Getting people to love the idea of talking to computers instead of people is proving more difficult than we thought.

Two decades after a generation of young internet users logged in to AOL Instant Messenger to talk (sorta) with SmarterChild, chatbots haven’t made much real progress in the eyes of users. Even the one’s industry insiders love to continue to disappoint and frustrate the general public.

Poncho, a favorite weather chatbot that took the form of a cartoon cat, shut down because its gimmick grew stale. Poncho’s cute tone made users more willing to accept its mistakes, but like most chatbots we’ve seen, it couldn’t deliver an experience meaningful enough to justify its existence. And don’t get me started on Tay.

Despite the regular failures, chatbots and the AI behind them still have incredible potential. Unfortunately, AI is more often bandied about as a buzzword than as an actual value point. As a startup mentor, I’m astonished by the number of people who throw “AI” into their pitch decks as the term can magically solve their problems.

People Want Useful Chatbots, Not Novelty

Consumers deserve better. It’s time to give up on the illusion that people will forget they’re talking to a computer.

Everyone knows a computer wouldn’t say, “Uh, come again?” but chatbots say it all the time. They pick out small cues in the user’s text, regurgitate quirky “conversational” phrases, and try to get by using obscure language in hopes that users won’t notice their limited ability to answer questions. The novelty works until users cycle through all the responses and discover the robot behind the curtain.

But what if we didn’t try to hide the robot? What if we just gave chatbots tasks for which they could have transactional conversations so they wouldn’t need to fake the way they’re emulating speech? The technology is closer than ever, but chatbot creators need to shed some of the preconceptions that prevent them from designing better tools.

Google’s latest AI demonstration wowed listeners with its ability to emulate human speech. But the presentation of the chatbot, complete with near-perfect human emulation when setting up a salon appointment, left many with doubts about whether the demonstrations were legitimate. Robots and AI are still years away from being legitimate personal assistants or taking over everybody’s jobs. We still need to teach them basic tasks and have them handle simple transactions.

People want AI conversations that feel legitimately useful, even if those conversations aren’t quite human yet.

That requires a more limited scope. Chatbots still need narrow parameters to showcase their limited functionality, and every time a tech company or a marketing team promises human-level speech and usefulness and delivers the same-old cookie-cutter experience, consumer trust in the chatbot market wanes.

The Struggles of Chatbots

True chatbots rely on two things: machine learning and natural language processing. Most chatbot projects in production use these tools in conjunction with some training program built from real-world consumer language to give their creations the appearance of life. As the capabilities of AI become more robust, creators of chatbots will then leave behind the shackles that have required us to limit the scope of these bots so far. That’s the good news.

The bad news is that chatbots are still struggling to overcome fundamental obstacles. Machine learning and natural language processing aren’t good enough to meet the wide-ranging promises tech companies are making — today’s AI can’t replicate real two-way communication outside of limited, stiff conversations. When users ask chatbots to answer questions, the bots often immediately forget the last question unless it’s on a highly scripted path. It’s like talking to Dory from “Finding Nemo” — every interaction is a blank slate.

For chatbots to sound like real people, they need to learn to hold productive two-way conversations. Managing state and workflow processes are key here: People ask questions in subtly different ways, so chatbots can’t account for all the variables. Even humans have problems in this area. And like some humans who resort to a joke when stuck in an awkward conversation, chatbots still rely on tricks to sound like people — they use filler words like “um,” ask a nonsense question, or say, “I didn’t understand that.”

Bring the Robots Out of Hiding

Creators are so afraid their robots will sound like robots that they don’t embrace the opportunities in which more robot-like chatbots would be useful tools. An effective tool isn’t just about two-way communication and continued conversations; it’s about chatbots that can successfully help users with a specific task. Many companies don’t deploy chatbots in the right use cases. They want flashy consumer-facing chatbots that marketing teams can get the press to write about.

Instead of trying to create something flashy to attract headlines, companies should be focusing on niche chatbots that create value for the people using them.

People wait for hours to listen to customer service representatives read through a standard script; wouldn’t they instead connect instantly to a chatbot that could provide the same level of service? Chatbots can filter all the most straightforward cases away from human support desks, freeing up staff to focus on more complex tasks.

When I worked with the city of San Francisco to create a chatbot, I found that keeping the chatbot’s capabilities purposefully limited to answering fundamental questions about procurement and leaving the gimmicks out of it freed up time for the employees and made compliance more accessible and more standardized.

Chatbots in 2019 won’t become personal envoys, but they can take over mundane tasks like automobile registration or dental bill payments. McKinsey & Co. found that companies could automate 29 percent of customer care. Why not let robots handle the busywork? While they’re plugging away in their niche roles, the AI behind chatbots will continue to improve — maybe leading to a genuinely practical all-purpose chatbot.

The near-term future of the industry isn’t sexy, but it can be functional and helpful if the creators of these tools focus more on what they can do and less on what they can’t. Rather than replace the weatherman with Poncho the cat, give chatbots the grueling call center jobs. The flashy stuff will come later.

Sorry, robots. You’re stuck with the boring jobs for now.

The post If Conversational Chatbots Want to Take Off, They Need to Act Like Robots appeared first on ReadWrite.

While critics and proponents trade jabs, cryptocurrency continues its steady march forward.

Individual cryptocurrency coins will remain volatile in 2019.

The individual cryptocurrencies will remain volatile in 2019 and beyond, but the game-changing power of the technology as a whole can’t be denied. Sure, those trying to make a quick buck in a deregulated market might have clouded the waters recently. But as the crypto landscape takes shape, doubters will see that crypto is destined to succeed.

Creating Lasting Value

New research from Satis Group shows that crypto trading volume will increase by 50 percent this year. That’s enough to overtake the trading volume of corporate debt in the U.S.

Short-term coins will come and go, but smart companies will increase their use of crypto for things such as supply chain tracking. These uses of cryptocurrency in other business and commerce settings — and not quick coin exits — will drive long-term value for the currency.

Businesses and their leaders should pay more attention to these use cases to discover new ways their organizations can find value in crypto. In the quest to make the best use of emerging technology, the winners are rarely the ones on the sidelines — and the crypto game is no exception.

The Bubble Is Dead

People remembered the big bitcoin crash early in 2018, and they’re now wary of thinly veiled cash grabs hidden behind initial coin offerings (ICOs). Businesses seem to have followed suit. With last year’s market collapse, large companies that previously dipped their toes into the crypto-pool — think Morgan Stanley or Citigroup — have seen those projects stall. In the long term, this deflation of speculative hype is a good thing.

The technology behind the coins will stick around, however, and audiences will become more interested in crypto technologies with real-world value and staying power.

The bumpy road toward crypto acceptance should surprise no one. It takes time for general audiences to accept any new technologies. Crypto is hazier, perhaps more misleading, but mostly less understood than most other tech fields.

As popular as crypto has become, its star applications remain unknown for now. Businesses such as Spot are currently experimenting with new offerings and functions as a gateway into the world of crypto. When the killer use case for crypto comes, many users won’t even know that it’s the technology behind the curtain.

Long Live Crypto Laws

Regulators are normally slow to move on disruptive tech. With crypto putting so many dollars on the line, though, Washington can’t twiddle its thumbs forever.

This year will likely see lawmakers introduce new waves of crypto legislation. If they’re structured properly, new rules could help the industry by pushing bad players out. Good laws will clamp down on sketchy ICOs and clean up some of the suspicions that surround crypto today.

Some lawmakers have already begun the process. U.S. Reps. Warren Davidson of Ohio and Darren Soto of Florida introduced the bipartisan Token Taxonomy Act late last year. This Token Taxonomy Act operates to clarify crypto’s exemption from securities laws after it forms a functioning network. The new legislation will also define a “digital token,” paving the way for better laws regarding the technology moving forward.

How to Get Ahead of the Crypto Hype

When advocates tell companies to “get into crypto,” they don’t mean that businesses should start paying employees with Ethereum. Anyone looking to join the crypto movement and get the most out of this business opportunity can follow a few basic guidelines:

1. Don’t let the hype get to you.

Crypto often makes news because of what it is, not because of what it does.

Only understanding what a sector of business leads to tons of speculation and questionable informants using platforms of authority to mislead. Don’t listen to just anyone who claims to be a crypto expert. Those people who claim to be in the know, or who claim to have special expertise are targeting the massive forecasted increase in personal crypto investing this year.

As has always been the case in new technological fields — an individual may or may not have any degree of intelligence or insight about how the technology actually works. Don’t get wooed by someone who has memorized some technical jargon.

2. Focus on technology, not trading.

Crypto and blockchain refer to distributed ledger technology. Essentially, the distributed ledger will allow the creation of secure public records of transactions.

The fundamental truth of crypto is not that it’s magic money born of computers; it’s a distributed system of record that can, if applied properly, have beneficial benefits for all of its user in many different sectors of business. The distributed ledger can provide safety for purchasers, where there was none before. One such benefit is storing and keeping track of financial value.

3. Look for use cases that show value.

For anyone who runs a company that has some form of digital currency, asset tracking, or a need for distributed quality control, crypto offers too many potential uses to ignore.

Unfortunately, would-be entrepreneurs like to throw a crypto component atop haphazard tech architecture to generate buzz. Make sure crypto will add value to your business processes. Exercise caution around proponents, and ask to see demonstrated cases. At the very least, a crypto partner or advisor should be able to explain the usefulness and the reason why crypto will help in plain English.

4. Quit telling. Start showing.

No one cares about whitepapers in this arena anymore — the crypto crash and subsequent ICO scams exposed many of them as the fraud they were.

The only companies with a legitimate claim to a future in crypto are the ones that will be able to showcase useful prototypes. Yes, crypto companies need to document their tools and explain what they do, but they don’t need to fill a couple of pages with jargon to do it.

Consumers and business leaders alike fell into a trap when crypto burst onto the scene in 2017, but the rocky road crypto saw in 2018 doesn’t represent its future. This year will see the pace of crypto and blockchain accelerate as more legitimate uses of the technology come to light.

Let the bitcoin acolytes have their fun. And in the meantime, keep an eye on the legitimate uses (and promising future) of 2019’s most exciting technology.

The post Stop Focusing on Cryptocurrencies Problems. Consider its Future. appeared first on ReadWrite.

Just for a moment, imagine what it’s like to be sight-impaired. You pull a box of pancake mix from your kitchen pantry. But you hesitate. Didn’t you buy that box years ago? What if it’s expired? The use-by date isn’t embossed or written in braille, so you can’t read it.

Fortunately, someone else can.

After grabbing your smartphone, you tell Google Assistant to open Be My Eyes. You snap pictures of the box’s sides, top, and bottom. In 45 seconds, you’re connected with a volunteer who gives you the good news: Pancakes are on the menu. Not only that, but the volunteer behind the screen will also be able to tell you when it’s time to give the pancake a flip.

Be My Eyes is a shining example of how designers can use technology to enhance the lives of all users — no matter how they might interact with the product. Savvy design does more than bring about 100-fold investment returns. It also celebrates humanity by helping users with different needs and abilities live more richly, capably, and happily than ever before.

Designing for better lives

User-centered technologies share a few things in common: a commitment to empathy, form that follows function, and thoughtful accessibility features. Here’s how to build each into your next design:

1. Map out your users’ emotions.

Before writing a single line of code or creating your first wireframe, think: Who are you designing for? What motivates them? What are they thinking as they use your product? Almost three-quarters of users expect companies to not only build useful products, but also understand the needs and expectations associated with those products. Great user experience designers know that the closer they can get to understanding those invisible forces of influence, the better they can design something that connects with users on an emotional level.

How, though, can you discover what moves your target users? We use empathy mapping and user interviews to understand and anticipate users’ needs. And more often than not, we learn that we don’t know our users nearly as well as we thought we did at the start of the activity.

2. Use form as a function shepherd.

Aesthetics matter in every product, but they should serve a purpose beyond looking good. Use form to guide the user to the correct function. In perceptual psychology, this process is known as affordance. A coffee mug, for example, doesn’t need a user manual. Its shape alone makes clear that it’s designed to be picked up by the handle, which provides the function of avoiding being burned by the ceramic that’s been heated by scalding coffee.

Think about how each element of your product provides clues to the product’s overall function. A good place to start is digital buttons. Do they look like they should be tapped to navigate elsewhere in your app or site? Even if they are attractive, is their destination vague? Before going live, conduct observational user testing to ensure end users get the message from your design choices. Prompt users to complete a task, and watch how they naturally interact with your design.

3. Make your design more accessible.

 Not long ago, we designed a touch-screen kiosk for the city of San Francisco. To understand how to accommodate users who utilize wheelchairs or other assistive devices, we turned to the Americans With Disabilities Act. Ultimately, we chose to create a unique interface prompted by an “ADA Mode” button for those who needed touchable items to be lower in the interface.

Next time you’re designing, pull your user research out. Consider what features users might need your design to possess, such as language preferences, text-to-speech services, or device compatibility. Even a lack of Wi-Fi is still fair game for users in rural areas or users who can’t afford smartphones. The TripIt app solved a perennial pain point in travel tech by developing an itinerary feature that, when synced once, remains available to users offline.

Not everyone interacts with technology in the same way. Not everyone has five senses or a UX designer’s knack for navigating interfaces. But technology products still need to reach those individuals. It’s been said before, but it bears repeating: Designers can create truly life-changing products by focusing on users’ needs.

The post Empathy, Form, and Accessibility: 3 New Tenets of User-Centered Design appeared first on ReadWrite.

I approach my personal life much as I do my products: always seeking a better user experience. So when I learned about the Jawbone sleep tracker, I was intrigued. I spend a third of my life sleeping — I’d love to learn a little bit more about what’s going on during that time!

Unfortunately, the Jawbone device itself wasn’t what I’d hoped it would be. With a poorly designed clasp, it came undone at random times. Was it water resistant as advertised? Not really, though I was allowed to freely exchange the one I got wet.

So why, given all its flaws, did I buy Jawbone’s wearable not twice but three times? Thanks to a stellar app interface, the device’s UX struck me as stronger than anything else on the market.

Let this be a lesson to everyone building Internet of Things devices: The product doesn’t have to be perfect if its service layer offers tremendous value. The Jawbone app’s sleep quality graphs kept me loyal despite the product’s physical failings.

Of course, this isn’t to suggest that you should create subpar hardware. We love our industrial design counterparts. Through tireless iteration, your goal should be to provide the market with the best solution, inside and out. But if you have to skimp somewhere, don’t do it on the service layer. The web interface is where users derive the value from a connected product. An IoT product that delivers a standout service is one worth buying, even if the rest of the unit isn’t perfect.

Start With the Service Layer

To crush the competition with your IoT device’s service layer:

1. Be the user’s preferred painkiller.

A while back, a client asked us to help with a smart meter service that helps users monitor and manage their energy consumption. But users don’t need a better meter — there are dozens of lookalike options out there already. They need an easy-to-use interface. So we built an all-in-one dashboard with real-time usage charts, consumption goals, and calendars.

Start by understanding the pain your target user is facing with a technique called empathy mapping. An empathy map puts you (and, if you work at an agency, your client) inside your user’s head to learn what she is thinking as she tries to solve her problem. Empathy mapping is the first step in creating a user persona. These exercises might lead you to hardware insights, but first and foremost, it’ll tell you what sort of service your user needs.

Plan to identify and describe real users, naming them to discuss their issues plainly. “Roger loves to run, but he struggles to hold himself accountable to his running goals” is what Apple’s designers might’ve said when building out user personas for the latest Apple Watch. Through the iPhone app, the Apple Watch generates stretch goals for users while tracking their daily process. Whatever your opinion of the watch itself, there’s no doubt its service layer is strong.

2. Push insights at the right time.

An insight in the wrong context is just a meaningless data point. Knowing what information the user needs starts with mapping out their journey, perhaps during or after your empathy-mapping exercise.

To build your journey map, plot on the horizontal axis the steps or actions the user takes chronologically with your product. On the vertical axis, add themes to understand what information or insights the user needs at each step. Turn to your empathy map, surveys, prototyping feedback, and qualitative interviews to understand the needs of your user at specific times. This will give you the context to determine what insights will be meaningful.

We conduct journey maps for every product we build. For example, a fitness product’s journey map led us to add calendar functionality into the app so users could preschedule their workouts and receive reminders. Constantly updated workout data kept users motivated when they needed it most. Sleep Number’s It Bed is another prime example. When It Bed’s users wake up, they find a series of charts on their prior night’s sleep waiting for them.

3. Take a long view.

Truly useful IoT devices don’t just serve up here-and-now insights. Because they’re basically sensors paired with an app interface, IoT products’ greatest value often lies in trend data. A home energy consumer, for example, doesn’t just want to know how many kilowatt hours she’s using today; she is interested in how her electricity usage fluctuates over time. Only then can the user know which actions have the biggest impact on her bill.

If you conduct enough research and talk to your users, you’ll discover what long-term things they want to track. The creators of Interact IoT, for example, learned that their users of cashless payment methods like Apple Pay were losing track of their spending. Interact IoT connects with devices like the Nest thermostat and the Pavlok wristband, helping users stay under their monthly budget by turning down their thermostat or shocking their wrist.

Now, for the elephant in the room: Jawbone closed its doors last summer — but not because of problems with the UX of its products. By many analysts’ accounts, the wearable firm ran low on capital while it spread itself too thin on product lines. So no, I won’t be ordering a fourth Jawbone. I’ll have to just hold out until a sleep tracker with an even better UX meets the market.

The post 3 Service-Layer Strategies to Make Your IoT Product’s UX Shine appeared first on ReadWrite.