Factors Affecting Consumers Adoption of AI-Based C

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American Journal of Industrial and Business Management, 2023, 13, 195-214

https://www.scirp.org/journal/ajibm
ISSN Online: 2164-5175
ISSN Print: 2164-5167

Factors Affecting Consumers Adoption of


AI-Based Chatbots: The Role of
Anthropomorphism

Hassan Alboqami

Marketing Department, Faculty of Business Administration, University of Tabuk, Tabuk, Saudi Arabia

How to cite this paper: Alboqami, H. Abstract


(2023). Factors Affecting Consumers Adop-
tion of AI-Based Chatbots: The Role of Previous studies paid more attention to factors affecting consumers inten-
Anthropomorphism. American Journal of tions and behaviors to adopt IT in the retail industry; however, little attention
Industrial and Business Management, 13,
has been paid to factors affecting consumer intentions to adopt chatbots in
195-214.
https://doi.org/10.4236/ajibm.2023.134014 the retails industry. This study utilizes technology acceptance models to ex-
plore these factors. Quantitative approach method using online survey was
Received: March 14, 2023 adopted to collect data from consumers in Saudi Arabia retail industry. We
Accepted: April 17, 2023
Published: April 20, 2023
collected data from 903 consumers and analyzed it using structural equation
modeling technique. The findings indicated that perceived intelligence, per-
Copyright © 2023 by author(s) and ceived ease of use, and perceived usefulness have a significant positive influ-
Scientific Research Publishing Inc.
ence on consumers intentions to adopt chatbots. It also indicated that tech-
This work is licensed under the Creative
Commons Attribution International nological anxiety has a negative influence on intentions. Our study indicated
License (CC BY 4.0). that anthropomorphism plays a moderating role on these relationships. Our
http://creativecommons.org/licenses/by/4.0/ study offers meaningful implications for retailers and marketer to develop
Open Access
their marketing plan and strategy.

Keywords
Chatbots Adoption, Technological Anxiety, Perceived Intelligence, Perceived
Ease of Use, Anthropomorphism, Saudi Arabia

1. Introduction
Conversational chatbots are software applications that employ natural language
processing to simulate human conversations (Pillai & Sivathanu, 2020). Based on
their research, Sheehan et al. (2020) view chatbots as automated advice givers
that can help people make decisions. Voice-activated digital assistants (such as
Siri, Cortana, Alexa, and Google Home) and text-based systems integrated into

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H. Alboqami

messaging apps make up the chatbot ecosystem. Melián-González et al. (2021)


predict that by 2024, one-quarter of all customer support operations would in-
clude chatbot technology, and that by 2024, the average individual will have
more chats per day with a chatbot than with their spouse (Mogaji et al., 2021).
Chatbots can be thought of as a self-service technology (SST) when they provide
client support without the need for a human service person (Jang et al., 2021).
Intelligent backend systems support chatbot interactions, streamlining the
process for end users (Agag, 2019; Wang et al., 2022). Sales, marketing, and cus-
tomer support can all benefit from the conversational system capabilities offered
by the rise of digital intelligent assistants and chatbots. Machine learning and
smart software algorithms allow for more engaging, conversational interactions
with clients (Abdelmoety et al., 2022; Aboul-Dahab et al., 2021; Jenneboer et al.,
2022). The latest generation of chatbots is powered by artificial intelligence, mak-
ing them far more advanced, powerful, and capable than their simpler predeces-
sors (Agag et al., 2022; Kasilingam, 2020). Chatbots are increasingly being em-
ployed in the hotel and tourism business for a variety of purposes, including but
not limited to customer research, customer service, customer booking, and con-
sumer recommendation and suggestion. Chatbots are useful for tourism busi-
nesses, because they enable round-the-clock customer service, increased revenue
and engagement, automatic lead capture, lower operating costs, a competitive
advantage, and significant time savings (Agag et al., 2020a; Sugumar & Chandra,
2021). Makemytrip, Expedia, Kayak, Skyscanner, and Cheapflights are just some
of the travel companies that have adopted chatbots as a consumer care tool
(Agag & El-Masry, 2016a; Malik et al., 2021). Aspect research software’s poll found
that over half of consumers are eager to replace human consumers service rep-
resentatives with AI-based chatbots (Agag & Eid, 2019; Cai et al., 2022). Prior
research explored factors affecting consumers’ attitudes and behaviours towards
IT adoption in the tourism and hopsitality industry (Agag & Colmekcioglu,
2020; Pillai et al., 2023).
Due to customers’ increasing reliance on digital channels, e-service agents have
become an indispensable part of modern businesses. There has been a shift away
from using human agents to communicate with customers and create connec-
tions in favor of e-service agents, often known as chatbots. Chatbots have vari-
ous applications in business, but the most common are in customer service and
sales (Agag & El-Masry, 2017; Kwangsawad & Jattamart, 2022). Business of all
sizes, from startups to multinationals, may benefit from having a strong cus-
tomer service and support infrastructure in place, and this is especially true for
online enterprises. A chatbot’s interactions consist of several interrelated parts
that all contribute to the overall customer experience, such as the initial greeting
and introduction of the bot’s capabilities, the provision of alternate paths for
frequently used requests, the development of natural-sounding dialogues, and
the resolution of questions and complaints (Agag et al., 2020b; Wang et al., 2023).
Despite the widespread availability of chatbots, they frequently fail to meet
customers’ expectations due of a lack of comprehension of input. According to

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H. Alboqami

Chen et al. (2021), Facebook’s Project M (a text-based virtual assistant) is esti-


mated to have failed in over 70% of encounters, necessitating human interven-
tion. A negative public opinion of chatbots may result from instances like the
media’s coverage of two children’s mental health chatbots that failed to identify
sexual assault (Alsuwaidi et al., 2022; Lee et al., 2022). It’s been proven that even
the most advanced chatbots make mistakes in their communication. Misunders-
tandings between humans and chatbots are prevalent, as evidenced by an analy-
sis of transcripts from the Loebner Prize, one of the most prestigious chatbot
competitions in the world (Alyahya et al., 2022; Rapp et al., 2021).
The following research questions (RQs) were developed to address the afore-
mentioned knowledge gap and pave the way for more substantial study.
RQ1. What factors lead to consumers using chatbots powered by artificial in-
telligence (AI)?
RQ2. What is the role of anthropomorphism on the acceptance of chatbots
powered by artificial intelligence?
A proposed model is developed to examine the predictors for the adoption of
chatbots by consumers, and it integrates “Technology acceptance model” (TAM)
along with “the contextual constructs anthropomorphism” (ANM), “perceived
intelligence” (PNT), PTR, and “technology anxiety”).

2. Literature Review and Hypotheses Development


2.1. Chatbot Adoption
Invigorated by advancements in artificial intelligence and machine learning,
chatbots are a rapidly growing industry that offers unrivalled commercial possi-
bilities. Several services have found use for chatbots, including those aimed at fa-
cilitating student-teacher interactions, tourist-visitor interactions, and online shop-
per interactions (Lin et al., 2022). A chatbot is a service agent powered by artifi-
cial intelligence (AI) that has the ability to have “natural” conversations with
customers in order to gather specific details about their needs (Gümüş & Çark,
2021). The word “bot” in “chatbot” is short for “robot”, which suggests that chat-
bots are computer programs or systems that simulate human conversation with
others.
Throughout their experience, clients can communicate with chatbots (Alyahya
et al., 2023a; Kecht et al., 2023). By utilizing learning algorithms and predictive
modelling, chatbots may instantaneously match a customer’s enquiry with ac-
cessible products that fulfil their needs (Alyahya et al., 2023b; Brachten et al.,
2021). When a customer is ready to buy, a chatbot can point them to relevant
shopping platforms or present them with relevant discount offers (Chen et al.,
2023; Selim et al., 2022). Customers can continue interacting with the chatbot
even after the purchase has been made to monitor the shipping status and re-
ceive after-sale support. As a result, chatbots can be quite helpful for small and
medium-sized enterprises (SMEs), who are particularly susceptible to losing
customers.

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H. Alboqami

Earlier chatbot marketing apps were utilized to successfully guide users


through websites and make online purchases (Chen et al., 2023; Youssef et al.,
2022). There has been a dramatic development in chatbot technology ever since.
To the point that clients may not even realize they are interacting with a chatbot
and not a real person, modern chatbots are distinguished by conversational in-
terfaces that allow them to mimic human discussions. Chatbots can conduct in-
terviews with customers and use consumers’ expertise adaptively to deliver tai-
lored solutions (Pantano & Pizzi, 2020; Shaalan et al., 2023), allowing them to
function not just as a virtual assistant but also as a virtual buddy. In addition,
chatbots have evolved to become more interactive and helpful in areas such as
reading product reviews, searching for and researching products, comparing
products, accessing stored coupons, making purchases, monitoring orders, and
getting rewards and loyalty points (Safi et al., 2020). The research summarized
here covers the last five years of published material in an effort to discover cut-
ting-edge, service-oriented additions to chatbots.

2.2. Technology Acceptance Model


The Technology Acceptance Model (TAM) explores the behavioral intention to
accept new technology and is a widely used and recognized model in the field of
technology adoption research. The user’s purpose is affected by how confident
they are in the new technology’s PEA and PUL (Davis & Venkatesh, 1996). Mul-
tiple studies have used TAM, including one on the use of social media in choos-
ing a vacation spot (Al-Qaysi et al., 2020), another on self-service hotel technol-
ogy (Unal & Uzun, 2021), yet another on Web-based self-service technology in
the hospitality industry (Chen et al., 2023), and yet another on e-tourism in Egyp-
tian travel agencies (Park & Park, 2020). Since chatbots are a relatively new in-
novation in the tourism sector, this study takes TAM into account in order to
better comprehend travelers’ motivations for adopting them in the context of
trip preparation.

2.3. Anthropomorphism
The uncanny valley notion is widely applied in the field of robotics research. The
uncanny valley theory, first proposed by Blut et al. (2021) and later developed by
Crolic et al. (2022), argues that people are more likely to like products that dis-
play anthropomorphic traits, but that this positive attitude is not always propor-
tional to the level of resemblance between the two. Consumers’ Artificial Human
Likeness (ANM) is defined as the level to which they attribute human characte-
ristics to robots and other inanimate objects (Sheehan et al., 2020). Researchers
in these articles focused on how chatbots and robots can appear human (Bala-
krishnan et al., 2022; Han, 2021). It is examined how users’ impressions of chat-
bots’ intelligence, dependability, and trustworthiness have shifted as a result of
their use in casual conversation (Adam et al., 2021). Because ANM boosts cus-
tomers’ self-assurance and sense of agency, it encourages a more favorable emo-

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H. Alboqami

tional reaction (Jin & Youn, 2021). Because of this, ANM is taken into account
in this work to evaluate the usage of chatbots in tourism planning for HRI to
find out how human-like its users find it to be.

2.4. Hypotheses Development


Because TAM is all-encompassing and commonly used to investigate the adop-
tion of technology, it is being applied to the study of chatbot adoption (Jin &
Youn, 2021; Schanke et al., 2021). More explanatory power may be found in
combining TAM with context-specific variables pertaining to HRI (Roy & Nai-
doo, 2021; Schanke et al., 2021). A schematic representation of the model we
propose to use in this research is presented in Figure 1.
An individual’s level of technological anxiety (TXN) can be defined as the de-
gree to which they worry about potential risks associated with using various
forms of technology (Fotheringham & Wiles, 2022). The Technology Acceptance
Model (TXN) is one of the factors recognized as a crucial psychological antece-
dent of technology adoption (Han, 2021). TXN’s potential demotivating effect
on task performance stems from its ability to muddle priorities (Li et al., 2021).
Individuals’ TXN has been shown to prevent them from making use of technol-
ogical resources (Blut et al., 2021), hence preventing the widespread adoption of
innovative technologies (Pillai & Sivathanu, 2020). Because of this, it has a chill-
ing effect on the spread of new technologies (Rajaobelina et al., 2021; Selamat &
Windasari, 2021). Chatbots are a relatively new technology in the retail sector,
and consumers are using them in a variety of ways to aid in their buying plan-
ning. Thus, we suggest the following hypothesis:
H1: “Technological anxiety has a negative influence on consumers Intention
to adopt AI-based chatbots”.
An experiment in which participants interpreted characteristics of a robot’s
speech, voice, and appearance as indicators of its intelligence has been described
in the literature (Rajaobelina et al., 2021). Competence, efficiency, use, and the
ability to provide effective output are all taken into account when determining a

Anthropomorphism

Technological anxiety

Perceived Intelligence
Actual behaviour to
Intention to adopt
adopt AI-based
AI-based chatbots
chatbots
Perceived ease of use

Perceived usefulness

Figure 1. Research model.

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H. Alboqami

chatbot’s or robot’s PNT (Li et al., 2021), which in turn determines how effec-
tively it solves customers’ problems with minimal input from the human side
(Kwangsawad & Jattamart, 2022). Intelligent robots are viewed as more alive in
the literature (Pillai et al., 2023), and research shows that robots that provide per-
sonalised information and interact with their users are more likely to be adopted
(Zhang et al., 2022a). One of the forerunners of the Artificial Intelligence (AIN)
used by retail service robots (Wang & Shao, 2022) and individual intelligent agents
is the field of PNT (Zhang et al., 2022b). Retail chatbots engage in two-way con-
versation with customers while offering individualized assistance with trip prep-
aration in real time. If you’re having trouble figuring out when and where to go
shopping, a chatbot can help with that, too. Thus, it is important to investigate
whether or not PNT is linked to AIN:
H2: “Perceived intelligence has a significant influence on consumers Intention
to adopt AI-based chatbots”.
How simple and uncomplicated a consumer envisions a system to be is its
perceived ease of use (PEU). As previously mentioned (Dinh & Park, 2023), prior
experiential acquisition (PEU) is a precursor to behavioral intention to utilize
technology associated with tourism. The study of app usage in tourism also in-
dicated that PEU has no bearing on AIN (Mokmin & Ibrahim, 2021). If con-
sumers believe that technology is straightforward and useful, they are more like-
ly to adopt it. Hypothesis formed as follows due to the intended simplicity of
chatbots for use in pre-purchase research and planning:
H3: “Perceived ease of use has a significant influence on consumers intention
to adopt AI-based chatbots”.
A system’s perceived usefulness (PUS) is the extent to which a consumer be-
lieves that adopting the system would improve his or her ability to do a certain
job or carry out a given task (Davis, 1989). Research on B2C airline websites
(Ragheb et al., 2022), tourism apps (Iancu & Iancu, 2022), the Lonely Planet
(Alqaidi et al., 2021), travel search engines (Ren, 2020), and self-service technol-
ogy in resort hotels (Ragheb et al., 2022) all corroborate that technology’s use-
fulness to retailers influences AIN (Ragheb et al., 2022). Chatbots and other
forms of artificial intelligence are streamlining the shopping experience and im-
proving customer service. Shoppers can get help from retail chatbots whenever
they need it. For this reason, we can formulate a hypothesis:
H4: “Perceived usefulness has a significant influence on consumers intention
to adopt AI-based chatbots”.
Anthropomorphism (ANM) refers to the tendency for humans to attribute
human traits and actions to inanimate objects like robots and chatbots (Oh et al.,
2020). When a human interacts with something that isn’t human, they tend to
look for similarities between the two (Jin, & Youn, 2022). When consumers use
chatbots for purposes like shopping trip planning, for instance, such people of-
ten equate it with real-life customer service representatives. In the literature, it is
stated that users’ perceptions of a chatbot’s credibility, intelligence, trust, and

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H. Alboqami

engagement have improved as a result of its use in casual conversation (Abd-


Alrazaq et al., 2019). Chen et al. (2023) verifies the link between ANM and the
intent to employ chatbots in daily life. According to the existing literature, com-
puters and machines can be compared to humans (Chen et al., 2023). Chatbots
designed to assist with retail research should also be evaluated on how well they
mimic real human interaction, including in terms of voice quality, conversation-
al ability, and replies. As a result, we put up the following hypothesis:
H5: “Anthropomorphism has a moderating effect on the link between tech-
nological anxiety, perceived intelligence, perceived ease of use, perceived useful-
ness, and intention to adopt AI-based chatbots”.
Intention to embrace AI-based chatbots among consumers is the subjective
probability of a given behavior (Chhikara et al., 2022). The goal of studying us-
ers’ behavioral intentions is to shed light on and predict how they will interact
with emerging technologies (Chatterjee et al., 2021). The acronym AUE stands
for “assistance from technology used to accomplish goals” (Scherer et al., 2019).
The current study on tech adoption verifies the link between AIN and customer
usage behavior (Sciarelli et al., 2022). The current literature suggests that AIN
has an impact on the AUE of retail technologies (Chatterjee et al., 2021). Cus-
tomers can now organize their shopping trips with the help of chatbots, a rela-
tively new form of technology. Even though they want to implement this chatbot
technology, there is no evidence yet that it will increase actual behavior to adopt
AI-based chatbots. Hence, we propose the following hypothesis:
H6: “Consumers intention to adopt AI-based chatbots has a significant influ-
ence on actual behavior to adopt AI-based chatbots”.

3. Research Methodology
3.1. Sampling and Data Collection
This research used a quantitative strategy, an online survey administered in Sau-
di Arabia, to test the proposed research model. In December of 2022, we used an
internet survey to compile our statistics. All consumers who have heard of chat-
bots and made purchases with them in the past year make up our study popula-
tion. We utilized an established online survey organization in Saudi Arabia that
has access to 1.7 million people. 2000 clients were randomly selected from the
company’s database and sent the link. The email invitation included the study’s
stated purpose, the primary URL link, and the estimated time required to com-
plete the survey. There were a total of 914 usable responses, 11 of which couldn’t
be used because of missing information. As a result, we were able to proceed
with our analysis thanks to the 903 usable responses we received. The majority
of the participants are male (63%), while only 47% are female. Participants be-
tween the ages of 18 and 60 were polled. Average respondent age was 39.5 years
old. The majority of respondents (43.50%) reported earning between $20,000
and $30,000 annually. Most respondents (48%) said they had completed at least
a bachelor’s degree. The survey was pilot tested with 80 consumers to increase

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H. Alboqami

clarity, readability, and decrease errors and ambiguity; their feedback was in-
corporated into the final form.

3.2. Measurements
The research variables in our study were evaluated using established scales.
Three items adapted from Pillai and Sivathanu (2020) were used to evaluate
people’s actual behavior to adopt AI-based chatbots. Three items adapted from
prior research were used to assess intent to adopt AI-based chatbots (e.g., Kau-
shik et al., 2015). The level of technological anxiety was measured with three
items taken from other studies (Evanschitzky et al., 2015). The concept of “per-
ceived intelligence” was borrowed from earlier studies (e.g., Roy et al., 2001;
Ponte et al., 2015). Measures of perceived ease of use and usefulness were bor-
rowed from earlier studies (e.g., Oh et al., 2013; Davis, 1989; Kaushik et al.,
2015). A total of three items from Pillai and Sivathanu (2020) were used to assess
anthropomorphism. A 5-point Likert scale was used to rate all of the factors. We
also included in age, gender, level of education, and income as control variables
because these factors have been shown to affect the spread of new technologies.

3.3. Common Method Bias


We are aware of the possibility of common method bias because the same in-
formation source was used for both the independent and dependent constructs.
Then, we utilized a marker variable (MV), as proposed by Lindell and Whitney
(2001). An MV is a question on the survey that, in principle, won’t have any
bearing on the results. If there is a correlation between the MV and one of the
study’s constructs, we will use it to determine the significance of our observed
correlations (Tehseen et al., 2017). As a whole, the correlations between the MV
and the main factors averaged 0.02. The numbers varied from −0.15 to 0.09. In-
significant results (p > 0.01) were found for all of them. The potential for bias
due to the study’s methodology is somewhat dampened by a number of consid-
erations. Using educated respondents and guaranteeing full anonymity are two
of these. This suggests that the typical method bias is not a serious issue in our
research.

4. Data Analysis and Results


Using PLS analysis, there are two stages to assessing a conceptual framework.
The first stage entails checking the outside measurement model. Step two entails
making a structural review (inner).

4.1. Measurement Model


Skewness, kurtosis, and Mahalanobis distance statistics (Bagozzi & Yi, 1988)
were calculated to ensure that all of the constructs met the criterion of multiva-
riate normality. They showed no abnormality whatsoever. While evaluating the
psychometric qualities of the constructs, the Cronbach’s alpha reliability coeffi-

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H. Alboqami

cient was computed (Hair et al., 2021). The results of the measuring model, in-
cluding checks for convergent validity, discriminant validity, and internal con-
sistency reliability of the indicators, are presented as the first phase in the evalu-
ation of a research model. Based on Hair et al. (2021), Cronbach’s alpha for all
measurements is greater than 0.70, as indicated in Table 1 (Hair et al., 2021). As
a result, there is a high degree of reliability across the board for all measure-
ments. According to Hair et al. (2021), PLS-SEM works better with composite
dependability. Our research shows that composite reliabilities can be anywhere
from 0.81 to 0.94, much beyond the threshold of 0.70 (Bagozzi & Yi, 1988). Last

Table 1. Measurement statistics of construct scales.

Standard Cronbach’s
Construct/Indicators SFL Mean CR AVE t-values Skewness Kurtosis
deviation α

Actual behaviour (ACT)


ACT1 0.934 2.128 1.439 14.302 −1.91 1.34
0.939 0.950 0.540
ACT2 0.949 2.039 1.320 21.230 −1.02 1.64
ACT3 0.903 3.244 1.127 29.357 −1.56 1.20

Intentions (INT)
INT1 0.942 2.128 1.310 12.309 −1.56 1.39
0.921 0.940 0.608
INT2 0.959 2.084 1.354 19.349 −1.76 1.39
INT3 0.908 2.527 1.750 31.203 −1.30 1.54
Technological anxiety (TAN)
TAN1 0.930 2.489 1.329 23.230 −1.50 1.23
TAN2 0.923 2.409 1.280 0.932 0.954 0.659 24..309 −1.65 1.56
TAN3 0.960 2.167 1.289 11.203 −169 1.67
TAN4 0.917 3.039 1.457 25.309 −1.04 1.34
Perceived intelligence (PIT)
PIT1 0.913 2.345 1.102 19.304 −1.46 1.85
PIT2 0.956 2.123 1.346 0.906 0.921 0.688 21.209 −1.59 1.35
PIT3 0.967 2.498 1.674 25.405 −1.34 1.67
0.904 2.534 1.230 11.209 −1.50 1.70
Perceived ease of us (PEU)
PEU1 0.930 2.896 1.452 12.340 −1.45 1.46
PEU2 0.923 2.450 1.129 0.920 0.943 0.604 19.456 −1.67 1.34
PEU3 0.940 2.549 1.458 21.234 −1.30 1.49
0.965 2.530 1.354 16.405 −1.45 1.56

Perceived usefulness (PUS)


PUS1 0.932 2.203 1.487 23.203 −1.43 1.59
0.932 0.954 0.598
PUS2 0.909 2.453 1.490 18.403 −1.59 1.34
PUS3 0.949 2.920 1.120 25.409 −1.12 1.56

Anthropomorphism (ANP)
ANP1 0.894 2.345 1.029 27.409 −1.20 1.04
0.926 0.948 0.610
ANP2 0.943 2.120 1.348 21.256 −1.48 1.28
ANP3 0.910 2.564 1.208 18.257 −1.06 1.29

Notes: SFL: standardized factor loading; SFL is significant at the0.001 level; AVE = Average variance extracted; CR = Composite
reliability.

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H. Alboqami

but not least, all indicator loadings are more than the 0.60 cutoff (Hair et al.,
2021). Convergent validity was determined by calculating AVE for each construct
in our proposed model, as recommended by Fornell and Larcker (1981) (see Ta-
ble 1). The results provide evidence for convergent validity because all AVEs for
the constructs are more than the threshold of 0.50. It is a two-stage process to
evaluate discriminant validity. To begin, the square root of an AVE is compared
to the correlations between all other constructs in the model using the Fornell
and Larcker criterion to determine if there is a significant difference. Table 2 dis-
plays the degree to which individual constructs are correlated with their respec-
tive sets of indicators. Second, a non-construct item’s loading on a construct
should be lower than that of the item that measures that construct.

4.2. Structural Model Assessment


There was proof of reliability and validity from the assessment of the measure-
ment model, thus the structural model was looked at to test the hypothesized
connections between the constructs in the research model (Hair et al., 2021). The
structural model provided in this work was assessed using a number of criteria,
as recommended by Hair et al. (2021). Subgroup analysis was used to examine
whether or not anthropomorphism acts as a moderator, building off of the work
of Hair et al. (2021). Using the median, we separated the groups into two catego-
ries: those with a high degree of anthropomorphism and those with a low degree
of anthropomorphism in our study (Hair et al., 2021).
The model accounts for 58% of the variation in intentions to embrace AI-
based chatbots and 51% of the variation in actual behavior. The structural equa-
tion model was used to test hypotheses (H1-H6). Acceptable global fit metrics
were found to be APC = (0.179, p < 0.001), ARS = (0.805, p < 0.001), AARS = (0.
793, p < 0.001), AVIF = (2.10), and GOF = (0.797).
All predicted associations hold, as evidenced by the findings. As a result, H1 is
supported by the statistical significance of the negative correlation between

Table 2. Discriminant validity of the correlations between constructs.

Correlations and square roots of AVE


Construct
ACT INT TAN PIT PEU ANP PUS

ACT 0.735a
INT 0.304b 0.779
TAN 0.348 0.297 0.812
PIT 0.530 0.458 0.519 0.829

PEU 0.329 0.409 0.434 0.335 0.777


PUS 0.430 0.332 0.328 0.257 0.456 0.772
ANP 0.549 0.437 0.503 0.531 0.230 0.439 0.781

Note: a: Composite reliability is along the diagonal, b: Correlation.

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H. Alboqami

technological anxiety and the intention to adopt AI-based chatbots (β = −0.23, p


< 0.001). H2 is supported by the data (β = 0.43, p < 0.001), showing that con-
sumers’ perceptions of a chatbot’s intelligence have a considerable impact on
their intentions to use such technologies. Support for H3 comes from a signifi-
cant positive correlation between perceived ease of use and intentions (β = 0.37,
p < 0.001). Support for H4 comes from the fact that perceived usefulness signifi-
cantly affects intentions (β = 0.21, p < 0.001). H5 is confirmed by the data, which
shows that intentions significantly affect actual behaviors (β = 0.59, p < 0.001).
Using the method proposed by Agag and El-Masry (2016a), we calculated t-
statistics to compare the path coefficients of the high-anthropomorphism sub-
group model to those of the low-anthropomorphism subgroup model. This al-
lows us to further evaluate the moderating function of anthropomorphism. Con-
sumers with a low level of anthropomorphism were found to be more influenced
by chatbots’ perceived intelligence, perceived ease of use, and usefulness when
deciding whether or not to embrace them. Nevertheless, H6 is backed by evi-
dence that shows technology anxiety has a greater impact on intentions for cus-
tomers with a higher level of anthropomorphism.

5. Discussion and Conclusion


5.1. Key Findings
This study investigated the factors that have led Saudi Arabian consumers to
embrace the use of chatbots for strategic retail purchasing. The chatbots for
planning purchases are user-friendly and can be used from any computer, tablet,
or smartphone. As a result of the instantaneous suggestions and real-time solu-
tions provided by chatbots, users can save time and effort while purchasing.
Consistent with previous research on the topic of consumer acceptance of new
shopping technologies (Chen et al., 2023; Pillai & Sivathanu, 2020; Tehseen et al.,
2017), this study concludes that consumers’ perceptions of chatbots’ ease of use
and usefulness have an impact on their intentions to adopt them. Chatbots are
popular with users, because they are simple to access and use. Anxiety over using
technology can make people reluctant to do so (Chen et al., 2023). Customers
are savvy when it comes to using various forms of e-commerce technology. That
won’t happen if chatbots can be set to move at a rate that’s suitable for each
unique user. Customers’ perceptions of chatbots’ level of intelligence indicate
that they believe the services delivered by these programs to be genuine and
trustworthy. Customers agree that chatbots can be trusted to deliver accurate
forecasts for their purchases.
Researchers have looked into the anthropomorphic traits of robots in a variety
of contexts (Iancu & Iancu, 2022; Ragheb et al., 2022). This research backs up
the hypothesis that anthropomorphic features of chatbots influence people’s wil-
lingness to adopt them in a retail setting. Customers use chatbots to make pur-
chases, because they believe they are real, alive, and possess human-like features.
The perceived intelligence literature explores how clever, knowledgeable, ration-

DOI: 10.4236/ajibm.2023.134014 205 American Journal of Industrial and Business Management


H. Alboqami

al, and reliable shopping chatbots are. Artificial intelligence allows chatbots to be
preprogrammed with these abilities.

5.2. Theoretical Contributions


A theoretical model is proposed for the widespread implementation of chatbots,
a potentially game-changing advancement in the retail sector. The theoretical
framework is based on previously published works (Chen et al., 2023; Oh et al.,
2020; Ren, 2020). As there is currently a dearth of studies that explore the shift in
retail performance due to the mediation of emerging technologies like AI and
robotics, this work responds to the call for further research and empirical studies
on intelligent automation in the retail sector by providing a conceptual model
for the adoption of chatbots (Agag et al., 2020c; Dinh & Park, 2023). It helps fill
in some of the blanks in the current literature on the use of chatbots in retail.
This research contributes to the body of knowledge by shedding light on how
consumers’ attitudes towards chatbots in retail might be better understood by
practitioners and academics.
Technological apprehension, perceived intelligence, perceived ease of use, and
perceived usefulness are the indicators of intentions to embrace chatbots pro-
vided by the model. The mediating influence of on consumers’ intentions to
adopt chatbots is also investigated. Anxiety about new technologies was revealed
to be an important predictor. This research builds on prior work on the anthro-
pomorphism adoption of robots to show that technological concern is a predic-
tor of chatbot adoption. This makes a theoretical contribution by providing em-
pirical support for the uncanny valley hypothesis as it pertains to chatbots. The
extent to which chatbots are perceived as intelligent influences people’s willing-
ness to use them. This study contributed significantly to the literature of the re-
tail domain by empirically testing and validating the moderation effect of anth-
ropomorphism on the relation between study variables and intentions to adopt
chatbots. This framework can be used by academics interested in the deploy-
ment of artificial intelligence (AI) chatbots and robotics in retail to analyze con-
sumer preferences and trends. In this article, we look at how anthropomorphism
affects people’s perceptions of chatbots and their willingness to use them.

5.3. Managerial Contributions


This study sheds light on the factors that influence businesses’ decisions to dep-
loy chatbots in the retail sector in Saudi Arabia, offering useful information for
practitioners and managers. This research sheds insight on the perspectives of
shoppers that might be taken into account when trying to fathom the use of
chatbots in the retail sector. Marketers and developers of retail chatbots should
make them intuitive and user-friendly, as well as practical for tasks like trip prepa-
ration and inventory control. For the sake of Hypotheses 1, 2, 3, 4, 5, and 6, it is
imperative that those working on retail chatbots ensure that their creations are
trustworthy sources of information and intelligently automate the retail sector
through the provision of timely, relevant solutions.

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H. Alboqami

Trust needs to be ensured by delivering genuine service through chatbots for


the tourism industry because perceived intelligence is a key factor in intents to
embrace chatbots (Iancu & Iancu, 2022). Developers of chatbots also need to make
sure that chatbots have anthropomorphic traits so that consumers feel that chat-
bots are real, living, and human-like. Assuring that chatbots can speak in mul-
tiple languages is a simple task for designers and developers, who can then offer
their clients a more welcoming experience. It is the responsibility of practition-
ers to guarantee that chatbots do not give users technological concern. Designers
must create chatbots that are simple to use if they want to ease clients’ fears of
new technologies.

Limitations and Directions for Future Studies


Because of its limitations, our work can serve as a springboard for further re-
search. Firstly, there was no attempt to account for cultural differences; compar-
ison research between a developed and developing country would be an impor-
tant addition to the existing body of literature. Two, this study has one major li-
mitation: all of the variables have been measured at the same instant. Hence,
longitudinal analysis will be necessary in future studies to verify the suggested
model. Third, we employed a quantitative methodology to analyze the data we
collected from the respondents. Further information on what influences people’s
decisions to embrace chatbots can be gleaned from qualitative research methods
in future studies. Last but not least, while the antecedents of consumer intents to
adopt chatbots in a retail environment explained a large portion of its variance,
there are some additional key characteristics which have not been included in
the research model, representing opportunities for further research (e.g., satis-
faction, perceived value, consumer experience of with the internet and consum-
ers shopping orientations).

Conflicts of Interest
The author declares no conflicts of interest regarding the publication of this pa-
per.

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Appendix A

Variable Items Source

I frequently use to chatbots for my shopping planning


Actual behavior to
I would like to plan my shopping through my agent always than chatbots
adopt AI-based Pillai and Sivathanu (2020)
for shopping.
chatbots
I always prefer that my human shopping planner plans my shopping.

I intend the usage of chatbots in shopping for future shopping plan


There is a possibility that I will suggest my friends to use chatbots for
Behaviour intentions Kaushik et al. (2015)
shopping planning
I use chatbots for my shopping suggestions and planning

I might somehow face a problem when I use technology such as chatbots


for shopping
I am unable to keep a pace with new technological advances
Technological anxiety Kaushik et al. (2015)
Using technology such as chatbots for shopping is makes me anxious
Technology-related words are difficult to understand
I feel difficult to understand technology-related matters

I feel that chatbots for shopping are competent


(e.g., Roy et al., 2001; Ponte et
Perceived intelligence I feel that chatbots for shoppingare knowledgeable
al., 2015).
I feel that chatbots for shopping are responsible

Chatbots for shopping requires little mental efforts.


It is easy to use chatbots for shopping for my shopping plan (e.g., Oh et al., 2013; Davis,
Perceived ease of use
My interaction with chatbots for shopping is clear and understandable 1989; Kaushik et al., 2015).
for planning my shopping

Chatbots for shopping are useful for my shopping planning


(e.g., Oh et al., 2013; Davis,
Perceived usefulness Chatbots for shopping improve the efficiency of myshopping planning
1989; Kaushik et al., 2015).
Chatbots for shopping improve my performance of shopping planning

Chatbots for shopping have their own mind


Anthropomorphism Chatbots for shopping can experience emotions Pillai and Sivathanu (2020)
I fell chatbots for shopping are computer-animated: real

DOI: 10.4236/ajibm.2023.134014 214 American Journal of Industrial and Business Management

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