CHATBOT ADOPTION IN BANKING: ENHANCING CUSTOMER EXPERIENCE AND SATISFACTION IN INDONESIA – JAKARTA URBAN AREA

The widespread adoption of chatbots in the banking industry has transformed customer service delivery. The widespread adoption of chatbots in the banking industry has transformed customer service delivery. However, there is limited research on the impact of chatbots on customer experience and satisfaction, particularly in emerging markets. This study aims to fill this gap by investigating how the adoption of chatbots in the Indonesian banking sector influences online customer experience and satisfaction, with a focus on usability and security features. The research employed a quantitative design, using a structured questionnaire to collect data from 360 banking customers in the Jakarta area who have experience using chatbot services. Structural Equation Modeling (SEM) was used to analyze the relationships between chatbot adoption, online customer experience, and customer satisfaction. The findings revealed that the adoption of chatbots significantly influences online customer experience, which plays a crucial mediating role between chatbot adoption and customer satisfaction. This highlights the importance of enhancing online customer experience to improve customer satisfaction through chatbot implementation. Correspondingly, the study contributes to the existing literature by addressing a notable gap in understanding the security aspects of chatbot adoption. It provides a comprehensive framework that integrates security considerations with usability features. This offers valuable insights for banks implementing chatbot technologies while ensuring customer trust and data protection.