AI Chatbots for Small Business: Worth the Hype?
AI chatbots are everywhere. But are they actually useful for small businesses, or just another overhyped tech trend? Let's take an honest look.
What Chatbots Can Do Well
1. Answer Frequently Asked Questions
Most customer inquiries are repetitive:
A well-configured chatbot handles these 24/7, freeing your team for complex issues.
2. Qualify Leads
Chatbots can ask screening questions:
This ensures your time goes to qualified prospects.
3. Book Appointments
Integrated with your calendar, chatbots can:
4. Collect Information
Before a consultation, chatbots can gather:
What Chatbots Can't Do (Yet)
1. Handle Complex or Emotional Situations
Angry customers, complicated problems, or nuanced negotiations still need a human touch.
2. Replace Relationship Building
For high-trust services (legal, medical, financial), human connection matters.
3. Make Judgment Calls
Chatbots follow rules. They can't make exceptions or read between the lines.
The Right Approach
The best chatbot implementations:
1. **Start simple**: Answer top 10 FAQs first
2. **Set expectations**: Let users know they're talking to a bot
3. **Easy escalation**: Make it simple to reach a human
4. **Continuous improvement**: Track what questions the bot can't answer and expand
ROI Calculation
Consider a chatbot if:
**Example ROI:**
Implementation Options
DIY Solutions ($0-100/month)
Custom AI Chatbots ($2,000-5,000 setup + monthly)
Verdict: Worth It?
For most small businesses, a simple FAQ chatbot is worth implementing. It's not transformative, but it saves time and captures leads you'd otherwise miss.
More sophisticated AI chatbots make sense if customer inquiries are a significant workload and you're ready to invest in proper implementation.
Schedule a free consultation to discuss whether a chatbot makes sense for your business.
Brian Lo
Founder of brianlo.ai, helping small businesses save time and grow with intelligent automation.
Learn more about Brian →