Chatbots May Be Better When It Comes to Giving Consumers Bad News

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Chatbots May Be Better When It Comes to Giving Consumers Bad News
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Researchers found that consumers respond better to a human if a deal is good and to a chatbot if a deal is bad

As companies increasingly use AI-powered chatbots to handle customer transactions, it remains to be seen how consumers feel about it. New research suggests that it may partly depend on whether consumers think they are getting a good deal.

, published by the Journal of Marketing in February, found that if a company is offering a less-than-ideal price on a product or service, consumers tend to respond better in terms of increased purchase likelihood and satisfaction if an artificial-intelligence agent makes the offer. But if the price being offered is perceived as being good, consumers will respond better if the offer is presented by a human rather than a robot, because shoppers like getting favorable deals from real people.

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