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Retailers are responsible for what their chatbots tell you

Retailers are responsible for what their chatbots tell you

By Tim Biggs
Publication Date: 2026-03-07 19:00:00

Retailers relying on generative chatbots for customer service could be in breach of consumer law, as lawyers and regulators warn that companies are responsible for the information their AI provides to customers.

Many Australian retailers still rely on simple chatbots that route users through a flowchart of answers for support, order status and organizing returns. But some, including Woolworths, Kmart and Bunnings, are starting to use generative chatbots that can behave in more charismatic and creative ways. Retailers are installing guardrails to keep bots informed and protected. However, due to the nature of the technology, this is not always guaranteed.

Retailers considering generative AI for their online support must balance convenience with the technology’s notorious drawbacks.

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