With in the framework of customer experience, chatbots have proven to be a useful technology, presenting businesses with unique opportunities for customer engagement and delivering personalized services. However, despite their growing prevalence, understanding chatbots’ impact on customer interactions and overall customer experience warrants thorough investigation. This study conducts a systematic review of the academic literature on chatbots and customer experience to fill this gap by examining 55 academic articles published in the Scopus database to assess the role of chatbots in improving interactions between customers and businesses across diverse industries and settings. The study found that chatbots significantly enhance efficiency by promptly addressing customer inquiries and offering personalized recommendations, ultimately leading to a better customer experience. However, privacy concerns, data security, and AI algorithm biases pose challenges that require ethical implementation and ongoing advancements in chatbot technology. Emerging technologies such as voice recognition, sentiment analysis, and AI-driven suggestions promise to further enhance chatbot capabilities and reshape customer experience. The implications of this study extend to potential future research directions and applications, emphasizing the importance of developing chatbot technology while addressing ethical considerations and aligning them with customer requirements. By embracing the insights from this review, companies can seize new opportunities to provide exceptional customer experience and thrive in competitive and ever-changing market environments.