Fear not, here is the bot: An experimental study of how consumers rate satisfaction and performance in service encounters with chatbots and employees

Abstract: Artificial intelligence is entering e-commerce customer service in force. Chatbots, conversational agents employed to address consumers' needs and questions, are steadily replacing employees, a development claimed to increase the quality of service. This quantitative study examines the levels of customer satisfaction, and perceived employee performance, consumers experience after having interacted with either a chatbot, or a human service employee. The purpose is to provide some further insight into when, and for what demographic groups of customers, it is appropriate to employ chatbots rather than humans in an e-commerce chat service setting. The results suggest that in this specific case, there are no differences in customer satisfaction nor perceived employee performance, and thus no human bias for or against chatbots. Based on these results a suggestion directed at e-commerce actors is to continue investing in and employing chatbots, to focus on outcome rather than how that outcome is delivered. Replacing employees can provide substantial cost saving opportunities, and perhaps increase service quality.