AI Technology25-01-20222 min read

How practical is GPT-3 for Conversational AI chatbots?

GPT-3 has changed what people expect from conversational AI. Ask it almost anything and you get a fluent, often surprisingly good answer. Whether that makes it practical for a chatbot or voicebot that talks to your customers is a different question, and that is what this article is about.

Paul Coerkamp
Paul Coerkamp
CEO & Co-Founder
How practical is GPT-3 for Conversational AI chatbots?

GPT-3 has changed what people expect from conversational AI. Ask it almost anything and you get a fluent, often surprisingly good answer. Whether that makes it practical for a chatbot or voicebot that talks to your customers is a different question, and that is what this article is about.

GPT-3 capabilities

GPT-3 reads and writes natural language very well, so it is an obvious candidate for conversational AI applications. Talking to it feels less mechanical than talking to a rule based bot, and it remembers what was said a few messages back. It was trained on an enormous amount of text instead of on one company's list of intents, which is why it can talk about nearly any subject. Its replies are usually better written than those of a traditional system. It is offered as an API, so volume is not a problem.

Limitations for enterprise use

For an enterprise rollout there are some catches. Cost is the first. You pay per token, so the bill grows with every conversation, and for a busy customer service bot that adds up. Responses also take longer than with an intent based bot, which is acceptable in a chat window and noticeable on a phone line. The model writes its own text, which means it can also say things you would never sign off on, so content moderation and safety checks are needed. And GPT-3 knows nothing about your products, your customers or your back office. Integrating it with existing systems is real work.

Making it work

To get good results you have to plan the prompt engineering, decide which context you send to the model with each request and design the user experience around it. In our experience the deployments that work best combine GPT-3 with domain specific knowledge and business logic. The model takes care of the language, while your own systems decide what is true and what the bot is allowed to do.

Our view, as of early 2022: GPT-3 is a significant step forward, but we would not let it run a customer conversation on its own. Use it where its language skills add something, keep the facts and the decisions in your own systems, and check the cost per conversation before you scale up.

Updated on 12 October 2026.

Paul Coerkamp
Paul Coerkamp
CEO & Co-Founder
Writes about Business Strategy, Enterprise Sales, AI Implementation, Startup M&A
Paul Coerkamp on LinkedIn
Published on 25-01-2022

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