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Voice-based interfaces provide new opportunities for firms to interact with consumers along the customer journey. The current work demonstrates across four studies that voice-based (as opposed to text-based) interfaces promote more flow-like user experiences, resulting in more positively-valenced service experiences, and ultimately more favorable behavioral firm outcomes (i.e., contract renewal, conversion rates, and consumer sentiment). Moreover, we also provide evidence for two important boundary conditions that reduce such flow-like user experiences in voice-based interfaces (i.e., semantic disfluency and the amount of conversational turns). The findings of this research highlight how fundamental theories of human communication can be harnessed to create more experiential service experiences with positive downstream consequences for consumers and firms. These findings have important practical implications for firms that aim at leveraging the potential of voice-based interfaces to improve consumers' service experiences and the theory-driven 'conversational design' of voice-based interfaces., Author(s): Naim Zierau [sup.1] , Christian Hildebrand [sup.2] , Anouk Bergner [sup.2] , Francesc Busquet [sup.2] , Anuschka Schmitt [sup.1] , Jan Marco Leimeister [sup.1] [sup.3] Author Affiliations: (1) grid.15775.31, [...]

Many firms are beginning to replace customer service employees with bots, from humanoid service robots to digital chatbots. Using real human–bot interactions in lab and field settings, we study consumers' evaluations of bot-provided service. We find that service evaluations are more negative when the service provider is a bot versus a human—even when the provided service is identical. This effect is explained by consumers' belief that service automation is motivated by firm benefits (i.e. cutting costs) at the expense of customer benefits (such as service quality). The effect is eliminated when firms share the economic surplus derived from automation with consumers through price discounts. The effect is reversed when service bots provide unambiguously superior service to human employees—a scenario that may soon become reality. Consumers' default reactions to service bots are therefore largely negative but can be equal to or better than reactions to human service providers if firms can demonstrate how automation benefits consumers. [ABSTRACT FROM AUTHOR]

This research shows that AI-based conversational interfaces can have a profound impact on consumer–brand relationships. We develop a conceptual model of verbal embodiment in technology-mediated communication that integrates three key properties of human-to-human dialogue—(1) turn-taking (i.e. alternating contributions by the two parties), (2) turn initiation (i.e. the act of initiating the next turn in a sequence), and (3) grounding between turns (i.e. acknowledging the other party's contribution by restating or rephrasing it). These fundamental conversational properties systematically shape consumers' perception of an AI-based conversational interface, their perception of the brand that the interface represents, and their behavior in connection with that brand. Converging evidence from four studies shows that these dialogue properties enhance the perceived humanness of the interface, which in turn promotes more intimate consumer–brand relationships and more favorable behavioral brand outcomes (greater recommendation acceptance, willingness to pay a price premium, brand advocacy, and brand loyalty). Moreover, we show that these effects are reduced in contexts requiring less mutual understanding between the consumer and the brand. This research highlights how fundamental principles of human-to-human communication can be harnessed to design more intimate consumer–brand interactions in an increasingly AI-driven marketplace. [ABSTRACT FROM AUTHOR]

Artificial intelligence (AI) and related technologies are transforming many consumption activities, powering breakthroughs that expand the human experience by enhancing human capabilities, performance, and creativity. While this explains the consumer enthusiasm and rapid adoption of these technologies, AI systems can also have the opposite effect: reducing and constraining the range of experiences that are available to consumers. This article examines the mechanisms through which AI can constrain the human experience, considering individual, interpersonal, and societal processes. Our analysis uncovers a complex interplay between the advantages of AI and its inadvertent negative repercussions, which potentially restrict human autonomy, self-identity, relational dynamics, and social behavior. In this article, we propose three different mechanisms at the core of these constraining forces: parametric reductionism, agency transference, and regulated expression. Our exploration of these mechanisms highlights the risks connected to system design and points to questions and implications for future researchers and policymakers. [ABSTRACT FROM AUTHOR]

The current research demonstrates how conversational robo advisors as opposed to static, non-conversational robo advisors alter perceptions of trust, the evaluation of a financial services firm, and consumer financial decision making. We develop and empirically test a novel conceptualization of conversational robo advisors building on prior work in human-to-human communication and interpersonal psychology, showing that conversational robo advisors cause greater levels of affective trust compared to non-conversational robo advisors and evoke a more benevolent evaluation of a financial services firm. We demonstrate that this increase in affective trust not only affects firm perception (in terms of benevolence attributions or a more positively-valenced onboarding experience), but has important implications for investor behavior, such as greater recommendation acceptance and an increase in asset allocation toward conversational robo advisors. These findings have important implications for research on trust formation between humans and machines, the effective design of conversational robo advisors, and public policy in the digital economy., Author(s): Christian Hildebrand [sup.1] , Anouk Bergner [sup.1] Author Affiliations: (1) grid.15775.31, 0000 0001 2156 6618, University of St. Gallen, TechX Lab HSG, Institute of Marketing, , Dufourstrasse 40a, CH-9000, [...]

Abstract Consumers' use of social media websites can serve fundamentally different motives, from merely sharing entertaining content, filling up spare time, to observing what friends are doing on social media. [...]