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Chatbots

Research indicates online retailers can use chatbots to manipulate ratings

When consumers use chatbots to submit online reviews they tend to give higher ratings but provide less detailed feedback, according to new research from Rotterdam School of Management, Erasmus University (RSM).

Researchers Dr Dimitrios Tsekouras, Dominik Gutt (RSM) and Dr Irina Heimbach from WHU – Otto Beisheim School of Management, found that low-quality sellers could abuse chatbots to boost their ratings and disguise the low quality of their products.

This study highlights potential risks for online retail platforms like Amazon. Dr. Dimitrios Tsekouras, a lead researcher at RSM, said: “While online reviews are crucial for informed consumer decisions, reliance on chatbots may lead to misleading ratings that do not accurately reflect product quality The research indicates that chatbot interactions, especially those with humanlike characteristics, enhance user enjoyment but compromise the depth of reviews.”

It turns out that the way companies collect reviews, and in particular the humanlike characteristics of the chatbots that collect the reviews, have an effect on what consumers say. The findings call for policymakers to consider regulations regarding chatbot usage for review solicitation to ensure transparency and maintain the integrity of online marketplaces.

The researchers conducted a series of online experiments and a field experiment. In the online experiments, participants watched a short movie for which they later provided an online review, either through a chatbot with moderate or highly humanlike characteristics, or through a conventional review form. In the field experiment, they collected course evaluations for a university class either through a chatbot or through a conventional form.

Their research, The robo bias in conversational reviews: How the solicitation medium anthropomorphism affects product rating valence and review helpfulness has been published in the Journal of the Academy of MarketingScience.

Chatbots and VR to take over brand interactions by 2020…

Research by Oracle suggests the relationship between customers and brands is set to undergo a “technological revolution” which will cause the number of human-to-human interactions to fall.

A total of 800 senior marketing and sales professionals across EMEA were polled for the ‘Can Virtual Experiences Replace Reality?’ report and found 78 per cent of brands expect to provide customer experiences through virtual reality in the next four years. Meanwhile, 80 per cent expect to serve customers through chatbots. 

Despite brands willing to embrace new technologies for the customer journey, many are struggling to make use of the valuable customer and prospect data, with 60 per cent not currently including social or CRM data in their customer analytics.

42 per cent already collect a great deal of data from multiple sources, but are unable to extract customer insights from it; and 41 per cent agree smarter analysis of customer data will have the biggest impact on the experience they deliver to their customers.

Daryn Mason, senior director, CX Applications at Oracle said: “While virtual reality may be seen as a passing craze by some, the commitment of some of the world’s biggest companies to develop VR products for consumers suggests otherwise.  Brands will always look to experiment with new technologies as they try to find ways of delivering innovative and memorable experiences for their customers.

“Brands are at a crossroads. There’s an early-mover advantage to experimenting and launching innovative services while others wait and see, but they need to walk before they can run.”

The report indicates brands are looking to implement innovative technologies that allow their customers to continue interacting with brands on their own terms. 80 per cent of brands will be using chatbots for customer interactions by 2020; 78 per cent of brands expect to be using VR for CX by the same year; and 48 per cent have implemented automation technologies in sales, marketing and customer service.

Mason adds: “The reality is that many brands are still unable to get a complete view of each individual customer so the immediate priority needs to be to organise and get value from the data they already have.  Customers will value a quick, helpful, personalised interaction regardless of how it’s delivered so there’s hope for us humans yet.”

Access the full report here