A chatbot that answers in Icelandic: what works and what does not
When a chatbot is worth it, when it just annoys your customers, and how to build one that never says anything untrue.

In short
- A chatbot pays off when the same questions keep coming in over and over.
- Icelandic is fine on the newest systems, but you have to test it with real questions.
- The most important rule is that a bot which does not know something says so and offers a person instead.
- The knowledge base matters more than the software.
- The cost is low, usually a few thousand krónur a month for a small business.
Chatbots have a bad reputation and they earned it. The old systems were built on fixed answers and hit a dead end the moment somebody asked something nobody had written a reply for.
What has changed is that modern language models actually understand the question, and they speak decent Icelandic. The problem is no longer comprehension, it is discipline: making sure the machine only says things that are true.
When a chatbot pays off
- You get the same ten questions every day: opening hours, prices, delivery, whether you serve a particular area.
- Enquiries come in outside working hours and people want an answer straight away.
- Your service is complicated enough that people do not know what to ask for.
- You want to know what people are really asking about, and the conversations show you that in black and white.
When it does not
- You get few enquiries and answer all of them yourself in a few minutes.
- The subject is sensitive or personal, for instance healthcare or legal work.
- You have no clear information to build on. A bot without facts is just a new problem.
The rules that make the difference
- The bot may only answer from facts you have given it. No general knowledge, no guessing.
- If the answer is not there it should say so and offer to connect the person to a human. This is the single most important rule.
- Never invent prices, dates or promises. A wrong date in a chat is real damage.
- A human should always be within reach, one click away.
- Read the conversations weekly for the first few months. That is where you see what is missing from the knowledge base.
The Icelandic
The newest language models write decent Icelandic. They still do two things you have to correct in the instructions: they get too formal, and they translate English rhythm straight across. In practice this is solved by writing clear instructions about tone and giving examples of answers phrased the way you would phrase them yourself.
Test with real, informal questions too. People do not write full sentences in a chat window, they write "how much" and "open sat?".
What it costs
Setting one up for a small business is usually half a day to a day of work, and running it costs a few thousand krónur a month at normal traffic. The biggest job is not the technology, it is gathering the right answers into one place.
The chatbot on this site is an example of that. It knows our services, our prices and every article we have written, and if you ask it about something outside that information it tells you so and offers to put you in touch.
Frequently asked questions
Can a bot take orders?
Yes, but start with answers. Once you can see the conversations you will know which actions are worth automating.
What about privacy?
Do not let the bot store sensitive information, and say clearly that the chat is saved if it is. For ordinary sales questions this is simple.
Can it speak English too?
Yes, and it is easy. Same knowledge, two languages, and the bot switches automatically depending on the language it is asked in.
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ReadAbout the author
Kristján Gilbert is co-founder of galdrasmiðjan. He builds websites and online stores for Icelandic companies and writes here about what actually works: speed, search, visibility in AI answers and automation.
Questions about this article go to hallo@galdrasmidjan.is.
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