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Creating a Chatbot from Scratch: A Beginner’s Guide

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With the rapid rise in the use of  AI and language models in businesses, it’s a given that chatbot usage will continue to grow as a powerful business tool. The chatbot industry is predicted to reach a market size of $3.62 billion by the end of 2030, with a yearly growth of 23.9%.

In recent times, business leaders have been turning towards chatbots and are investing heavily in their development and deployment. Due to the increasing demand for messaging apps, chatbots are booming in the marketing world.

In this article, we will explore how to create a simple chatbot in Python, discuss its types, the advantages of using chatbots, and the future potential of chatbots.

What is a chatbot?

A chatbot is a software or computer program that utilizes artificial intelligence (AI) and natural language processing (NLP) techniques to automate responses and understand customer questions, simulating human conversation.

For instance, OpenAI's ChatGPT, based on the GPT-3 language model,  is a fine example of a chatbot. ChatGPT is a conversational AI model that has been trained on massive amounts of text from the internet and is capable to produce a human-like response to user inputs.

Chatbots enable human interaction with digital devices that are analogous to human communication with each other.

How does the chatbot work?

The term “chatbot” is a broad term, as chatbots come in many forms and sizes. Chatbots work by responding to your queries, comments, and questions through a web chat interface or voice technology. They use various technologies, including natural language processing (NLP), automated rules, AI, and machine learning (ML).

Natural language processing (NLP) uses the concepts of other fields, which include linguistics, computer science, and artificial intelligence. It processes human language using a large amount of textual data to predict the outcomes.

Automated rules in a chatbot refer to pre-defined conditions or instructions that are programmed to trigger certain responses in response to specific user input.

Machine learning is a subfield of AI that enables web applications to precisely predict the results. It uses historical data to train models and give us accurate results.

Types of chatbots

There are different types of chatbots which are listed below:

  1. Rule-Based Chatbots: These chatbots are designed to follow a specific set of rules and provide predetermined responses to specific questions or commands.
  2. Keyword Recognition-Based Chatbots: These chatbots recognize specific keywords or combinations of keywords from content in a user's request and provide an appropriate response based on those keywords.
  3. Machine Learning Chatbots: These chatbots employ machine learning (ML) techniques to comprehend user input and provide feedback on questions and requests. They can learn from past interactions and adapt their responses accordingly.
  4. The Hybrid Model: This type of chatbot is a combination of both automation and live agent, leveraging the strengths to provide a more flexible solution to handle routine tasks of customer service.
  5. Voice-Enabled Chatbots: These chatbots are designed to interact with users through voice commands and natural language processing (NLP), making them well-suited for voice-activated virtual assistants.

Creating a simple chatbot in Python

In this section, we will create a simple chatbot in Python. There are different ways to make a chatbot, from simple to complex. Here, we will only use the function and conditional statements to implement the chatbot’s program.

Let’s dive deep into chatbot coding!

#Let's Create a Simple Chatbot in Python
#define a greet function
def greet(bot_name, birth_year):
#print the question answers
    print(f”Chatbot: Hello, I am {bot_name}. I was created in {birth_year}.”)
    print(“Chatbot: How can I help you today?”)

#Use another Function respond
def respond(user_input):
#use conditional statements
    if user_input.lower() == “hi” or user_input.lower() == “hello”:
        return “Hello there! How can I help you today?”
    elif user_input.lower() == “bye”:
        return “Goodbye! Have a great day.”
    elif user_input.lower() == “what is your good name?”:
        return “My name is Chatbot.”
    elif user_input.lower() == “what is your birth year?”:
        return “I was created in 2021.”
    elif user_input.lower() == “what can you do?”:
        return “I can answer your questions, have a conversation with you, and perform basic tasks.”
    elif “weather” in user_input.lower():
        return “I am not able to check the weather at the moment, sorry.”
        return “I'm sorry, I don't understand what you're trying to say. Could you please rephrase that?”

bot_name = “Chatbot”
birth_year = 2021
greet(bot_name, birth_year)

while True:
    user_input = input(“You: “)
    response = respond(user_input)
    print(f”Chatbot: {response}”)
    if user_input.lower() == “bye”:







This chatbot contains a greet function that prints a greeting to the user when the chatbot begins. The response function takes in the user's input and returns a response based on the user's command. The chatbot can answer questions about its birth year and name, and it can perform simple tasks e.g. saying hello and goodbye. If the user inputs something that the chatbot doesn't understand, it will respond to the user to rephrase their command.

The program shows how to create a basic chatbot in Python using only functions and conditional statements. It also displays how to carry out a simple conversation with the user using input and output statements.

How do businesses utilize chatbots?

Businesses utilize chatbots in numerous ways to improve customer experience and streamline internal processes. Chatbots provide various benefits to businesses which are listed below.

  • Customer service

Chatbots provide quick and efficient customer service by answering common questions, resolving issues, and directing customers to the right resources. It helps businesses to handle a surge in customer inquiries and provide 24/7 availability.

  • Online shopping

Chatbots can be integrated into e-commerce websites to assist customers with their shopping experience. They can help customers navigate the website, find products, and complete transactions.

  • Virtual assistants

They can be used as virtual assistants to automate routine tasks and provide information. For example, chatbots can be used to schedule appointments, manage calendars, and send reminders.

  • Automated marketing and sales:

Conversational chatbots can be utilized for social media sales campaigns. They not only manage customer interactions across all stages of your sales cycle but also contribute to revenue growth.

Challenges of Using Chatbots

Chatbots have become increasingly popular as a new tool for businesses to interact with customers and provide support. However, there are several challenges associated with using chatbots.

  • Limited understanding of human language:

One of the main challenges is NLP, as it involves the understanding and interpretation of human language which is complex and nuanced. Another challenge is their limited understanding, as they can only understand what they have been trained on and may not be able to handle unexpected requests or questions.

  • Privacy and Security

As chatbots capture and keep the personal information of users, there are also concerns about privacy and security.

  • User Frustration

User frustration is another challenge, as chatbots can cause frustration when they fail to understand the user's request or provide incorrect responses.

  • Cost

Chatbots are costly if you want to implement various types of chatbots in all your platforms (websites, apps, etc.), it will require even more coding and add up to the cost.

Making Life Easier: How Chatbots are Changing the Game?

Where is the revolution of chatbots headed? Chatbots further enhance human capabilities and free humans to be more innovative, spending more of their time on strategic planning rather than tactical activities.

Shortly, when AI combines with the development of 5G technology, businesses will likely enjoy improved chatbot features such as quick recommendations and predictions and easy access to high-quality video conferencing. These things are in the investigative stages and will evolve rapidly as internet connectivity, AI, and NLP advance. Finally, every person can have a fully functional personal assistant in their pocket, making our world a more connected place to work and live.

Do you want to learn data science and AI? Check out more blogs on and nurture your skills or want to further your education on chatbot, visit our recommended chatbot courses & certifications.