International Journal of Scientific Research and Engineering Development

AI-powered chatbots are rapidly emerging as frontline service agents across retail and consumer sectors. They are capable of resolving more than 80% of routine queries and providing uninterrupted 24/7 support, assisting customers throughout their journey. This study examines how AI tools—especially chatbots and virtual assistants—are transforming customer experience within modern marketing. It explores how these technologies automate service interactions, deliver personalized recommendations, and enhance customer satisfaction. The review highlights industry applications, implementation practices, and the future potential of AI in creating seamless and engaging customer experiences. Overall, AI-powered chatbots significantly enhance customer engagement and marketing effectiveness, and continued advancements in AI are expected to expand their capabilities further.