IMPACT OF ARTIFICIAL INTELLIGENCE BASED CHATBOTS ON BRAND AWARENESS AND BRAND IMAGE IN PAKISTAN

Abstract

Brands employing Artificial Intelligence based chatbots to resolve the queries of customers. Chatbots being functional and empathetic help in developing brand awareness and brand image. The current research tried to examine the relationship of AI based functional and empathy chatbots with brand awareness and brand image in Pakistan. The current research employed quantitative research methodology and cross sectional data collected through online survey using questionnaires via online Google forms from students of two universities in Multan Pakistan. The sample size had been 107, and PLS-SEM based SmartPLS 4 software used for data analysis. The descriptive analysis showed substantially more males participated in survey than females. The measurement model confirmed through factor loading>0.7, VIF<3, AVE>0.5, representing discriminant validity. The cronbach’s alpha and composite reliability confirmed reliable factors involved. The structural model showed that functional and empathy AI based chatbots positively influence brand awareness and brand image. The results showed that the functional AI based chatbots more strongly and positively impact brand awareness than brand image. Similarly, the empathy AI based chatbots more strongly and positively impact on brand image than brand awareness. Finally, the current research provided an empirically tested and verified model of AI based branding through chatbots using varying functional (efficiency) and empathy (emotions) factors.