Navigating the Customer Experience Landscape: Unraveling the Dynamics of AI-driven Chatbot Services for FMCG Retailers

This paper evaluates the impact of AI-based chatbot services on fast-moving consumer goods (FMCG) retail sector's customer satisfaction. The data of 615 respondents were collected from FMCG customers in organized retail shops in and around Albaha region of Saudi Arabia. The study acquired data from consumers who used chatbot services for the purchase of FMCG products. Seven hypotheses were formulated and tested to explain the relationships between these variables. It was found that responsiveness is related to customer satisfaction and affects the conversational tone. Further, the adopted conversational tone also influenced customer satisfaction, and the customers were able to process it better. Privacy concerns have an important role in how customers communicate online. This study contributes to the choice of FMCG retailers as far as customizing the chatbot services to ensure that their conversational tone is responsive and mindful of privacy matters in an attempt to increase satisfaction. Further, this study can be generalized in other geographic regions with similar setup in order to understand the consumer behavior. Received: 1 July 2024 | Revised: 22 August 2024 | Accepted: 31 August 2024 Conflicts of Interest The authors declare that they have no conflicts of interest to this work. Data Availability Statement The data that support this work are available upon reasonable request to the corresponding author. Author Contribution Statement Adil Zia: Conceptualization, Methodology, Software, Validation, Formal analysis, Investigation, Data curation, Writing - original draft, Writing - review & editing, Visualization, Supervision. Abdulaziz Alotaibi: Conceptualization, Formal analysis, Investigation, Data curation, Writing - original draft, Writing - review & editing, Visualization.