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Definition
• A recommender system, or a recommendation system, is a subclass of
information filtering system, usually associated with machine learning,
that uses Big Data.
• It finds out the match between user and item and imputes the similarities between
users and items for recommendation.
• Both the users and the service providers have benefited from these kinds of systems.
• The quality and decision-making process has also improved through these kinds of
systems.
BENEFITS
1. Improved user experience: Recommendation systems help users discover new products or
content that they might be interested in, based on their previous preferences. This can make the
user experience more personalized and enjoyable.
2. Increased sales and engagement: By showing users relevant recommendations, a
recommendation system can help drive more traffic to a website or an app, and can encourage
users to engage with the content or products being recommended. This can lead to increased
sales and revenue for the business.
3. Enhanced customer loyalty: By providing personalized recommendations, businesses can show
customers that they understand their interests and preferences. This helps build customer loyalty
and encourage customers to return to the site or app in the future.
4. Better targeting of marketing campaigns: Recommendation systems can help businesses gather
data on customer preferences and interests, which can be used to target marketing campaigns
more effectively. This can help businesses reach the right customers with the right messages,
which can lead to improved marketing ROI.
5. Improved efficiency and cost savings: By automating the process of generating
recommendations, businesses can save time and resources that would otherwise be spent on
manual curation of content or products. This can lead to improved efficiency and cost savings.
Targeted Marketing
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TYPES
1. Collaborative Recommender system
– Collaborative recommender systems aggregate ratings or recommendations of objects, recognize
commonalities between the users on the basis of their ratings, and generate new recommendations
based on inter-user comparisons.
– The greatest strength of collaborative techniques is that they are completely independent of any
machine-readable representation.
2. Content-based recommender system
– In Content-based recommender system, the objects are mainly defined by their associated
features.
– A content-based recommender learns a profile of the new user’s interests based on the features
present, in objects the user has rated.
– It’s basically a keyword specific recommender system here keywords are used to describe the
items.
– Thus, in a content-based recommender system the algorithms used are such that it recommends
users similar items that the user has liked in the past or is examining currently.
CONT.
3. Demographic based recommender system
– This system aims to categorize the users based on attributes and make
recommendations based on demographic classes.
– Many industries have taken this kind of approach as it’s not that complex and easy to
implement.
– In Demographic-based recommender system the algorithms first need a proper market
research in the specified region accompanied with a short survey to gather data for
categorization.
– Demographic techniques form “people-to-people” correlations like collaborative ones, but
use different data. The benefit of a demographic approach is that it does not require a
history of user ratings like that in collaborative and content based recommender systems.
CONT.
4. Utility based recommender system
– Utility based recommender system makes suggestions based on computation of the utility of
each object for the user.
– Of course, the central problem for this type of system is how to create a utility for individual
users.
– In utility based system, every industry will have a different technique for arriving at a user
specific utility function and applying it to the objects under consideration.
– The main advantage of using a utility based recommender system is that it can factor non-
product attributes, such as vendor reliability and product availability, into the utility
computation. This makes it possible to check real time inventory of the object and display it to
the user.
5. Knowledge based recommender system
– This type of recommender system attempts to suggest objects based on
inferences about a user’s needs and preferences.
– Knowledge based recommendation works on functional knowledge: they have
knowledge about how a particular item meets a particular user need, and can
therefore reason about the relationship between a need and a possible
recommendation.
6. Hybrid recommender system
– Combining any of the two systems in a manner that suits a particular industry
is known as Hybrid Recommender system.
– This is the most sought after Recommender system that many companies look
after, as it combines the strengths of more than two Recommender system and
also eliminates any weakness which exist when only one recommender system
is used.
How Recommender System Works?
• Recommender systems leverage machine learning algorithms in order to make
better predictions about a user’s preferences.
• There are a number of different machine learning algorithms that can be used in a
recommender system.
• Each algorithm has its own strengths and weaknesses, and the best algorithm for a particular
application will depend on the nature of the data.
• The most common is the linear regression algorithm. The linear regression algorithm is
used to find the best linear approximation to a data set.
• In a recommender system, this algorithm is used to predict how a user will rate an item
based on their past ratings.
CONT.
Methods that use the former are referred to as collaborative filtering methods, whereas
methods that use the latter are referred to as content-based recommender methods.
Some recommender systems combine these different aspects to create hybrid systems.
Hybrid systems can combine the strengths of various types of recommendersystems to
create techniques that can perform more robustly in a wide variety of settings.
Basic Models of Recommender Systems
1. The rating of an item might evolve with time, as community attitudes evolve and the interests of users
change over time. User interests, likes, dislikes, and fashions inevitably evolve with time.
2. The rating of an item might be dependent on the specific time of day, day of week, month, or season. For
example, it makes little sense to recommend winter clothing during the summer, or raincoats during the dry
season.
• The first type of recommender system is created by incorporating time as an explicit parameter in collaborative
filtering systems.
• The second type can be viewed as a special case of context-based recommender systems.
• Temporal recommender systems are challenging because of the fact that the matrix of ratings is sparse, and the
use of specific temporal context aggravates the sparsity problem. Therefore, it is particularly important to have
access to large data sets in these settings.
Location-Based Recommender Systems
• With the increasing popularity of GPS-enabled mobile phones, consumers are often interested in
location-based recommendations. For example, a traveling user may wish to determine the closest
restaurant based on her previous history of ratings for other restaurants.
• In general, the recommendation of places always has a location aspect built into it.
• An example of such a system is Foursquare2, which recommends various types of places such as
restaurants or nightlife venues. There are two types of spatial locality that are common to such
systems:
1. User-specific locality: The geographical location of a user has an important role in her
preferences. For example, a user from Wisconsin might not have the same
movie preferences as a user from New York. This type of locality is
referred to as preference locality.
2. Item-specific locality: The geographical location of an item (e.g., restaurant) might have an
impact on the relevance of the item, depending on the current location of the
user. Users are generally not willing to travel very far from their current
location. This type of locality is referred to as travel locality.
Social Recommender Systems
• Social recommender systems are based on network structures, social cues and tags, or a combination of these
various network aspects.
• In general, the recommender systems that are based on social cues and tags are slightly different from those that
are based purely on structural aspects.
• Recommender systems, which are based purely on structural aspects, are used to suggest nodes and links within
the network itself.
• On the other hand, social recommender systems may be also be used to recommend various products with the use
of social cues.
• It is important to note that the utility of structural recommender systems extends beyond social networks, because
such methods are applied to various types of Web-enabled networks.
Structural Recommendation of Nodes and Links
• Various types of networks, including social networks, are composed of nodes and links. In many
cases, it is desirable to recommend nodes and links.
• For example, a personalized Web search may require a recommendation of material which is related
to a particular topic. Since the Web can be viewed as a graph, such methods can be viewed as a node
recommendation problem.
• The problem of node recommendation is closely related to the problem of Web search. In fact, both
problems require the use of various forms of ranking algorithms.
• A key component of these methods is the use of the PageRank algorithm, although the
personalization of such algorithms is more closely related to recommendation algorithms. Therefore,
such algorithms are also referred to as personalized PageRank algorithms.
Product and Content Recommendations with Social Influence
• Many social media sites allow users to express their trust and distrust in one another,
either in a direct way, or through various feedback mechanisms.
• For example, users can express their trust or distrust in reviews of other users, or
they may directly specify their trust or distrust relationships with other users. This
trust information is very useful for making more robust recommendations.
• Tags are meta-data that users utilize to add short informative keywords to the
content.
• For example, a user on a music site might tag Michael Jackson’s Thriller album as
“rock.” Such tags provide useful information about the interests of both the user and
the content of the item because the tag is associated with both. The tags serve as
useful context for performing the recommendations.
Application Domains
• Like all other collaborative filtering algorithms, neighborhood-based collaborative filtering algorithms
can be formulated in one of two ways:
1. Predicting the rating value of a user-item combination: This is the simplest and most primitive
formulation of a recommender system. In this case, the missing rating of the user u for item j is
predicted.
2. Determining the top-k items or top-k users: In most practical settings, the merchant is not
necessarily looking for specific ratings values of user-item combinations. Rather, it is more
interesting to learn the top-k most relevant items for a particular user, or the top-k most relevant
users for a particular item.
Rating Matric
Key Properties of Ratings Matrices
– Determine whether Alice will like or dislike Item5, which Alice has not yet rated or seen
User-based nearest-neighbor collaborative filtering
• Let k be 5.
• Then the algorithm searches for the 5
customers closest to Monica, i.e. most similar to
Monica in terms of attributes, and see what
categories those 5 customers were in.
• If 4 of them had ‘Medium T shirt sizes’ and 1
had ‘Large T shirt size’ then your best guess for
Monica is ‘Medium T shirt.
• See the calculation shown in the snapshot
below -
STEP 3: FINAL RECOMMENDATION USING
CLUSTER DISTANCE
• New customer
information is exhibited
in yellow circle. Four
blue highlighted data
points and one orange
highlighted data point
are close to yellow
circle. so the prediction
for the new case is
blue highlighted data
point which is Medium
T-shirt size.
CONT.
GRAPH BASED
RECOMMENDATION MODEL
Graph-based methods (1)
1-degree : C1 to B2 = 0.5
2-degree : C1-B2-B1 = 0.5*0.6= 0.3
3-degree : C1 to B1,
C1-C2- B2-B1 = 0.7*0.5*0.6 = 0.21
C1-B2-B3-B1 = 0.12
C1-C2-B3-B1 =0.28