AI Boosts Conversational Workflows

Q: What opportunities did the company discern to evolve its business model?

A: We describe Yalo as a conversational workflow company. We focus on some of the largest companies in emerging markets, particularly in Mexico, and help them to build better and closer relationships with their customers. Our target companies usually operate in four verticals: banks, consumer-packaging goods, retail and travel. In emerging countries, people communicate using instant messaging apps. The average consumer with a cell phone spends 84 percent of their smartphone time in these apps. While this is the most common communication method among consumers, most large companies have not taken advantage of instant messaging to engage with their customers.

We are focusing on the predominant messaging channels to introduce the power of artificial intelligence (AI). We are creating AI-powered agents that can speak with consumers on behalf of companies. Today, you can book an Aeroméxico ticket through an AI agent and it works like a conversation between two people, all happening through WhatsApp or Facebook Messenger. Should the request become more complex, our AI can pass the conversation to a human agent. This helps companies decrease their costs and focus their human talent on solving harder problems or performing activities with higher added value. It is not a matter of eliminating the human factor, but of putting people in charge of solving harder problems or those that require a human touch.

Q: What lessons have you drawn from your business experience with companies like Aeroméxico in terms of users and technology adoption?

A: It is important to design an AI so it can communicate in a truly conversational fashion. We have to be really focused on the user interface, the user experience and on how people talk to each other to bring that to our technology. Users want to feel that they are having a normal conversation, even if it is with a bot. We never hide the fact that users are talking with an AI agent. Still, we want the flow to be natural because that is what helps people feel comfortable.

Smart interface design was one of the biggest lessons, followed by thoughtful integration of human talent. AI is not the right answer to all problems, but in combination with humans, it is really powerful. It is critical for companies to be able to promote this capability among customers. Companies have now integrated the number for their messaging-powered AI agents into television commercials or big email campaigns to let people know about them.

Q: How does the adoption of AI and automation solutions in the Mexican market compare to other countries?

A: China has been very fast in adopting instant messaging-based technologies thanks to the popularity of platforms like WeChat. With WhatsApp and Facebook Messenger in Latin America, the foundation is already there. Looking at the penetration of those communication technologies across Latin America, it is extraordinary how reliant people are on these platforms for their everyday lives. The next step is to help them move beyond just engaging with their peers to engaging with companies. At the end of the day, it is comfortable and natural for people to engage this way.

Q: What are the most important challenges Yalo faces as a company?

A: An interesting challenge we see in Mexico and places like Silicon Valley is the shortage of talent. There are many young companies that are growing and hiring engineers and business people. As a result, there is a great deal of competition for talent. In San Francisco and Silicon Valley, salaries have escalated and companies are fighting for people. We are starting to see that here. Solving this situation is a matter of creating more supply.

Both in Mexico and in the US, there are means for real change in how the educational system works. We are seeing the next generation of educational entrepreneurs running bootcamps for intense study on different topics and all of a sudden, students become extremely valuable because of the new skills they master. Moreover, it democratizes education and makes it available for anyone in society who has the will and intelligence to take advantage of it. Knowledge is free and that is fantastic. This trend serves a country like Mexico very well, since people do not have to spend tons of money on education.

Q: What is your vision for Yalo in Mexico?

A: We are focused on the idea of building an extraordinarily functional conversational workflows system for our clients. We want to help them be able to run their businesses supported by instant messaging, which can exist at the core of how they work and how they interact with customers. If we can do this, we can help big companies get closer to their customers than ever before and really help them solve their problems quickly.

Yalo is a conversational workflows company focused on emerging markets in Latin America, India and Southeast Asia.