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The Effect of Perceived Usefulness of Recommender Systems and Information Sources On Purchase Intention
The Effect of Perceived Usefulness of Recommender Systems and Information Sources On Purchase Intention
The Effect of Perceived Usefulness of Recommender Systems and Information Sources On Purchase Intention
https://www.emerald.com/insight/0368-492X.htm
Abstract
Purpose – The current study aims to empirically analyze the influence of different information sources,
together with the persuasiveness of recommender systems (RSs) on the consumer’s purchase intention (PI).
It also expands the research on RSs from the point of view of consumer behavior and psychology, considering
perceived usefulness and relevance. In addition, it analyzes how different types of personalized
recommendations, along with non-personalized ones, influence PI.
Design/methodology/approach – The proposed model has been validated using partial least squares
structural equation modeling (PLS-SEM), based on the data collected from 597 online shoppers.
Findings – This study proves that both information search and RSs influence PI, being complementary rather
than mutually exclusive. Recommender systems’ findings indicate that the PI is primarily influenced by
the perceived relevance of RSs, the information provided by manufacturers and reviews. Moreover, only the
influence of the perceived usefulness of personalized recommendations strongly affects PI. Conversely,
non-personalized recommendations do not affect PI.
Practical implications – Developers should focus on increasing the perceived usefulness and relevance of
RSs. Thus, they could adopt the hybridization of RSs with the aggregation of both personal shopping behavior
and social network contacts. It should integrate information signals from multiple sources to include sentiment
extracted from reviews or links to the manufacturer’s page. Furthermore, the recommendation of discounted
products must be only for products preferred by customers, because only these influence the PI.
Originality/value – This research provides a structural model that examines together, for the first time, the
influence on the PI of the main RSs and sources of information.
Keywords Purchase intention, Decision-making, Recommender systems, Online information sources,
Online shopping behavior
Paper type Research paper
1. Introduction
Choosing the right product online is a complex and time-consuming task due to the many
sources of information, products and store alternatives. Consequently, a buyer cannot evaluate
all available options. Thus, consumer behavior and purchase intention (PI) have been intensively
studied by academic and industry researchers (Khan et al., 2022; Liao et al., 2021; Long et al., 2022;
Riaz et al., 2020; Zhou, 2020). Before making a purchase decision, shoppers search for product
information online, weigh several alternatives and may analyze product reviews from other
customers. According to Floyd et al. (2014), more than 70% of online shoppers trust product
reviews from customers or experts and contribute significantly to their decision-making process
(Liao et al., 2021). Furthermore, electronic word of mouth (eWOM) (Chen et al., 2016; Martın-
Vicente et al., 2014) and online advertisements (Rezola et al., 2016) can also influence
Funding: This paper was supported by European Regional Development Fund through the Operational
Program Competitiveness (POC) 2014-2020, Priority Axis: Research, Technological Development and Kybernetes
Innovation (RDI) in support of economic competitiveness and business development, project © Emerald Publishing Limited
0368-492X
“Recommender systems for big data”, POC/62/1/3/108954. DOI 10.1108/K-08-2022-1145
K decision-making behavior. Another significant impact on the buying behavior of consumers
who want to make an informed purchase decision is the characteristics of the products on the
manufacturer’s website (Chen et al., 2016). Lastly, when all the research and documentation on
utility, available features or desired quality are done, questions about price arise. Therefore,
Spaid et al.’s (2019) information sources that offer price aggregations along with Sato et al.’s
(2015) special offers and discounts are among the most popular ones.
From a different perspective, recommender systems (RSs) are used by companies to aid
customers reduce the time spent searching for the right product. Personalized content delivery
has become an extremely publicized topic for professionals and scholars (Ha et al., 2022; Mican
et al., 2020; Qi et al., 2020). Consequently, RSs play an important role in the evaluation of
alternatives step of the purchase process or may be those that trigger the whole process (Lu et al.,
2015). Moreover, recommendations have a positive impact on sales and influence the purchase
decision (Chen et al., 2004; Lu et al., 2015; Pathak et al., 2010). Therefore, a series of RSs (Pathak
et al., 2010; Sato et al., 2015; Sitar-Taut and Mican, 2020) have been developed, which, based on
different approaches, provide personalized information to shoppers on the fly.
Identifying the perceived usefulness of different types of online information and
understanding how this information influences PI is essential for marketing managers (Chen
et al., 2016). To understand the predictors of customers’ behavioral intention, previous studies
have focused on the effect of online information sources (e.g. ratings, reviews, eWOM) (Chen
et al., 2016; Riaz et al., 2020), of different types of reviews (Floyd et al., 2014), or the effect of
web advertisement on online PIs (Shaouf et al., 2016). On the other hand, the vast majority of
studies in the field of RSs have focused mostly on improving the accuracy of algorithms
(Yang, 2018). Some researchers have dealt with how RSs in general (Chen et al., 2019b; Pathak
et al., 2010; Sato et al., 2015) or in particular the social ones (Virdi et al., 2020; Yang, 2018), or
those that take into account the user’s history (Choi et al., 2017) influence the PI. However,
these studies have not fully elucidated the psychological factors that determine consumer
motivation (Venkatesh et al., 2021). In addition, another important aspect is the relevance of
recommendations offered by RSs and the degree to which they influence purchase decisions
(Xiao and Benbasat, 2018). Interestingly, no previous studies have attempted to empirically
analyze the influence on PI of different information sources, along with different types of RSs.
Moreover, few studies in the field of RSs have focused on analyzing the perception of users
and the psychological factors (Yang, 2018). In addition, the study of non-personalized RSs
became important in the context in which the collection of personal data used in RSs faces a
series of increasingly strict regulations (Mican et al., 2020; Venkatesh et al., 2021).
Thus, the current study aims to fill the existing literature gap, by theorizing and
empirically validating the influence of different information sources, together with the
persuasiveness of the recommendations on the consumer’s PI. In other words, it studies the
extent to which the attitude of online shoppers regarding the perceived usefulness of different
types of personalized and non-personalized RSs, respectively the relevance of the
recommendations, on the one hand, and the information sources, on the other hand,
influence PI. Moreover, the proposed model aims to shed further light on the emerging field of
integrated models of purchase behavior and decision-making. The model was validated using
PLS-SEM and data collected from 597 online shoppers.
The results of this study provide several key implications for theory and practice. Thus,
the PI is influenced especially by the perceived relevance of RSs (PRRS), the information
provided by the manufacturers and online reviews. Also, the influence of perceived
usefulness of personalized recommendations has a strong effect on PI and is mediated by the
PRRS. Moreover, the outcomes highlight the fact that RSs that offer non-personalized
recommendations do not affect PI. eWOM, price and discounts for favorite products also
influence consumer behavior and PI. Online store managers and RSs developers should opt
for the hybridization of RSs by aggregating not only personal shopping behavior, but also
that of friends and influencers that consumers follow on social media. As well, developers Perceived
should capture informative signals from several sources (reviews, comments, manufacturers’ usefulness of
pages) to be able to generate different explanations within the RSs. In addition, when
discounted products are recommended, it should be considered that only discounts for the
recommender
preferred products influence the PI. systems
Figure 1.
Recommendation
systems and their
development
overcome the deficiencies of classical RSs (Virdi et al., 2020; Yang, 2020). Among the earliest
examples of RSs were those based on statistical data that make recommendations that are
alike to each client, without personalization, based on statistical summaries in the form of
best-sellers, top brands and trend products (Schafer et al., 2001). In addition to user
preferences for a particular product, discounts can have a significant influence on the
purchase decision, sometimes causing online shoppers to change even products that are
already in the shopping cart (Sato et al., 2015).
2.1.2 Perceived usefulness and perceived relevance of recommender systems, and the
influence on purchase intention. The concept of perceived usefulness is well-known in
literature and is seen as the degree to which a person believes that the use of technology
would increase his performance, having a substantial impact on behavioral intentions
(Fu et al., 2018). Thus, perceived usefulness of online reviews was found to be significantly Perceived
and positively correlated with trust and consumer PI (Ventre and Kolbe, 2020). Also, usefulness of
perceived usefulness and personalization are significant predictors of customers’ PI in AI-
based automated stores (Harrigan et al., 2021). In the case of movie tickets, perceived
recommender
usefulness and perceived enjoyment for members and the community platform had positive systems
effects on users’ online PI (Fu et al., 2018; Harrigan et al., 2021). In addition, there is a link
between perceived usefulness and perceived relevance (Lazuras and Dokou, 2016; To and
Tang, 2019), and, furthermore, both have effects on students’ intention to participate in the
evaluation of computer courses (To and Tang, 2019), respectively, on the intention of mental
health professionals regarding online counseling (Lazuras and Dokou, 2016).
The research carried out by Chen et al. (2019a, b) reveals the fact that the more
competent an RS is in assisting users discover useful information about products, the more
it is perceived as having a better quality of recommendations, and they had a higher
intention to buy the chosen product. Moreover, Choi et al. (2017) show that explained
recommendations affect user satisfaction and increase PI. The perceived usefulness of RSs
plays a leading role in influencing buying impulses by affecting consumer experience and
satisfaction, which can often lead to unplanned purchases (Lu et al., 2015). In addition,
Yang (2018) reveals the fact that persuasiveness and completeness of the
recommendations were strong predictors of trust in recommendations and perceived
value, and these are strong antecedents of the PI. On the other hand, Mican et al. (2020)
indicate that the perceived usefulness of an RS influences the extent to which users
consent to the collection of personal data and has an impact on the general relevance of RSs
for e-commerce users. Moreover, Tam and Ho (2006) consider that the influence of a
personalization system is mediated by the relevance of the content, which in turn affects
the attention, cognitive processes and decisions of web users in various ways. Considering
the above theories, the following constructors were used: perceived usefulness of personal
online shopping behavior (PUPOSB), perceived usefulness of others’ online shopping
behavior (PUOOSB), perceived usefulness of general trends (PUGT), perceived usefulness
of special offers (PUSO) and hypotheses were issued:
H1. PUPOSB has a direct and positive relationship with the PRRS.
H2. PUOOSB has a direct and positive relationship with the PRRS.
H3. PUGT has a direct and positive relationship with the PRRS.
H4. PUSO has a direct and positive relationship with the PRRS.
Perceived relevance is seen as the extent to which consumers perceive that personalized
information is addressed to them to help achieve their personal goals (Alalwan, 2018). Thus,
perceived relevance is considered the main factor influencing PIs for products presented in
advertisements (Nasir et al., 2021). Therefore, the more customers feel that advertisements are
related to their preferences and interests, the more inclined they will be to buy the products
presented in social media advertisements (Alalwan, 2018).
RSs have the potential to help customers make effective purchase decisions (Xiao and
Benbasat, 2018). The relevance of the content offered by the RS affects the attention, cognitive
processes and decisions of users, and offering relevant choice options helps them in making
purchase decisions (Whang et al., 2022). Furthermore, Chen et al. (2019a, b) revealed that
serendipity, timeliness and relevance of recommendations can directly affect user PI. On the
other hand, Ku and Tai (2013) show that the PI is primarily affected by the consumer’s
attitude toward the recommended product, and this attitude is mainly determined by the
relevance of the recommendation for personal interests. Considering this, the following
hypothesis was offered:
K H5. PRRS has a direct and positive relationship with PI.
3. Research methodology
3.1 Survey instrument and measurement scales
In the questionnaire used to collect the data necessary for this study, eleven constructs have
been selected or adapted from the literature. For the PI, which is the dependent variable, the
scale was adapted from (Chen et al., 2016; Riaz et al., 2020; Tran, 2020). Five constructs
influencing PI focus on information-search behavior and have been derived from the related
literature. They are PRRDA (Goldstein et al., 2014; Shaouf et al., 2016), eWOM (Chen et al.,
2016; Wang and Yu, 2017), MPI (Chen and Zhang, 2015; Lodkaew et al., 2018), RC (Floyd et al.,
2014; Tran, 2020) and DPI (B€ uy€ukdag et al., 2020; Spaid et al., 2019). In addition, five RS-
related constructs proposed and validated by Mican et al. (2020) have been added: PUPOSB,
PUOOSB, PUGT, PUSO and PRRS.
All items used in the current survey use a 5-point Likert scale, in which a score of one
indicated “strongly disagree” or “totally unimportant”, and five indicated “strongly agree” or
Figure 2.
Research model
K “totally important”. The 5-point Likert scale was chosen in the present study because it is
preferred by researchers because it reduces the level of frustration of the respondents,
increasing the response rate and the quality of the response (Sachdev and Verma, 2004).
The used scales were evaluated in terms of reliability and convergent validity (see Table 2).
methods were much lower than the 3.3 threshold (Kock, 2015; Kock and Lynn, 2012).
Concluding, according to the methods employed, the biases concerns are eliminated.
In what follows, the structural model was evaluated and the statistical significance of the
relationships within the constructs was analyzed. Also, the extent of the path coefficients was
K 1 2 3 4 5 6 7 8 9 10 11
PRRDA
DPI 0.028
MPI 0.296 0.069
PRRS 0.541 0.049 0.341
PUSO 0.187 0.079 0.099 0.194
PUGT 0.210 0.076 0.212 0.310 0.415
PUOOSB 0.302 0.042 0.143 0.374 0.249 0.572
PUPOSB 0.255 0.043 0.217 0.503 0.216 0.382 0.452
Table 3.
Discriminant validity PI 0.075 0.129 0.247 0.171 0.174 0.139 0.120 0.273
assessment for the RC 0.051 0.030 0.188 0.072 0.085 0.030 0.104 0.074 0.242
reflective variables eWOM 0.083 0.031 0.092 0.115 0.189 0.199 0.266 0.210 0.170 0.242
(HTMT criterion) Source(s): Author’s Work
assessed. The graphic representation of the proposed structural model, containing the path
coefficients and p-values illustrated for the inner model, is depicted in Figure 3.
Table 5 presents a summary of the results in which we can observe the total effects for our
hypotheses, as well as the indirect effects between the constructs. As the results show, of the
ten hypotheses that have been formulated and assessed, eight of them have been statistically
significant and therefore accepted.
To assess the model goodness of fit, it was computed the standardized root mean square
residual (SRMR) indicator. The resulting values, SRMR 5 0.052 for the saturated model, and
in addition, SRMR 5 0.062 for the estimated model, are below the 0.08 threshold (Hair et al.,
2017), indicating the model’s good fit.
The final analyzes address the model’s explanatory and predictive power, employing the
PLSpredict procedure (Shmueli et al., 2019). Specifically, all Q2 values are positive, indicating
that the model outperforms a naı€ve item-average benchmark. More importantly,
the prediction error of the PLS-SEM results (RMSE) is smaller than the prediction error for
the linear benchmark model (LM) for all indicators. This means that the proposed model has
high predictive power.
systems
usefulness of
values)
Table 4.
Figure 3.
Graphic representation
of the structural model
relationships
whom they share the same interests (Virdi et al., 2020). PUOOSB was proved as having a
direct positive relationship with the PRRS (p < 0.01), thus confirming the H2 hypothesis.
In addition, indirect effects show that PUOOSB influence PI, mediated again by PRRS.
The results obtained for the first two hypotheses, H1 and H2, are consistent with the ones Perceived
of Mican et al. (2020) in the case of information privacy concerns, and with Lazuras and Dokou usefulness of
(2016), To and Tang (2019) regarding users’ behavioral decisions, regarding the existence of a
direct link between perceived usefulness and relevance in the case of RSs that offer
recommender
personalized recommendations. The findings also confirm previous studies regarding the systems
fact that perceived usefulness influences PI in the case of online stores (Pillai et al., 2020),
online reviews (Ventre and Kolbe, 2020), the purchase of movie tickets (Fu et al., 2018), brands
(Harrigan et al., 2021) or in what online psychological counseling proves (Lazuras and Dokou,
2016). Also, regarding the influence of RSs on PI, the results are in accordance with (Choi et al.,
2017; Lu et al., 2015; Yang, 2018), regarding the influence of buying impulses on unplanned
purchases. Therefore, the more useful information and recommendations are perceived, the
more they influence the intention to purchase the recommended product (Chen et al., 2019a).
Providing personalized recommendations is very popular and is used intensively.
However, it faces a multitude of issues such as the existence of new users whose preferences
and behavioral patterns are not yet known (Bobadilla et al., 2013), the cold-start phenomenon
(Lu et al., 2015), or more recently, the various data privacy issues (Mican et al., 2020;
Venkatesh et al., 2021). Therefore, in these cases, in addition to personalized RSs, online stores
also integrate classic non-personalized RSs (Sato et al., 2015; Schafer et al., 2001). In the case of
hypotheses H3 and H4 from the current research, the influence of the perceived usefulness of
RSs that offer non-personalized recommendations was treated.
In the case of H3 hypothesis, PUGT has a direct and positive effect on the PRRS, but it
turned out to be at the representativeness limit. In consequence, the hypothesis was not
supported (p > 0.05) and, according to indirect effect, PUGT does not influence either PI.
Therefore, we believe that an RS that offers personalized content is preferred over a general
one that is not interested in customer preferences, interests, or habits. The same is true for
hypothesis H4. Therefore, it seems that neither PUSO has an influence on PRRS (p > 0.05) nor
on PI, as shown by the indirect effect. The results obtained for the hypotheses H3 and H4 are
not consistent with the results obtained by (Lazuras and Dokou, 2016; Mican et al., 2020;
To and Tang, 2019), which denotes that, in the case of RSs that offer non-personalized
recommendations, there is no direct link between usefulness and perceived relevance.
Moreover, outputs are in contrast to previous studies on the influence of perceived usefulness
on PI (Harrigan et al., 2021; Pillai et al., 2020; Ventre and Kolbe, 2020). Also, in the case of the
influence of RSs on PI, the results are contrary to those obtained by Chen et al. (2019a), Choi
et al. (2017), Yang (2018). However, it appears that recommendations affect customer decision-
making, and customers buy more items and rate them better when they receive personalized
recommendations compared to non-personalized recommendations (Choi et al., 2017).
A higher level of personalization improves the intention to purchase through a feeling of ease
(Whang et al., 2022). Moreover, the results agree with previous studies, suggesting that
personalized recommendations are more effective than non-personalized ones (Li, 2016).
The assessment of hypothesis H5 revealed that PRRS has a positive influence on PI
(p < 0.01). Regarding the effect of perceived relevance on PI, the results are similar to those
obtained by Alalwan (2018) and Nasir et al. (2021) in the case of advertisements presented on
social networks. Also, the results support previous research (Whang et al., 2022; Xiao and
Benbasat, 2018) according to which RSs help consumers make purchase decisions and have a
strong effect on PI, as earlier research stated (Chen et al., 2019b; Ku and Tai, 2013). Therefore,
the more recommendations help the online shopper discover new, interesting and relevant
products that they would not otherwise have discovered, respectively, the more they trust the
RS, the more it will influence the intention to buy. In other words, the more relevant the
recommendations are and the better they fulfill the interests of the consumers, the more they
lead to more favorable attitudes towards RSs, the recommendations provided, and finally the
purchase of the recommended products.
K In the case of hypothesis H6, PRRDA negatively affects PI (p < 0.001). It seems that
PRRDA should positively affect PI, but only in very specific scenarios, such as using accurate
customization (Rezola et al., 2016) or being mainly addressed to male buyers (Shaouf et al.,
2016). Our survey sample is mainly made up of women (60.30%) and the advertisement
feature does not reach its full potential (mean 2.853, see Table 1), probably due to ad-blockers,
or simply to the old-fashioned information search habit. When used, non-personalized
advertisements again prove the supposed inefficiency, confusing the user during the
shopping process. We may call the phenomenon “unintentional diversion”. Thus, even if
users are aware of the advertisements’ possible utility, their avoidance contravenes the stated
utility, leading to a negative influence on the PI, in line with (Boerman et al., 2017). eWOM has
a direct positive influence on the customer’s intention to buy a product or book a service
directly (Chen et al., 2016; Liao et al., 2021; Wang and Yu, 2017). This aspect is also
demonstrated in the current research, with our hypothesis related to eWOM (H7) being
confirmed (p < 0.05). Therefore, it seems that informal communication with friends and
relatives about different products, their usefulness and their characteristics influence PI.
Thus, the results are consistent with (Chen et al., 2016; Liao et al., 2021; Wang and Yu, 2017).
The quality and completeness of the product information posted on the brand’s website
(Chen et al., 2016; Chen and Zhang, 2015) or officially distributed on social networks (Lodkaew
et al., 2018) have a positive effect on PI. Our model also empirically confirms previous research
in this field. H8 is accepted (p < 0.001) and the path coefficient denotes that MPI represents the
most positive influential information search source for the PI. User reviews are available on
most e-commerce sites, and 65% of the surveyed customers admitted that their purchase
decisions were influenced by this aspect (Lin, 2014; Tran, 2020). Our study confirms that RCs
have a direct and positive relationship with PI, as H9 states (p < 0.01). Therefore, we can say
that both positive and negative reviews influence PI.
The price and the discount represent the most popular and valuable information sources,
positively influencing PI (B€ uy€
ukda g et al., 2020). The H10 hypothesis is also confirmed
(p < 0.05), the output reinforcing results obtained by (B€ uy€ukda g et al., 2020; Sato et al., 2015;
Spaid et al., 2019). In the case of H10, compared to H4, users are looking for a better price,
respectively, a higher discount for the desired product. In the case of H10, the price and
discount impact more the PI because it is possible that the user has already decided on a
particular product and is still looking for a better price for it. In the case of hypothesis H4, the
user receives recommendations for products at better prices or discounts. It is just that they
may not suit the needs and preferences of consumers.
6. Conclusions
Purchasing intention and online consumer behavior have been intensively studied revealing
that RSs and different types of information that the user searches for or receives influence PI.
Despite the importance of understanding how different antecedents influence PI, no previous
empirical study analyzed together in a structural model the influence of different sources of
information, along with the influence of different types of RSs. In the case of RSs, most
research has focused on improving the accuracy of RS algorithms and not user perceptions.
To fill these gaps, this study empirically investigated the impact of the perceived usefulness
of the main RS types, and how PI is also influenced by the search behavior, respectively, the
main types of information source. In addition, the research investigated RSs from the point of
view of the behavior and psychology of e-commerce consumers. Moreover, we also analyzed
the effect of non-personalized recommendations on PI.
The results showed that the PRRS positively and significantly influences the PI. Perceived
Furthermore, only the perceived usefulness of personalized recommendations has an impact usefulness of
on PRRS and PI. Therefore, RSs and various information source types are complementary
rather than mutually exclusive in online shopping. Finally, our findings provide academics,
recommender
online retailers and decision-makers with detailed information on the influence that RSs and systems
information sources have on the behavior of online shoppers. We conclude that
personalization is the key for users to find RSs useful and relevant. In this direction, the
hybridization of RSs can represent a good solution. In addition, detailed MPI and RC
information plays a major role in influencing PI. Also, providing price discounts only for
customer-favorite products is essential.
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About the authors Perceived
Daniel Mican is an Associate Professor and PhD supervisor at the Faculty of
Economics and Business Administration, Babeş-Bolyai University of Cluj-Napoca, usefulness of
Rom^ania, within the Department of Business Information Systems. He completed his recommender
PhD in 2013 in Cybernetics and Economic Statistics. His research interests are in the systems
field of recommendation systems, social media, web usage mining, collective
intelligence and user behavior. He also works as a consultant project manager and
web developer for FSEGA and companies from Europe and US. His research has been
published in reputable journals such as Social Science Computer Review, Decision
Support Systems, Expert Systems with Applications and Online Information Review.
Dan-Andrei Sitar-Taut is an Associate Professor and PhD supervisor at the Faculty of
Economics and Business Administration, Babeş-Bolyai University of Cluj-Napoca,
Romania. He holds a Ph.D. diploma in Cybernetics and Economic Statistics and is the
author of several books and more than 60 journal or conference papers in journals, such
as Social Science Computer Review, Expert Systems with Applications, Decision Support
Systems, Online Information Review and Information Technology and Management.
Dr. Sitar was manager in 2 national research projects and member in the other 20. He is
member in Online Information Review journal’s Editorial Advisory Board and
reviewer for several JCR-listed journals. Dan-Andrei Sitar-Taut is the corresponding author and can be
contacted at: dan.sitar@econ.ubbcluj.ro
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