Artificial Intelligence (AI), Internet of Things (IoT), and Blockchain-Powered Chatbots for Improved Customer Satisfaction, Experience, and Loyalty

¹ Department of Architecture, Vivekanand Education Society’s College of Architecture (VESCOA), Mumbai, India 

² Department of Electronics and Telecommunications, Pillai HOC College of Engineering and Technology (PHCET), Panvel, India
* Corresponding author. Email: nitinrane33@gmail.com (N.L.R.)
Manuscript received July 5, 2024; accepted August 13, 2024; published February 18, 2025

Abstract—Artificial Intelligence (AI), Internet of Things (IoT), and blockchain-powered chatbots are revolutionizing customer service, significantly enhancing customer satisfaction, experience, and loyalty. This research paper investigates the development and implementation of AI chatbots, emphasizing their capability to facilitate personalized and efficient customer interactions. Utilizing Natural Language Processing (NLP) and Machine Learning (ML), these chatbots can comprehend and address customer inquiries in real-time, providing smooth support akin to human conversations. The paper highlights current trends, such as the use of sentiment analysis to understand customer emotions and customize responses accordingly, creating a more interactive and empathetic experience. Additionally, the deployment of predictive analytics allows chatbots to foresee customer needs and offer proactive solutions, thereby minimizing response times and boosting overall satisfaction. Moreover, the study examines how AI chatbots enhance customer loyalty by delivering consistent, round-the-clock support, making customers feel appreciated and heard. Through various industry studies, the research demonstrates the positive effects of AI chatbots on customer retention and brand reputation. The study suggests that ongoing innovation and the integration of sophisticated AI features will continue to improve the efficiency of chatbots in the customer service sector.

Keywords—artificial intelligence, chatbots, customer-service, natural language processing, customer satisfaction, customer loyalty, internet of things, blockchain

Cite: Nitin Liladhar Rane, Saurabh P. Choudhary, and Jayesh Rane "Artificial Intelligence (AI), Internet of Things (IoT), and Blockchain-Powered Chatbots for Improved Customer Satisfaction, Experience, and Loyalty," International Journal of Blockchain Technologies and Applications vol. 3, no. 1, pp. 7-23, 2025.

Copyright © 2025 by the authors. This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited (CC BY 4.0).