Can AI chatbots help retain customers? An integrative perspective using affordance theory and service-domain logic

Abstract

Chatbots' role in service contexts is changing to ensure better connectedness with customers in the digital marketing era. Thus, developing an understanding of how to enhance user perceptions and behaviors through interface design has become crucial. Using affordance theory and service-dominant logic as theoretical lenses, this study examines how chatbot affordances affect consumers' continuance intention through value-in-use. Data collected from 405 chatbot users of selected banks were analyzed using structural equation modeling. The results reveal that chatbot affordances positively influence personalization and experience. Furthermore, personalization influences switching costs and psychological ownership, whereas experience affects psychological ownership. Moreover, switching costs affect continuance intention through inattentiveness to alternatives. Finally, psychological ownership influences customer citizenship behavior, which impacts continuance intention.