The impact of artificial intelligence recommendation on consumer behaviour in the e-commerce industr

最新推荐文章于 2024-09-14 08:25:16 发布

miraitowaty

最新推荐文章于 2024-09-14 08:25:16 发布

阅读量237

点赞数 3

文章标签： python 人工智能数据挖掘开发语言

本文链接：https://blog.csdn.net/miraitowaty/article/details/141088848

版权

Java Python [MSc Dissertation]

The impact of artificial intelligence recommendation on consumer behaviour in the e-commerce industry

CHAPTER 1

1.1 Introduction

With the rise of e-commerce as a growth model, online shopping is gradually changing traditional shopping behaviour, offering consumers unprecedented convenience and a vast array of choices at their fingertips. Over the past decade, online retail has grown exponentially, creating new opportunities for businesses and consumers alike. The rise of e-commerce platforms such as Amazon, Alibaba, eBay and Shopee has fuelled this shift, enabling seamless transactions across borders and time zones. This digital marketplace has not only expanded access to goods and services, it has also intensified competition among retailers, pushing them to innovate to attract and retain customers.

One of the key innovations in e-commerce is the implementation of recommender systems. These systems analyse user data to provide personalised product recommendations to enhance the shopping experience. Traditional recommender systems rely on collaborative filtering and content-based filtering methods to predict and recommend items that a user may like based on the user's past behaviour or the behaviour of similar users (Fu & Ma, 2021). Such systems have proven to be effective in increasing user engagement and driving sales as they make the shopping process more intuitive and tailored to individual preferences. While various e-commerce platforms are meeting the demand for diverse consumer preferences, problems such as data overload and information overload have emerged (Huang & Zhou, 2019) . Traditional e-commerce marketing recommendation systems usually use consumers' historical consumption information and browsing information on the current platform. website to further recommend personalised goods and services, while with the continuous use of technologies such as big data and artificial intelligence, consumers' consumption preference information on the websites of other platforms has also been valued by major e-commerce platforms. Based on high-tech technologies such as 'Big Data + Artificial Intelligence', e-commerce platforms are mining and analysing a large amount of user data with the aim of providing consumers with more accurate personalised goods and services (Alamdari & Navimipour, 2020). At the same time, the continuous rise and development of business models such as the sharing economy and the community economy, and economic characteristics such as 'fragmentation', 'long-tail' and 'community' have fundamentally changed the way of value creation on the Internet, and further changed the way of value creation on the Internet, and further changed the way of value creation on the Internet. The way of value creation on the Internet has also fundamentally changed the way of value creation on the Internet, further prompting e-commerce platform. enterprises to incorporate the influence of communities into personalised intelligent recommendation systems (Powell. 2013).

Compared with the traditional e-commerce marketing recommendation system, the personalised intelligent recommendation system relies on data-driven in-depth personalisation through the cross-utilisation of multi-dimensional data, enabling the e-commerce platform. to process massive user data more quickly and effectively, and has the ability of efficient in-depth learning and self-correction. E-commerce platform. enterprises achieve precision marketing through personalised intelligent recommendation system, on the one hand, it can improve the information data processing efficiency of the platform. website and consumers' willingness to buy; on the other hand, it can improve consumers' satisfaction and loyalty to the platform. website (Sharma & Lijuan, 2015). Some studies have shown that personalised intelligent recommendations can have an important impact on consumer behaviours such as perceived value and willingness to buy, such as influencing consumers' psychological distance to online shopping, consumers' perceived experiential value and willingness to buy (Yang, Tang, Men & Zheng, 2021). With the shift from traditional shopping to mobile shopping and the development of marketing thinking such as "human-centred" and "user-first", consumers can shop anytime and anywhere through e-commerce platforms, which strengthens their online impulse purchase intention, and the influence of personalised intelligent recommendations is crucial. The influence of personalised smart recommendations is crucial. Factors affecting consumers' online purchasing are multiple, including the need for accurate and detailed product information, the strength of prices and discounts, and the user experience of the website, among which the strongest influence is accurate product information, which is a key factor influencing consumers to make purchases (Islam & Daud, 2011). Although studies have shown that personalised recommendations have an impact on consumers' purchase intentions, these studies have mainly focused on the impact of personalised recommendation systems on consumers' information adoption intentions and purchase behaviours under traditional marketing, and these studies lacked a consumer behavioural perspective, and they did not explore the process by which personalised intelligent recommendations affect consumers' online purchase intentions in an integrated manner.

This paper will cover the functions of personalised intelligent recommendation systems such as information presentation, system interaction and community influence and their impact on consumers' online impulse purchase intentions. In response to the above research, this paper will conduct an in-depth study using Stakeholder Theory, Decision Theory and Technology Acceptance Model Theory, specifically including the impact of personalised intelligent recommendations on consumers' willingness to make online purchases, the ways in which these recommendations affect their purchasing decisions and the overall shopping experience and the differences in the consumers' sense of experience and satisfaction in the process,. The relevant conclusions have implications for e-commerce platform. companies to improve the level of personalised intelligent recommendations, the management of consumer delight experience and the management of word-of-mouth effects on e-commerce platforms.

Overall, the rise of AI offers the possibility of driving quality online shopping scenarios. In this study, factors such as the accuracy of AI recommendations are used as independent variables, and consumer behaviour is the dependent variable. Analysed from the perspective of consumers, it observes the impact of AI recommendation on consumers' online shopping intention in different situations.

1.2 Problem Statement

The integration of Artificial Intelligence (AI) recommendation systems in the e-commerce industry has somewhat changed the way consumers interact with online platforms. This is especially true through AI-powered recommendation systems. Despite the increasing use of AI recommendations, there are still key issues that need to be addressed, and these key issues include a lack of understanding in current research of how AI recommender systems affect consumer behaviour in e-commerce, particularly in terms of trust, satisfaction and willingness to use. Despite the widespread adoption of AI recommender systems, there is a lack of in-depth research on the psychological and behavioural impact of these systems on consumers, including information presentation, system interactions, and community impact. This gap hinders the potential of AI recommender systems, so it is essential to understand how these AI recommendations affect consumers from their perspective. A full understanding of this process through research can better optimise their impact on consumer behaviour. This study aims to investigate these key issues and provide actionable insights for e-commerce platforms.

Although several studies have explored the impact of personalised recommender systems on consumer decision-making, these studies often lack a comprehensive analysis of consumer trust, satisfaction and willingness to use.Nguyen (2021) points out that most of the existing research focuses on the technical implementations of recommender systems, and there is less research on the consumer interaction experience . Ideally, consumers would have a high level of trust and acceptance of AI recommender systems, leading to increased user engagement and satisfaction (Rodrigues, 2021). However, the potential of AI recommender systems has not yet been fully realised due to a lack of insight into consumer trust and satisfaction.

Consumer trust in AI recommender systems is influenced by several factors such as transparency, fairness and privacy protection of the system.Sevim and Hall (2014) noted that consumers' intention to trust online shopping is key to their trust, but research specific to AI recommender systems is still insufficient. Consumers' level of understanding of how recommendation algorithms generate personalised suggestions can have a direct impact on their trust. If there is a lack of transparency in how the recommender system operates, consumers may become sceptical about its accuracy and fairness, which in turn affects their willingness to use it (Von Eschenbach, 2021).Sharma and Lijuan (2015) highlight the impact of system interactions on user satisfaction, and that effective personalised recommendations should be able to accurately meet the needs of the consumer and increase their satisfaction. Current research focuses more on technology optimisation and algorithmic enhancement, neglecting the question of how to enhance satisfaction by optimising the user experience.Alamdari and Navimipour (2020) emphasise the use of big data and AI technologies in recommender systems, but they also point out that optimising the user experience is key to realising the potential of the system. Only by improving the personalisation and accuracy of recommendations can the shopping experience of consumers be truly enhanced, thus increasing the competitiveness of the platform. Thus a lack of trust and satisfaction not only affects consumers' purchasing decisions and platform. stickiness, but also limits the actual effectiveness of recommender systems.

The Problem Statement of this study is to analyse the impact of AI recommender systems on consumer behaviour by revealing the key factors that influence consumer trust, satisfaction and willingness to use. From the study of consumer behaviour and psychological level, in-depth analysis of information presentation, system interaction and community influence will be carried out, and optimization strategies will be proposed at the end. The study will adopt a quantitative approach by collecting data through questionnaires and analysing it using SPSS to identify the key factors influencing consumer behaviour. Through this research, it is expected to make a valuable contribution to the study of e-commerce platforms and related fields.

1.3 Research Questions

With the widespread use of Artificial Intelligence (AI) recommender systems in e-commerce, it has become crucial to understand how consumers perceive and respond to these recommendations.AI recommender systems aim to enhance the shopping experience by providing personalised product suggestions based on consumer behaviour and preferences.

Therefore, this study aims to delve into the following research questions to reveal the key factors that influence consumer behaviour.

1. 'How do consumers perceive AI recommendations?' This question concerns consumers' perceptions of trust, satisfaction, and ease of use of AI recommendation systems. Understanding these perceived factors can help assess the user experience and acceptance of recommender systems.

2.'How do AI recommendations affect the consumer's decision-making process?' We will explore the impact of recommender systems at different stages of the shopping process, including information search, evaluation of choices, and final decision-making. Understanding this process can help optimise recommender systems so that they are effective in assisting consumers at each shopping stage.

3. 'To what extent do these recommendations influence consumers' purchasing decisions and overall shopping experience?' By examining the direct and indirect impact of recommender systems on consumer behaviour, it is possible to assess their actual effectiveness and identify potential ways to enhance the consumer shopping experience.

4.'Are there differences in consumer trust and satisfaction based on the accuracy and relevance of AI recommendations?' This question will help identify key performance indicators of recommendation systems, which in t The impact of artificial intelligence recommendation on consumer behaviour in the e-commerce industry urn will guide system optimisation.

5.'How do privacy and data security concerns affect consumer acceptance of AI recommendations?' In the current data privacy and security environment, consumers' concerns about these issues may significantly affect their use of and trust in recommender systems.

By answering these questions, this study hopes to clarify the research objectives and provide e-commerce platforms with specific guidelines for improving the design and implementation of AI recommendation systems, thereby enhancing consumers' shopping experience and platforms' competitiveness.

1.4 Research Objectives

The Research Objectives of this study include the following

1. investigating consumer perceptions of AI recommendation systems with a focus on understanding trust, satisfaction and usability. This includes examining how consumers perceive and interact with these systems to measure their overall effectiveness and acceptance.

2. analyse the impact of AI recommendations on consumers' decision-making processes at all stages of shopping. This includes exploring how recommendations affect information search, choice evaluation, and the final purchase decision.

3. assess the extent to which AI recommendations have influenced consumers' purchasing decisions and enhanced the overall shopping experience. By evaluating both direct and indirect impacts, this goal aims to identify ways to improve the effectiveness of these recommendations.

4. assess differences in consumer trust and satisfaction based on the accuracy and relevance of AI recommendations. This includes understanding how these factors influence consumer attitudes and confidence in the recommendations provided.

5. this study will explore how concerns about privacy and data security affect consumer acceptance of AI recommendations. The focus of this objective is to understand how these concerns affect consumers' willingness to engage with and trust AI-driven systems.

1.5 Significance of the Study

The significance of this study lies in its potential to advance understanding of how AI recommendation systems impact consumer behavior. in the e-commerce sector. By exploring consumer perceptions, decision-making processes, and the influence of recommendation accuracy and relevance, this research contributes valuable insights to both theoretical and practical domains.

This study enriches the existing body of knowledge on AI-driven recommendation systems by providing a comprehensive analysis of consumer interactions and perceptions. It builds upon previous research by examining how AI recommendations influence various stages of the shopping process and assessing the factors that affect consumer trust and satisfaction. The findings will contribute to theoretical frameworks related to consumer behavior, AI technology, and e-commerce, offering a nuanced understanding of how these systems shape shopping experiences.

From a practical perspective, the research offers actionable insights for e-commerce businesses and platform. developers. By identifying key factors that influence consumer acceptance and satisfaction, such as recommendation accuracy, relevance, and data privacy concerns, the study provides guidance for optimizing AI recommendation systems. These insights can help organizations enhance user experience, improve customer engagement, and address privacy issues, ultimately leading to more effective and consumer-friendly recommendation strategies. Additionally, the study's findings may inform. policy recommendations and best practices for managing data privacy in the context of AI-driven recommendations.

Overall, this research aims to bridge the gap between theoretical knowledge and practical application, offering a holistic view of AI recommendation systems' impact on consumer behavior. and providing strategies for improving their effectiveness and user acceptance.

1.6 Definitions of Key Terms

1.7 Organization of Chapters

CHAPTER 2- Lit Review

2.1 Introduction

Artificial Intelligence (AI)-powered recommender systems have significantly influenced consumer behaviour in e-commerce, enhancing the overall shopping experience by providing personalised product suggestions. The purpose of this section is to review the existing literature on consumer perceptions of AI recommendation systems, the impact of these systems on consumer purchasing decisions and behaviours, the role of recommendation accuracy and relevance on consumer trust, the variations in consumer responses across different demographics and user profiles, as well as the impact of privacy and data security concerns on consumer acceptance of AI recommendations.

Accurate personalised recommendations can be efficient in e-commerce platforms to improve consumer shopping efficiency. Correct personalised recommendations can bring a sense of surprise and satisfaction to consumers, which can effectively enhance the enjoyment of shopping and a positive sense of experience, thus optimising the consumer shopping experience. Existing research suggests that consumers generally perceive these systems as capable of providing personalised product recommendations that enhance the shopping experience.Yoon and Lee (2021) state that AI recommender systems significantly influence consumer behaviour and satisfaction, indicating positive consumer perceptions of these technologies. In this process, personalised systems not only recommend products based on consumers' historical behaviour, but also recommend new categories of products based on the preferences of similar users, which also increases the range of choices and enriches the shopping experience for consumers. However, this process can also lead to the information cocoon effect, i.e., consumers can only see content that is highly relevant to their interests and preferences, thus ignoring other potentially valuable product information (Liang & Alimu, 2023). This situation leads to a restricted range of consumer choices, which to some extent weakens the diversity of the consumer's shopping experience.

A large number of studies have explored the impact of AI recommender systems on consumer purchasing decisions and behaviours.Kumar's (2024) study found that personalised recommendations can significantly increase conversion rates and average order values, and that tailored suggestions not only enhance user engagement and loyalty, but also have varying degrees of impact across different product categories. This finding underscores the potential of AI recommender systems to drive consumer behaviour.AI recommender systems are effective in stimulating consumers' desire to buy by increasing the frequency and amount of spending through accurate recommendations. When consumers browse a certain type of product, the related products recommended by the system may trigger their behaviour to make additional purchases, thus increasing the platform's sales and profits (Pathak & Garfinkel, 2010). However, there may be a risk of system algorithmic bias and manipulation in the recommendation process. Platforms may recommend more profitable products rather than products that are truly appropriate for consumer needs (Marcellis-Warin, 2022). This manipulation may harm consumers' interests and trust in the e-commerce platform.

The impact of recommendation accuracy and relevance on consumer trust has also received extensive attention.Rohden et al. (2023) found that highly accurate recommendations enhance consumer satisfaction and trust, while recommendation relevance is a key factor in maintaining consumer engagement and trust. On the one hand accurate and relevant recommendations not only save consumers‘ time and energy, but also increase consumers’ repurchase rate of products and users' stickiness to the platform. (Zhang & Zhao, 2018). This suggests that improving the accuracy and relevance of recommendation systems is an important way to enhance consumer trust. When the accuracy of recommendations is improved, the sales of the platform. will be increased accordingly. However, the high dependence of platforms on technology in this process may also lead to too high a risk of platform. failure, and once the system's recommendation accuracy cannot be maintained, consumers will lose their trust and switch to a competitor's platform. to consume (Taher,, 2021). Consumers should also maintain a rational use of recommendation systems and avoid over-reliance to achieve a more balanced and healthy shopping experience.

Studies have shown significant differences in the response of different demographics and user profiles to AI recommendation systems.Singh's (2021) study shows that the process of AI recommendation involves the system analysing the user's demographics such as gender, age and other demographics to make more accurate matches for the user through data analysis. The study suggests that younger consumers are more receptive to AI recommendations than older groups, whereas younger consumers may have a greater preference for fashion and tech products, whereas older ones may have a greater preference for health science lifestyle. products. Therefore different demographic information can also imply different needs and preferences, and by implementing precise marketing strategies for different groups of people can improve the marketing effectiveness and conversion rate of e-commerce businesses (Saluja, Soth & Pawar, 2023). Socio-economic factors and previous online shopping experiences also play an important role in shaping consumer responses. These findings reveal diverse user needs that need to be considered in the design and application of recommender systems.

However, the impact of privacy and data security issues on consumer acceptance of AI recommender systems cannot be ignored in these processes. Personalised recommender systems rely on the collection and analysis of large amounts of consumer data, which raises serious privacy and data security concerns. Consumers may be concerned about the misuse or disclosure of their personal information, thus reducing trust in recommender systems.Wang (2021) notes that consumers are wary of data use and storage, and that addressing these issues through strong data protection measures and clear communication can enhance consumer trust and acceptance.Singh (2024) further emphasises the importance of transparency and consumer control over the the importance of data control, which is crucial in fostering positive consumer attitudes towards AI systems.

In summary, this literature provides a solid theoretical foundation for this study, and by exploring the multifaceted impact of AI recommender systems on consumer behaviour, it provides important insights and directions for further research.

2.2 key definitions/ characteristics/attributes

2.3 Global perspectives

2.4 zooming in

2.5 key variables / cases

2.6 organization background (if necessary)

2.7 Conceptual Framework

CHAPTER 3- Research Methodology

3.1 Introduction

3.2 Research Design

3.3 Questionnaire /Interview Questions Design

3.4 Data Collection- techniques

3.5 Data Analysis/measurement