The use of AI chatbots in frontline customer service is beneficial as it can provide quick service responses, cost-saving on human employees and accelerate customers’ decision-making process. However, implementing chatbots can be a double-edged sword. On the one hand, companies benefit from the use of chatbots. On the other hand, it may hurt customer experience as customers perceive chatbots are less trustworthy and show less social presence. Service failures today have become more unpredictable with the increasing complexity of social environments. Aligning with the trends of online customer service, customers are most likely to encounter a chatbot when seeking online customer service to solve service failures. With most of the previous literature investigating customers’ perceptions of chatbots and chatbot-related service failures, little research has focused on the area where chatbots as service recovery agents and how customers perceive the use of chatbots handling their service requests after service failures.

• Kaiwen Xue(Queensland University of Technology, Australia)
• Sven Tuzovic(Queensland University of Technology, Australia)
• Udo Gottlieb(Queensland University of Technology, Australia)
• Rory Mulcahy(University of Sunshine Coast, Australia)