Generative AI chatbots and Customer Engagement: Does product type matter?
(A2024-118323)

AUTHORS

Lina ANGGRAINI, IESEG School of Management; Nathalie Demoulin , IESEG SCHOOL OF MANAGEMENT, LEM-CNRS (UMR 9221); Gwarlann De Kerviler, IESEG SCHOOL OF MANAGEMENT LEM-CNRS (UMR 9221)

ABSTRACT

This study aims to investigate the impact of generative AI chatbots on customer engagement with online retailers, particularly by exploring how the effect of generative AI chatbots on perceived control varies depending on the product type. In the first study, we find a significant effect of the generative AI chatbot’s presence on increasing customer engagement with the retailer. Conversely, when the generative AI chatbot is absent, customer engagement decreases. The second study reveals that cognitive and behavioral control mediate the impact of generative AI chatbots on customer engagement. This mediation occurs because providing customers with relevant information enhances their perceived cognitive and behavioral control, ultimately influencing their level of engagement with the retailer. In the third study, we observe significant moderated mediation effects of the generative AI chatbot on customer engagement, operating through cognitive and behavioral control. This effect varies with the type of product, with stronger effects observed for experience goods than for search goods. However, in our final study, we find the reverse effect: even when purchasing search goods, respondents show higher customer engagement with the retailer when generative AI chatbots are present in cases of choice overload.