Revolutionizing customer engagement via gamified chatbots: a paradigm shift

In today’s fast-paced marketplace, companies are using AI, particularly chatbots, to enhance customer experiences and boost sales. Despite advancements, many consumers are still hesitant to use chatbots for purchases, often abandoning them after initial interactions. To address this, businesses are adding gamification elements like rewards and discounts to chatbot interactions. This research examines how gamified chatbots influence customer engagement and sales, focusing on two motivations: utilitarian (practical) and hedonic (pleasure-based). Through three empirical studies, the findings reveal that emotional engagement can decrease purchase intent for utilitarian motivations, while hedonic motivation more effectively drives purchases. Different types of gamification, such as knowledge-based and chance-based rewards, also affect buying behavior. The study highlights the importance of consumer autonomy, showing that chatbots with chance-based rewards are more effective. These insights help businesses improve engagement and sales through gamified chatbot strategies.