Lars Witell

Journal of Service Management (JOSM) p. 20-20 Doi: https://doi.org/10.1108/josm-12-2024-0538

Purpose This article aims to investigate the management of artificial intelligence (AI) as a frontline service technology in service encounters and its associated ethical aspects. It specifically examines the phenomenon of lying by proxy, in which AI, under human direction, may distort the truth to varying degrees, from white lies to significant fabrications. Design/methodology/approach Using a conceptual approach, the study reviews existing literature on deceptive behaviors in service encounters and explores AI's dual potential as both a substitute for and complement to frontline employees. It employs illustrative mini cases to demonstrate how the proposed conceptual framework applies to real-world contexts, emphasizing AI's role in service delivery. Findings The paper introduces a framework to guide organizations in the ethical use of AI within service encounters. It emphasizes the importance of aligning AI applications with ethical standards to preserve trust and legal compliance while highlighting AI's potential to enhance customer experiences without breaching ethical limits. Research limitations/implications From a managerial perspective, the study provides guidance on the ethical deployment of AI in service encounters, offering strategies to balance enhanced customer experiences with transparency and honesty. Theoretically, it extends the understanding of service encounters by recognizing AI not merely as a passive frontline service technology but as an active participant capable of shaping service interactions through its capacity for deception. Originality/value This work contributes to the discourse on service management, ethics and customer experience by demonstrating how AI can be strategically managed to lie by proxy in a controlled and ethically responsible manner. The proposed framework and accompanying research agenda offer directions for future studies on integrating AI as a frontline service technology, ensuring that AI strengthens rather than undermines customer and societal trust in business.

Journal of the Academy of Marketing Science

This research demonstrates the impact of unconditional business-to-consumer (B2C) gifts. It contributes to the literature by examining how an unconditional gift at the beginning of a shopping experience can influence both loyalty and transactional spending. The findings show that an unconditional gift creates feelings of gratitude, driving loyalty and transactional spending. At the same time, receiving such a gift can lead to a sense of obligation, prompting increased transactional spending to alleviate this feeling. To address the identified gaps in research on B2C gift giving and provide managers a clear path to successfully launch an unconditional gift-giving program, we conduct two firm-partnered field experiments, tracking the behaviors of customers after receipt of an unconditional gift. We then conduct five experimental studies to validate the theoretical process and examine three managerially relevant contingencies: value of the gift, new versus existing customers, and a promotional reward versus an unconditional gift. We find that even unconditional gifts with little monetary value provide benefits for a firm and the effects are robust across new and existing customers. Furthermore, we find that unconditional gifts create greater feelings of obligation than promotional rewards. Managers can use our findings to design unconditional gift-giving programs regarding when, what, and how unconditional gifts should be given to have the largest impact on customers.