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FAQ on AI chatbots: How they work and their impact on marketing

AI chatbot adoption has accelerated rapidly: ChatGPT surpassed 800 million weekly active users in late 2025, up from 300 million a year earlier, per TechCrunch and CNBC. Platforms like Google Gemini, Claude, and Perplexity are competing for market share while expanding into commerce, search, and autonomous task completion. For marketers, this growth presents both opportunities and challenges.

Seventy-seven percent of consumers worldwide are comfortable with AI resolving a question or issue, per CSG, yet consumer skepticism persists. The share viewing generative AI as a negative disruptor has nearly doubled since November 2023, from 18% to 32%, per Billion Dollar Boy. This FAQ addresses what marketers need to know about AI chatbots as adoption increases in 2026.

What is an AI chatbot?

An AI chatbot is software that simulates human conversation through text or voice, using natural language processing (NLP) and machine learning to understand and respond to user queries. Unlike rule-based chatbots that follow scripted decision trees, AI chatbots analyze context, recognize intent, and generate original responses in real time.

These systems power customer service interactions, product recommendations, lead qualification, and transactional functions across websites, messaging apps, and dedicated platforms. Standalone chatbots like ChatGPT, Google Gemini, and Claude operate as general-purpose assistants, while embedded versions like Amazon's Rufus and Walmart's Sparky focus on commerce-specific tasks. The technology has evolved from simple FAQ responders to agentic systems capable of completing multi-step tasks and conversations autonomously.

How do AI chatbots differ from traditional chatbots?

Traditional chatbots operate on predetermined scripts and decision trees. They match user inputs to specific keywords and return pre-written responses. When users deviate from expected patterns, these systems fail or escalate to human agents.

AI chatbots use machine learning algorithms trained on massive datasets to understand language nuance, context, and intent. They generate responses dynamically rather than selecting from a fixed library. Three capabilities distinguish them from legacy systems:

  • Contextual understanding. AI chatbots maintain conversation history and adjust responses based on prior exchanges within a session.
  • Language flexibility. They interpret varied phrasing, slang, and incomplete sentences that would confuse rule-based systems.
  • Continuous improvement. Machine learning allows AI chatbots to refine performance based on interaction patterns and user feedback.

This flexibility explains consumer openness: 73% of US consumers accept AI interactions as long as they can escalate to a human if needed, per Five9.

What are the leading AI chatbot platforms in 2026?

The AI chatbot market has consolidated around several major platforms, each with distinct strengths:

  • ChatGPT (OpenAI) dominates consumer adoption with over 800 million weekly active users as of late 2025, up from 300 million a year earlier. GPT-5.2 was released in December 2025, with improved code writing and presentation building. GPT-5, released in August 2025, handles text, images, audio, and video with improved reasoning and agentic capabilities. OpenAI's Instant Checkout feature enables end-to-end shopping within the chat interface.
  • Google Gemini introduced Gemini 3 in late 2025, featuring enhanced reasoning capabilities and an experimental agent that handles multi-step tasks across Google apps. AI Overviews integrates Gemini into Google Search results.
  • Claude (Anthropic) released Opus 4.5 in November 2025, optimized for coding, complex workflows, and autonomous task completion. The model excels at extended reasoning and document analysis.
  • Perplexity positions itself as an "answer engine" for search, with agentic shopping capabilities that personalize recommendations based on user history.

How are AI chatbots changing search behavior?

AI chatbots are restructuring how consumers discover information and products. Rather than scanning lists of links, users receive synthesized answers that pull from multiple sources. This shift has profound implications for marketers.

Google's AI Overviews now present conversational responses atop traditional search results, reducing clicks to external sites. AI browsers like OpenAI's Atlas and Perplexity's Comet aim to own the entire discovery journey, building personalized, agentic search ecosystems that bypass traditional ad models.

For product discovery, the impact is already measurable. Twenty percent of global orders during Cyber Week 2025 were influenced by AI and agents, per Salesforce. Adobe reported a 670% YoY increase in AI traffic to US retail sites during the holiday season. EMARKETER expects AI platforms to account for 1.5% of total retail ecommerce sales in 2026, or $20.9 billion, nearly quadrupling 2025 figures.

What are the most effective chatbot marketing use cases?

Marketers deploy AI chatbots across four primary functions:

  • Lead generation and qualification. Chatbots replace traditional search functions with conversational interfaces that gather customer information and qualify prospects through targeted follow-up questions. The dialogue yields richer intent data than form submissions alone.
  • Customer service automation. AI handles routine inquiries (order status, product specifications, returns) that previously required human agents. Seventy-seven percent of consumers worldwide are comfortable with AI resolving questions or issues, per CSG, though 86% still say empathy and human connection matter more than a quick response.
  • Product discovery and commerce. Embedded chatbots like Amazon's Rufus now include "Auto Buy" features that complete purchases when products meet user-specified criteria. This agentic capability moves chatbots from recommendation engines to transaction facilitators.
  • Ad creation assistance. Google's Gemini-powered tools help advertisers generate copy and creative through conversational prompts. Meta’s Advantage+ suite includes genAI tools for ad creation and audience targeting in Instagram and Facebook campaigns. Taboola's Abby aims to help small businesses navigating digital advertising for the first time.

What are the limitations and risks of chatbot marketing?

Despite rapid adoption, AI chatbots present specific challenges that marketers must address:

  • Consumer skepticism. The share viewing generative AI as a negative disruptor has nearly doubled since November 2023, from 18% to 32%. And usage for the leading chatbot, ChatGPT, cooled slightly in 2025, per CivicScience data. US consumers who used ChatGPT over the last 30 days dropped from 52% in April to 47% in September 2025.
  • Accuracy concerns. Chatbots "hallucinate," generating plausible but false information. This risk escalates with complex queries or specialized domains where training data is limited.
  • Transparency gaps. Fifty-two percent of consumers express concern about brands posting AI-generated content without disclosure, per Sprout Social. Brands that fail to disclose AI use risk eroding trust with customers who expect transparency.
  • Retailer resistance. Some ecommerce platforms, including Shopify and Amazon, now restrict external AI agents from their ecosystems. Walmart has added guidelines preventing agents from completing checkout on users' behalf.

How should marketers measure AI chatbot impact on their business?

Measuring AI chatbot influence requires tracking both direct traffic and broader discovery effects:

  • AI-referred traffic. Monitor referrals from ChatGPT, Perplexity, and Google AI Overviews in analytics. Adobe reported a 670% increase in AI traffic to US retail sites during the 2025 holiday season, though overall volume remains modest.
  • Conversion quality. Shoppers directed to retail sites from AI platforms are 30 times more likely to make a purchase than other traffic sources, per Adobe. Track conversion rates by referral source to quantify AI's contribution to revenue.
  • Brand mention monitoring. Use tools that track when and how AI chatbots reference your brand in responses. This visibility helps identify content gaps and optimization opportunities.
  • GEO effectiveness. Measure whether content optimizations (structured data, detailed product descriptions, FAQ pages) increase brand presence in AI-generated responses over time.

How should marketers prepare for AI-driven product discovery?

Generative engine optimization (GEO) is now a strategic imperative for brands seeking visibility in AI chatbot responses:

AI search advertising.Google, Microsoft, and Perplexity are testing ads within AI search results. Amazon and Walmart are exploring sponsored prompts in their AI assistants. Experiment with these emerging formats to understand their effectiveness.

We prepared this article with the assistance of generative AI tools and stand behind its accuracy, quality, and originality.

EMARKETER forecast data was current at publication and may have changed. EMARKETER clients have access to up-to-date forecast data. To explore EMARKETER solutions, click here.

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