, help articles, and product catalog, conversational AI sounds like you, not like a chatbot.

Key features of conversational AI

Conversational AI combines several core capabilities to help deliver intelligent, personalized support and engagement across channels. Here are just a few of its core building blocks:

  • Natural language understanding: Conversational AI interprets questions, statements, and intent in everyday language, not just keywords or pre-set phrases.
  • Contextual awareness: Conversational AI references current customer activity, recent messages, and past interactions to give more accurate, relevant responses.
  • Automatic problem resolution: Conversational AI manages common questions about things like order status, returns, and shipping without human intervention.
  • Omnichannel fluency: Conversational AI supports conversations across web chat, SMS, email, and messaging apps like WhatsApp, so customers can engage however they prefer.
  • Smart escalation: When a customer inquiry is too complex, conversational AI hands it off to a human agent with full conversation context preserved, so the customer never has to repeat themselves.

Benefits of conversational AI

Conversational AI can make it easier to scale support and increase efficiency while improving the experience for both customers and teams. Here are some of the ways it can help:

  • Faster response times: With conversational AI, customers can get answers and support in seconds, without waiting for a human agent to free up and intervene.
  • Greater operational efficiency: Conversational AI handles routine questions automatically, giving support teams more time and energy to devote to high-value customers and more important or complex interactions.
  • Less friction in the buying process: Conversational AI can provide customers with instant answers and product guidance to help remove doubt between browsing and check-out. When customers can get immediate answers about sizing, shipping, or product details, they’re more likely to complete their purchase rather than leaving to think about it.
  • More sales opportunities: With conversational AI, every conversation becomes a chance to recommend products, suggest upgrades, or highlight promotions that match the customer’s interests. 

Conversational AI can help turn everyday interactions into seamless, personalized experiences that feel helpful and consistent.

Ready to deliver helpful conversational AI support for your customers? Get started with Klaviyo AI (K:AI) Customer Agent* today.

*K:AI Customer Agent is currently available in English. Additional languages will be available in 2026.