Abstract

ABSTRACT The use of AI chatbot applications with social media messengers aims to shape the ‘online to offline' approach to chat-based purchases. Using a sequential mixed-methods approach, we examined customer experiences with and the uses and gratifications of AI chatbots, and the influence of customers' perceptions of service quality in AI-based customer services on favourable customer experiences, brand loyalty and purchase loyalty. Twenty-five online shoppers participated in our qualitative study, which was analysed using a thematic analysis. Subsequently, our quantitative study involving 423 online shoppers employed structural equation modelling. We identified that seeking an instant response, real-time information, fast navigation and transactions and useful advice and suggestions were the uses and gratifications of AI chatbots. Furthermore, customers’ perceptions of empathy and automated responsiveness in AI chatbots were determinants of positive customer experiences with AI-based customer services. Favourable customer experiences with AI chatbots affected brand loyalty, which in turn influenced purchase loyalty.

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