IDEAS home Printed from https://ideas.repec.org/a/spr/elmark/v33y2023i1d10.1007_s12525-023-00633-8.html
   My bibliography  Save this article

AI-based chatbots in conversational commerce and their effects on product and price perceptions

Author

Listed:
  • Justina Sidlauskiene

    (ISM University of Management and Economics)

  • Yannick Joye

    (ISM University of Management and Economics
    Vilnius University)

  • Vilte Auruskeviciene

    (ISM University of Management and Economics)

Abstract

The rise of AI-based chatbots has gradually changed the way consumers shop. Natural language processing (NLP) technology and artificial intelligence (AI) are likely to accelerate this trend further. However, consumers still prefer to engage with humans and resist chatbots, which are often perceived as impersonal and lacking the human touch. While the predominant tendency is to make chatbots appear more humanlike, little is known about how anthropomorphic verbal design cues in chatbots influence perceived product personalization and willingness to pay a higher product price in conversational commerce contexts. In the current work, we set out to test this through one pre-test (N = 135) and two online experiments (N = 180 and 237). We find that anthropomorphism significantly and positively affects perceived product personalization, and that this effect is moderated by situational loneliness. Moreover, the results show that the interaction between anthropomorphism and situational loneliness has an impact on the willingness to pay a higher product price. The research findings can be used for future applications of AI-driven chatbots where there is a need to provide personalized and data-driven product recommendations.

Suggested Citation

  • Justina Sidlauskiene & Yannick Joye & Vilte Auruskeviciene, 2023. "AI-based chatbots in conversational commerce and their effects on product and price perceptions," Electronic Markets, Springer;IIM University of St. Gallen, vol. 33(1), pages 1-21, December.
  • Handle: RePEc:spr:elmark:v:33:y:2023:i:1:d:10.1007_s12525-023-00633-8
    DOI: 10.1007/s12525-023-00633-8
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s12525-023-00633-8
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s12525-023-00633-8?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Meredith E. David & James A. Roberts, 2017. "Phubbed and Alone: Phone Snubbing, Social Exclusion, and Attachment to Social Media," Journal of the Association for Consumer Research, University of Chicago Press, vol. 2(2), pages 155-163.
    2. Sara Kim & Ann L. McGill, 2011. "Gaming with Mr. Slot or Gaming the Slot Machine? Power, Anthropomorphism, and Risk Perception," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 38(1), pages 94-107.
    3. Zhu, Yimin & Zhang, Jiemin & Wu, Jifei & Liu, Yingyue, 2022. "AI is better when I'm sure: The influence of certainty of needs on consumers' acceptance of AI chatbots," Journal of Business Research, Elsevier, vol. 150(C), pages 642-652.
    4. Rod Duclos & Echo Wen Wan & Yuwei Jiang, 2013. "Show Me the Honey! Effects of Social Exclusion on Financial Risk-Taking," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 40(1), pages 122-135.
    5. Velasco, Franklin & Yang, Zhiyong & Janakiraman, Narayanan, 2021. "A meta-analytic investigation of consumer response to anthropomorphic appeals: The roles of product type and uncertainty avoidance," Journal of Business Research, Elsevier, vol. 131(C), pages 735-746.
    6. Chung, Minjee & Ko, Eunju & Joung, Heerim & Kim, Sang Jin, 2020. "Chatbot e-service and customer satisfaction regarding luxury brands," Journal of Business Research, Elsevier, vol. 117(C), pages 587-595.
    7. Julia D. Hur & Minjung Koo & Wilhelm Hofmann, 2015. "When Temptations Come Alive: How Anthropomorphism Undermines Self-Control," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 42(2), pages 340-358.
    8. Bugshan, Hatem & Attar, Razaz Waheeb, 2020. "Social commerce information sharing and their impact on consumers," Technological Forecasting and Social Change, Elsevier, vol. 153(C).
    9. Kim, Junhee & Swaminathan, Srinivasan, 2021. "Time to say goodbye: The impact of anthropomorphism on selling prices of used products," Journal of Business Research, Elsevier, vol. 126(C), pages 78-87.
    10. Roy, Rajat & Naidoo, Vik, 2021. "Enhancing chatbot effectiveness: The role of anthropomorphic conversational styles and time orientation," Journal of Business Research, Elsevier, vol. 126(C), pages 23-34.
    11. Rippé, Cindy B. & Smith, Brent & Dubinsky, Alan J., 2018. "Lonely consumers and their friend the retail salesperson," Journal of Business Research, Elsevier, vol. 92(C), pages 131-141.
    12. Sheehan, Ben & Jin, Hyun Seung & Gottlieb, Udo, 2020. "Customer service chatbots: Anthropomorphism and adoption," Journal of Business Research, Elsevier, vol. 115(C), pages 14-24.
    13. Sang M. Lee & DonHee Lee, 2020. "“Untact”: a new customer service strategy in the digital age," Service Business, Springer;Pan-Pacific Business Association, vol. 14(1), pages 1-22, March.
    14. Frank May & Ashwani Monga, 2014. "When Time Has a Will of Its Own, the Powerless Don't Have the Will to Wait: Anthropomorphism of Time Can Decrease Patience," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 40(5), pages 924-942.
    15. Elodie Gentina & L. Shrum & Tina Lowrey, 2018. "Coping with Loneliness Through Materialism: Strategies Matter for Adolescent Development of Unethical Behaviors," Post-Print hal-01914749, HAL.
    16. Dennis, Charles & Alamanos, Eleftherios & Papagiannidis, Savvas & Bourlakis, Michael, 2016. "Does social exclusion influence multiple channel use? The interconnections with community, happiness, and well-being," Journal of Business Research, Elsevier, vol. 69(3), pages 1061-1070.
    17. Neeraj Arora & Xavier Dreze & Anindya Ghose & James Hess & Raghuram Iyengar & Bing Jing & Yogesh Joshi & V. Kumar & Nicholas Lurie & Scott Neslin & S. Sajeesh & Meng Su & Niladri Syam & Jacquelyn Thom, 2008. "Putting one-to-one marketing to work: Personalization, customization, and choice," Marketing Letters, Springer, vol. 19(3), pages 305-321, December.
    18. Efraim Turban & Jon Outland & David King & Jae Kyu Lee & Ting-Peng Liang & Deborrah C. Turban, 2018. "Intelligent (Smart) E-Commerce," Springer Texts in Business and Economics, in: Electronic Commerce 2018, edition 9, chapter 7, pages 249-283, Springer.
    19. Martin Adam & Michael Wessel & Alexander Benlian, 2021. "AI-based chatbots in customer service and their effects on user compliance," Electronic Markets, Springer;IIM University of St. Gallen, vol. 31(2), pages 427-445, June.
    20. Felipe Thomaz & Carolina Salge & Elena Karahanna & John Hulland, 2020. "Learning from the Dark Web: leveraging conversational agents in the era of hyper-privacy to enhance marketing," Journal of the Academy of Marketing Science, Springer, vol. 48(1), pages 43-63, January.
    21. Jing Wang & Rui (Juliet) Zhu & Baba Shiv, 2012. "The Lonely Consumer: Loner or Conformer?," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 38(6), pages 1116-1128.
    22. Stephan Diederich & Alfred Benedikt Brendel & Lutz M. Kolbe, 2020. "Designing Anthropomorphic Enterprise Conversational Agents," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 62(3), pages 193-209, June.
    23. Xueming Luo & Siliang Tong & Zheng Fang & Zhe Qu, 2019. "Frontiers: Machines vs. Humans: The Impact of Artificial Intelligence Chatbot Disclosure on Customer Purchases," Marketing Science, INFORMS, vol. 38(6), pages 937-947, November.
    24. Elodie Gentina & L. J. Shrum & Tina M. Lowrey, 2018. "Coping with Loneliness Through Materialism: Strategies Matter for Adolescent Development of Unethical Behaviors," Journal of Business Ethics, Springer, vol. 152(1), pages 103-122, September.
    25. Tokar, Travis & Jensen, Robert & Williams, Brent D., 2021. "A guide to the seen costs and unseen benefits of e-commerce," Business Horizons, Elsevier, vol. 64(3), pages 323-332.
    26. Jifeng Mu & Jonathan Z. Zhang, 2021. "Seller marketing capability, brand reputation, and consumer journeys on e-commerce platforms," Journal of the Academy of Marketing Science, Springer, vol. 49(5), pages 994-1020, September.
    27. James A. Mourey & Jenny G. Olson & Carolyn Yoon, 2017. "Products as Pals: Engaging with Anthropomorphic Products Mitigates the Effects of Social Exclusion," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 44(2), pages 414-431.
    28. Pankaj Aggarwal & Ann L. McGill, 2007. "Is That Car Smiling at Me? Schema Congruity as a Basis for Evaluating Anthropomorphized Products," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 34(4), pages 468-479, June.
    29. Rizomyliotis, Ioannis & Kastanakis, Minas N. & Giovanis, Apostolos & Konstantoulaki, Kleopatra & Kostopoulos, Ioannis, 2022. "“How mAy I help you today?” The use of AI chatbots in small family businesses and the moderating role of customer affective commitment," Journal of Business Research, Elsevier, vol. 153(C), pages 329-340.
    30. Chong, Terrence & Yu, Ting & Keeling, Debbie Isobel & de Ruyter, Ko, 2021. "AI-chatbots on the services frontline addressing the challenges and opportunities of agency," Journal of Retailing and Consumer Services, Elsevier, vol. 63(C).
    31. Park, C Whan & Milberg, Sandra & Lawson, Robert, 1991. "Evaluation of Brand Extensions: The Role of Product Feature Similarity and Brand Concept Consistency," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 18(2), pages 185-193, September.
    32. Tran, Anh D. & Pallant, Jason I. & Johnson, Lester W., 2021. "Exploring the impact of chatbots on consumer sentiment and expectations in retail," Journal of Retailing and Consumer Services, Elsevier, vol. 63(C).
    33. Ma, Liye & Sun, Baohong, 2020. "Machine learning and AI in marketing – Connecting computing power to human insights," International Journal of Research in Marketing, Elsevier, vol. 37(3), pages 481-504.
    34. Lafferty, Barbara A. & Goldsmith, Ronald E., 1999. "Corporate Credibility's Role in Consumers' Attitudes and Purchase Intentions When a High versus a Low Credibility Endorser Is Used in the Ad," Journal of Business Research, Elsevier, vol. 44(2), pages 109-116, February.
    35. Kumar, V. & Ramachandran, Divya & Kumar, Binay, 2021. "Influence of new-age technologies on marketing: A research agenda," Journal of Business Research, Elsevier, vol. 125(C), pages 864-877.
    36. Lee, Eun-Jung & Park, Jung Kun, 2009. "Online service personalization for apparel shopping," Journal of Retailing and Consumer Services, Elsevier, vol. 16(2), pages 83-91.
    37. Pankaj Aggarwal & Ann L. Mcgill, 2012. "When Brands Seem Human, Do Humans Act Like Brands? Automatic Behavioral Priming Effects of Brand Anthropomorphism," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 39(2), pages 307-323.
    38. Pantano, Eleonora & Pizzi, Gabriele, 2020. "Forecasting artificial intelligence on online customer assistance: Evidence from chatbot patents analysis," Journal of Retailing and Consumer Services, Elsevier, vol. 55(C).
    39. Campbell, Colin & Sands, Sean & Ferraro, Carla & Tsao, Hsiu-Yuan (Jody) & Mavrommatis, Alexis, 2020. "From data to action: How marketers can leverage AI," Business Horizons, Elsevier, vol. 63(2), pages 227-243.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Liu, Fu & Wei, Haiying & Zhu, Zhenzhong & Chen, Haipeng (Allan), 2022. "Warmth or competence: Brand anthropomorphism, social exclusion, and advertisement effectiveness," Journal of Retailing and Consumer Services, Elsevier, vol. 67(C).
    2. Mariani, Marcello M. & Hashemi, Novin & Wirtz, Jochen, 2023. "Artificial intelligence empowered conversational agents: A systematic literature review and research agenda," Journal of Business Research, Elsevier, vol. 161(C).
    3. Mark Anthony Camilleri & Ciro Troise, 2023. "Live support by chatbots with artificial intelligence: A future research agenda," Service Business, Springer;Pan-Pacific Business Association, vol. 17(1), pages 61-80, March.
    4. Kull, Alexander J. & Romero, Marisabel & Monahan, Lisa, 2021. "How may I help you? Driving brand engagement through the warmth of an initial chatbot message," Journal of Business Research, Elsevier, vol. 135(C), pages 840-850.
    5. Han, Nah Ray & Baek, Tae Hyun & Yoon, Sukki & Kim, Yeonshin, 2019. "Is that coffee mug smiling at me? How anthropomorphism impacts the effectiveness of desirability vs. feasibility appeals in sustainability advertising," Journal of Retailing and Consumer Services, Elsevier, vol. 51(C), pages 352-361.
    6. Golossenko, Artyom & Pillai, Kishore Gopalakrishna & Aroean, Lukman, 2020. "Seeing brands as humans: Development and validation of a brand anthropomorphism scale," International Journal of Research in Marketing, Elsevier, vol. 37(4), pages 737-755.
    7. Xie, Yi & Chen, Ke & Guo, Xiaoling, 2020. "Online anthropomorphism and consumers’ privacy concern: Moderating roles of need for interaction and social exclusion," Journal of Retailing and Consumer Services, Elsevier, vol. 55(C).
    8. Alabed, Amani & Javornik, Ana & Gregory-Smith, Diana, 2022. "AI anthropomorphism and its effect on users' self-congruence and self–AI integration: A theoretical framework and research agenda," Technological Forecasting and Social Change, Elsevier, vol. 182(C).
    9. Xueqin Wang & Yiik Diew Wong & Kum Fai Yuen, 2021. "Rise of ‘Lonely’ Consumers in the Post-COVID-19 Era: A Synthesised Review on Psychological, Commercial and Social Implications," IJERPH, MDPI, vol. 18(2), pages 1-22, January.
    10. Song, Mengmeng & Xing, Xinyu & Duan, Yucong & Cohen, Jason & Mou, Jian, 2022. "Will artificial intelligence replace human customer service? The impact of communication quality and privacy risks on adoption intention," Journal of Retailing and Consumer Services, Elsevier, vol. 66(C).
    11. Li, Meichan & Wang, Rui, 2023. "Chatbots in e-commerce: The effect of chatbot language style on customers’ continuance usage intention and attitude toward brand," Journal of Retailing and Consumer Services, Elsevier, vol. 71(C).
    12. Velasco, Franklin & Yang, Zhiyong & Janakiraman, Narayanan, 2021. "A meta-analytic investigation of consumer response to anthropomorphic appeals: The roles of product type and uncertainty avoidance," Journal of Business Research, Elsevier, vol. 131(C), pages 735-746.
    13. Ketron, Seth & Naletelich, Kelly, 2019. "Victim or beggar? Anthropomorphic messengers and the savior effect in consumer sustainability behavior," Journal of Business Research, Elsevier, vol. 96(C), pages 73-84.
    14. Baskentli, Sara & Hadi, Rhonda & Lee, Leonard, 2023. "How culture shapes consumer responses to anthropomorphic products," International Journal of Research in Marketing, Elsevier, vol. 40(3), pages 495-512.
    15. Song, Mengmeng & Zhang, Huixian & Xing, Xinyu & Duan, Yucong, 2023. "Appreciation vs. apology: Research on the influence mechanism of chatbot service recovery based on politeness theory," Journal of Retailing and Consumer Services, Elsevier, vol. 73(C).
    16. Sara Kim & Rocky Peng Chen & Ke Zhang, 2016. "Anthropomorphized Helpers Undermine Autonomy and Enjoyment in Computer Games," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 43(2), pages 282-302.
    17. Huang, Yu-Shan (Sandy) & Dootson, Paula, 2022. "Chatbots and service failure: When does it lead to customer aggression," Journal of Retailing and Consumer Services, Elsevier, vol. 68(C).
    18. Lili Wang & Maferima Touré-Tillery & Ann L. McGill, 2023. "The effect of disease anthropomorphism on compliance with health recommendations," Journal of the Academy of Marketing Science, Springer, vol. 51(2), pages 266-285, March.
    19. Karpinska-Krakowiak, Malgorzata & Eisend, Martin, 2021. "The Effects of Animistic Thinking, Animistic Cues, and Superstitions on Brand Responses on Social Media," Journal of Interactive Marketing, Elsevier, vol. 55(C), pages 104-117.
    20. Han, Jie & Wang, Desheng & Yang, Zhihao, 2023. "Acting like an interpersonal relationship: Cobrand anthropomorphism increases product evaluation and purchase intention," Journal of Business Research, Elsevier, vol. 167(C).

    More about this item

    Keywords

    AI; Anthropomorphism; Chatbots; Conversational commerce; Perceived personalization; Perceived price; Situational loneliness;
    All these keywords.

    JEL classification:

    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:elmark:v:33:y:2023:i:1:d:10.1007_s12525-023-00633-8. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.