Research Note‹In CARSs We Trust: How Context-Aware Recommendations Affect Customers Trust and Other Business Performance Measures of Recommender Systems

Author List: Panniello, Umberto; Gorgoglione, Michele; Tuzhilin, Alexander;
Information Systems Research, 2016, Volume 27, Issue 1, Page 182-196.
Most of the work on context-aware recommender systems has focused on demonstrating that the contextual information leads to more accurate recommendations. Little work has been done, however, on studying how much the contextual information affects the business performance. In this paper, we study how including context in recommendations affects customers' trust, sales, and other crucial business-related performance measures. To do this, we delivered content-based and context-aware recommendations through a live controlled experiment with real customers of a commercial European online publisher. We measured the recommendations' accuracy and diversification, how much customers spent purchasing products during the experiment, the quantity and price of their purchases, and the customers' level of trust. We show that collecting and using contextual information in recommendations affects business-related performance measures, such as company sales, by improving the accuracy and diversification of recommendations, which in turn improves trust and, ultimately, business performance results.
Keywords: business value of IT ; case studies ; economics of IS ; electronic commerce ; field experiments ; recommender systems ; context aware
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#93 0.205 performance results study impact research influence effects data higher efficiency effect significantly findings impacts empirical significant suggest outcomes better positive
#189 0.179 recommendations recommender systems preferences recommendation rating ratings preference improve users frame contextual using frames sensemaking filtering manipulation specific collaborative items
#118 0.138 online consumers consumer product purchase shopping e-commerce products commerce website electronic results study behavior experience b2c impact internet purchases websites
#51 0.115 results study research experiment experiments influence implications conducted laboratory field different indicate impact effectiveness future participants evidence test controlled involving
#172 0.076 trust trusting study online perceived beliefs e-commerce intention trustworthiness relationships benevolence initial importance trust-building examines discussed building future context transactions
#177 0.060 decision accuracy aid aids prediction experiment effects accurate support making preferences interaction judgment hybrid perceptual strategy account context restrictiveness taking