Exploring the relationship between AI service quality dimensions and consumers’ perceived competence: a study in the online retail industry

Abstract

This study examines how artificial intelligence (AI) service quality dimensions influence consumers’ perceived competence in the online retail sector. Based on an online survey of 411 consumers in Hue City, and using multivariate regression analysis, the study found that all four dimensions of AI service quality, including technical security, technical reliability, perceived personalization, and hyperconnectivity, significantly and positively affect perceived competence. Perceived personalization emerged as the strongest predictor (beta = 0.357), indicating that highly tailored experiences primarily drive consumers’ evaluations of AI intelligence. Technical reliability (beta = 0.299), hyperconnectivity service capability (beta = 0.278), and technical security (beta = 0.257) also demonstrated substantial positive impacts. These findings highlight the crucial role of AI’s functional and personalized attributes in shaping consumer perceptions of its capability. The study offers theoretical insights by exploring how AI service quality affects perceived competence in an emerging market and provides practical implications for retailers aiming to enhance AI adoption and consumer engagement in the online retail industry.