The influence of online product recommendations on consumers' online choices

This study investigates consumers' usage of online recommendation sources and their influence on online product choices. A 3 (websites) x 4 (recommendation sources) x 2 (products) online experiment was conducted with 487 subjects. Results indicate that subjects who consulted product recommendations selected recommended products twice as often as subjects who did not consult recommendations. The online recommendation source labeled "recommender system," typical of the personalization possibilities offered by online retailing, was more influential than more traditional recommendation sources such as "human experts" and "other consumers". The type of product also had a significant influence on the propensity to follow product recommendations. Theoretical and managerial implications of these findings are provided. (C) 2004 by New York University. Published by Elsevier. All rights reserved.