What is a virtual agent? Definition, examples and business benefits
Author: Matt Jones | Date published: January, 31, 2026, UK | Read est: 5 min read
Virtual agents are rapidly transforming the way businesses interact with customers and employees. By combining artificial intelligence, natural language processing and automation, virtual agents handle routine queries, provide personalised support, and enhance operational efficiency. From power virtual agents to voice agents and text agents, these tools allow organisations to deliver faster, more consistent and scalable interactions across multiple channels.
Defining virtual agents
A virtual agent is an AI-powered software application that interacts with users through natural language. It can be deployed across websites, apps, messaging platforms, or voice-enabled systems to answer questions, guide users through processes, and complete tasks without human intervention. Virtual agents come in various forms including text agents, voice agents, and more sophisticated solutions like power virtual agents that integrate deeply with enterprise systems.
Text agents vs voice agents
Text agents communicate with customers through messaging platforms, chat widgets, or SMS. They are ideal for handling written queries, FAQs, and digital forms of support. Voice agents, on the other hand, interact through spoken language, often integrated with call centre systems or smart devices. Both types improve accessibility and allow businesses to meet customer preferences for communication channels.
Power virtual agents
Power virtual agents are advanced AI solutions that can handle complex queries and integrate with business systems such as CRM, ERP, or customer support platforms. They provide enhanced capabilities for workflow automation, contextual understanding, and analytics. This allows businesses to scale their support operations without compromising on quality or compliance. Learn more in our virtual agent solutions page.
Key features of virtual agents
Modern virtual agents offer a range of features designed to enhance customer experience and support business efficiency. Understanding these features helps organisations select the right solution for their needs.
Natural language understanding
Virtual agents use natural language processing to interpret user queries accurately. They can understand variations in phrasing, slang, and context, making interactions feel human and responsive.
Multichannel support
Virtual agents operate across multiple channels simultaneously, allowing seamless engagement whether the user is on a website, mobile app, messaging platform, or voice call. This ensures customers receive consistent service wherever they interact with the brand.
Integration with business systems
Advanced virtual agents connect with enterprise applications such as CRM, ticketing systems, or databases. This enables personalised interactions, faster query resolution, and automated workflows that improve efficiency. For further insights, see our AI in customer experience blog.
Examples of virtual agents in action
Virtual agents are being used in a variety of industries to streamline operations and improve customer experience. Here are some common examples:
- Customer support: Answering FAQs, guiding users through troubleshooting, and escalating complex issues to human agents.
- Sales and marketing: Assisting with product recommendations, booking demos, and capturing leads.
- HR and internal support: Helping employees navigate benefits, IT support tickets, or internal policy queries.
- Healthcare: Managing appointment scheduling, patient inquiries, and reminders.
- Financial services: Supporting customers with account information, transaction guidance, and compliance-related queries.
Text agent example
A retail brand might deploy a text agent on their website to answer common product questions, suggest relevant items, and assist with checkout processes. This reduces wait times and improves the online shopping experience. More on this can be found in our chatbot blog.
Voice agent example
A bank could use a voice agent to handle high call volumes during peak hours, allowing customers to check balances, make payments, or report issues without waiting to speak with a human agent.
Business benefits of virtual agents
Implementing virtual agents offers significant advantages for organisations of all sizes. These benefits span operational efficiency, cost savings, and improved customer satisfaction.
- Reduced operational costs: Automating routine queries lowers the need for large call centre teams and reduces support costs.
- Improved customer experience: Instant, 24/7 support ensures customers receive timely responses, enhancing satisfaction and loyalty.
- Scalability: Virtual agents can handle thousands of simultaneous interactions, allowing businesses to scale support without hiring additional staff.
- Data-driven insights: AI analytics provide insights into customer behaviour, common issues, and performance, enabling better decision-making.
- Employee empowerment: Human agents are freed to focus on complex or high-value tasks that require empathy and critical thinking.
Implementing a virtual agent strategy
To maximise the benefits of virtual agents, businesses need a clear implementation strategy. This involves planning, selecting the right solution, and continuously monitoring performance. Internal resources like What is CX? can help organisations understand broader customer experience alignment.
Identify use cases
Assess which customer or employee interactions are suitable for automation. Routine, repetitive, or data-driven queries are ideal starting points.
Choose the right technology
Select virtual agents that support your preferred channels, integrate with existing systems, and provide analytics for performance tracking. Consider power virtual agents if you need more advanced capabilities.
Monitor and optimise
Continuous monitoring ensures that virtual agents are effective, accurate, and improving over time. Analyse performance data and customer feedback to refine interactions and enhance the experience.
Future trends for virtual agents
As AI technology evolves, virtual agents are expected to become even more sophisticated. UK businesses should anticipate developments such as:
- Greater context awareness, allowing agents to understand complex queries better
- Enhanced emotional intelligence, enabling more empathetic interactions
- Deeper integration with enterprise systems for personalised workflows
- Voice and text agents working together seamlessly across channels
- Smarter analytics to inform business strategy and improve customer experience
Enhance your operations with Focus Group
Focus Group helps businesses implement virtual agents that deliver measurable results. From voice agents and text agents to power virtual agents, our team works with you to design, deploy, and optimise solutions that improve customer experience, reduce operational costs, and empower employees to focus on high-value work. Learn more about our internal AI assistant solutions.
Matt Jones
CX, AI & Automation Director
Matt is responsible for driving innovation across our CX, AI, and automation solutions. Bringing deep expertise in digital customer engagement and contact centre technology, he has a strong track record of creating future-ready platforms that enable businesses to scale exceptional customer experiences. He leads the development of advanced AI solutions that power seamless, multi-channel engagement and ensures our customers are equipped to deliver experiences that truly differentiate them.
