The expansion of online retail markets has driven the development of personalized product recommendation services leveraging platform-based product and customer data. Large retailers have implemented seller-oriented recommendation systems, where AI analyzes POS sales data to identify similar stores and recommend products not yet introduced but successful elsewhere. However, small and medium-sized retailers face challenges in adapting to rapidly evolving online market trends due to limited resources. This study proposes a recommendation algorithm tailored for small-scale retailers using sales data from an online shopping mall. We analyzed 600,000 transaction records from 13,607 sellers and 95,938 products, focusing on Beauty Supplies, Kitchenware, and Cleaning Supplies categories. Three algorithms—Attentional Factorization Machines (AFM), Deep Factorization Machines (DeepFM), and Neural Collaborative Filtering (NCF)—were applied to recommend top 10% weekly sales items, with an ensemble model integrating their strengths. To address class imbalance, the Synthetic Minority Oversampling Technique (SMOTE) was employed, and performance was evaluated using AUC, Accuracy, Precision, and Recall metrics on separate training and test datasets. The ensemble model outperformed individual models across all metrics, while DeepFM excelled in Precision. These findings demonstrate that ensemble-based recommendation algorithms enhance recommendation accuracy for suppliers in large-scale online retail environments, offering practical implications for small-scale retailers.
Distribution and logistics industries contribute some of the biggest GDP(gross domestic product) in South Korea and the number of related companies are quarter of the total number of industries in the country. The number of retail tech companies are quickly increased due to the acceleration of the online and untact shopping trend. Furthermore, major distribution and logistics companies try to achieve integrated data management with the fulfillment process. In contrast, small and medium distribution companies still lack of the capacity and ability to develop digital innovation and smartization. Therefore, in this paper, a deep learning-based demand forecasting & recommendation model is proposed to improve business competitiveness. The proposed model is developed based on real sales transaction data to predict future demand for each product. The proposed model consists of six deep learning models, which are MLP(multi-layers perception), CNN(convolution neural network), RNN(recurrent neural network), LSTM(long short term memory), Conv1D-BiLSTM(convolution-long short term memory) for demand forecasting and collaborative filtering for the recommendation. Each model provides the best prediction result for each product and recommendation model can recommend best sales product among companies own sales list as well as competitor’s item list. The proposed demand forecasting model is expected to improve the competitiveness of the small and medium-sized distribution and logistics industry.
Many studies on predicting and recommending information and products have been studying to meet customers' preference. Unnecessary information should be removed to satisfy customers' needs in massive information. The some information filtering methods to remove unnecessary information have been suggested but these methods have scarcity and scalability problems. Therefore, this paper explores a personalized recommendation system based on artificial neural network (ANN) to solve these problems. The insurance product recommendation is adapted as an example to demonstrate the proposed method. The proposed recommendation system is expected to recommended a suitable and personalized insurance products for customers' satisfaction.
Purpose: The purpose of this study is to understand the effect of the unique product recommendation system on customer satisfaction. Research design, data and methodology: The survey method used the self-recording way in which the respondents selected for the study and distributed 300 questionnaires, and with due personal care, researchers collected all the distributed questionnaires. Results: The result implies that the characteristics of the product recommendation system should be more secure and developed. Conclusions: The aspects of the product recommendation system were selected as factors of price fairness, accuracy, and quality through previous studies, and the empirical analysis of the effect of the characteristics of the product recommendation system on customer satisfaction was summarized as follows. Among the attributes of the product recommendation system, the attributes of price fairness, accuracy, and quality affect customer satisfaction. Among them, the beta value of quality was the highest, and the effect of quality was the largest among the three factors. Based on the results of the study, the implications for the characteristics of the product recommendation system are summarized as follows. The aspects of the product recommendation system have a positive effect on customer satisfaction, so it is necessary to fill the needs of consumers based on the survey focused on quality