An ecommerce company is using a generative AI chatbot to respond to customer inquiries. The company wants to measure the financial effect of the chatbot on the company's operations. Which metric…

Question

Options

• ANumber of customer inquiries handled
• BCost of training AI models
• CCost for each customer conversation
• DAverage handled time (AHT)

• A
  10% (5)
• B
  6% (3)
• C
  80% (41)
• D
  4% (2)

Explanation

Explanation

Cost per customer conversation directly measures the financial impact of the chatbot by quantifying how much money is spent to resolve each customer interaction, making it easy to compare costs before and after chatbot implementation and calculate ROI. Option A (number of inquiries handled) is a volume metric that shows scale but tells you nothing about financial efficiency or savings. Option B (cost of training AI models) is a one-time or periodic investment expense, not an ongoing operational metric that reflects the chatbot's day-to-day financial effect on the business. Option D (average handled time) is a time/efficiency metric that indirectly relates to cost but doesn't directly measure financial impact - you'd need to convert it to dollars to make it meaningful.

Memory Tip: Think "financial effect = financial metric." Whenever a question asks about money/financial impact, look for the answer that is already expressed in dollars (cost), not in time, volume, or one-off expenses. "Cost per conversation" is the only choice denominated in financial terms relevant to ongoing operations.

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