Recommendation System

Working knowledgeApplications and Capabilities

Also called: Recommender System

A recommendation system is software that predicts user preferences and suggests relevant items, content or services. It learns from historical user behaviour, purchasing patterns across customers, and the attributes of the items themselves. Retailers use one to decide what appears on a product page, streaming services to decide what plays next, and banks to decide which product to put in front of which customer.

In practice

In a consumer business the recommendation system is often the single largest revenue lever in the technology estate, so it deserves the scrutiny given to pricing. Ask what share of revenue passes through it, how often it is retrained, and who checks that it is doing more than recommending whatever is already popular.

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