Exploring the Transformative Impact of AI Chatbots on Customer Service: Efficiency, Engagement, and Conversions Across Industries

Authors

  • hind khallabi Scientific Events Gate- Malaysia Author

DOI:

https://doi.org/10.61856/hfn80e17

Keywords:

AI chatbots , Customer service , Operational efficiency , User engagement, Natural language processing

Abstract

AI chatbots are transforming customer service by enhancing efficiency, personalization, and accessibility across various industries. This study examined the effectiveness of AI chatbot solutions within three sectors: government services, higher education, e-commerce platforms. Notable benefits included faster response times, which increased trust in government services; substantial cost savings of 70% paired with improved multilingual support for educational institutions; and a 40% increase in customer engagement resulting in a 25% rise in conversion rates within the e-commerce sector. The findings of this research underscore the significant role of AI chatbots in enhancing operational efficiency, user satisfaction, and service quality across various industries, ultimately driving higher conversion rates. These advancements highlight the growing necessity for businesses to adopt AI-driven tools to remain competitive and meet evolving user expectations

References

Mordor Intelligence. (n.d.). Global chatbot market - Growth, trends, (2023 - 2029). Retrieved November 20, 2024, from https://www.mordorintelligence.com/industry-reports/global-chatbot-market

Lubbe, I., & Ngoma, N. (2021). Useful chatbot experience provides technological satisfaction: An emerging market perspective. SA Journal of Information Management, 23(1), Article 1299. https://doi.org/10.4102/SAJIM.V23I1.1299

Enholm, I. M., Papagiannidis, E., Mikalef, P., & Krogstie, J. (2021). Artificial intelligence and business value: A literature review. *Information Systems Frontiers, 24(6), 1709–1734. https://doi.org/10.1007/s10796-021-10186-w

Adam, M., Wessel, M., & Benlian, A. (2020). Enhancing User Compliance in AI-Based Customer Service Chatbots through Anthropomorphic Design and Persuasion Techniques. Electronic Markets, 30(2), 235-256. https://doi.org/10.1007/s12525-020-00414-7

Lopez, V. B., Pablo, L. K. F., Miravite, C. J. L., Aguidan, A. K., Alaraña, K. F., & Caracena, N. F. D. (2024). AI chatbots: Elevating customer interactions amidst challenges. International Journal of Latest Technology in Engineering, Management & Applied Science (IJLTEMAS), 13(5), 152-156. https://doi.org/10.51583/IJLTEMAS.2024.130515

Acharya, P. V., Shetty, P., & Sequiera, P. (2024). A study on AI and chatbots in customer experience. In Proceedings of the 5th International Conference on New Age Marketing (pp. 1–10). SDM Institute for Management Development.

https://www.sdmimd.ac.in/marketingconference2024/papers/IMC2466.pdf

Abiagom, C. N., & Ijomah, T. I. (2024). Enhancing customer experience through AI-driven language processing in service interactions. Open Access Research Journal of Emerging Technologies, 7(1), Article 27. https://doi.org/10.53022/oarjet.2024.7.1.0027

Chang, D. H., Lin, M. P.-C., Hajian, S., & Wang, Q. Q. (2023). Educational design principles for using AI chatbots that support self-regulated learning in education: Goal setting, feedback, and personalization. Sustainability, 15 (12), 12921. https://doi.org/10.3390/su151712921

Mydyti, H., & Kadriu, A. (2021). The impact of chatbots in driving digital transformation. International Journal of E-Services and Mobile Applications. https://doi.org/10.4018/IJESMA.2021100106

Kulkarni, R., & Jaiswal, D. R. C. (2023). A survey on AI chatbots. International Journal for Research in Applied Science and Engineering Technology. https://doi.org/10.22214/ijraset.2023.55911

Maher, S., Bhable, S. G., Lahase, A. R., & Nimbhore, S. (2022). AI and deep learning-driven chatbots: A comprehensive analysis and application trends. Proceedings of the International Conference on Intelligent Computing and Control Systems. https://doi.org/10.1109/ICICCS53718.2022.9788276

Talarico, D. (2018). How a ‘bot’ it? Using live chat to convert leads and serve students. Recruiting & Retaining Adult Learners. https://doi.org/10.1002/nsr.30355

Dutta, S., Arivazhagan, R., Padmini, E., Uma, & Balasundaram, R. (2024). Revolutionizing electronics e-commerce: Harnessing the power of artificial intelligence in e-marketing strategies. Migration Letters, 21(S6), 207–220

Naqvi, M. H. A., Zhang, H., Naqvi, M. H., & Kun, L. (2023). Impact of service agents on customer satisfaction and loyalty: Mediating role of chatbots. Journal of Modelling in Management. https://doi.org/10.1108/jm2-01-2023-0004

De Andrade, I. M., & Tumelero, C. (2022). Increasing customer service efficiency through artificial intelligence chatbot. Revista de Gestão. https://doi.org/10.1108/rege-07-2021-0120

Ehsani, K. L., Rhythm, E. R., Mehedi, M. H. K., & Rasel, A. A. (2023). A comparative analysis of customer service chatbots: Efficiency, usability, and application.

Downloads

Published

03/15/2025

Issue

Section

المقالات

How to Cite

khallabi, hind. (2025). Exploring the Transformative Impact of AI Chatbots on Customer Service: Efficiency, Engagement, and Conversions Across Industries. International Innovations Journal of Applied Science, 2(1). https://doi.org/10.61856/hfn80e17

Similar Articles

1-10 of 19

You may also start an advanced similarity search for this article.