The Impact of AI-Powered Recommendation Systems on Customer Purchase Behavior and Brand Loyalty

This study investigates how AI-powered recommendation systems (ARS) in mobile apps of international food brands like KFC and Domino's affect customer behavior, satisfaction, and loyalty. ARS uses advanced machine learning to provide personalized, accurate, and timely recommendations, enhancing customer experiences and engagement. The research reveals that ARS significantly influences purchasing patterns, leading to more frequent and larger orders. It also contributes to higher customer satisfaction and trust. By offering tailored suggestions, ARS acts as a bridge between customer engagement and brand loyalty, improving decision-making and creating value for businesses. However, the study emphasizes the importance of addressing ethical concerns, particularly data privacy and transparency, to maintain consumer trust. Overall, this research provides valuable insights into how AI can be strategically used to advance digital retail practices.

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Publication Details

Published
2025-01-01
DOI
https://doi.org/10.34293/icaicm-25.ch009
Primary Topic
Impact of AI and Big Data on Business and Society
Type
article
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article

The Impact of AI-Powered Recommendation Systems on Customer Purchase Behavior and Brand Loyalty

J. Dharmaraj, S. Rahini
Impact of AI and Big Data on Business and Society
article

The Impact of AI-Powered Recommendation Systems on Customer Purchase Behavior and Brand Loyalty

J. Dharmaraj, S. Rahini
article en

Abstract

This study investigates how AI-powered recommendation systems (ARS) in mobile apps of international food brands like KFC and Domino's affect customer behavior, satisfaction, and loyalty. ARS uses advanced machine learning to provide personalized, accurate, and timely recommendations, enhancing customer experiences and engagement. The research reveals that ARS significantly influences purchasing patterns, leading to more frequent and larger orders. It also contributes to higher customer satisfaction and trust. By offering tailored suggestions, ARS acts as a bridge between customer engagement and brand loyalty, improving decision-making and creating value for businesses. However, the study emphasizes the importance of addressing ethical concerns, particularly data privacy and transparency, to maintain consumer trust. Overall, this research provides valuable insights into how AI can be strategically used to advance digital retail practices.

SASTRA University (IN)
Openalex Percentile: Top 94%
Impact of AI and Big Data on Business and Society
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The Impact of AI-Powered Recommendation Systems on Customer Purchase Behavior and Brand Loyalty — J. Dharmaraj, S. Rahini · (2025) | TGRS Research Map | TGRS