Proceedings of the 51st Hawaii International Conference on System Sciences 2018
DOI: 10.24251/hicss.2018.178
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Canalization or Increased Diffusion? An Empirical Analysis on the Impact of the Recommendation System in the Mobile App Market

Abstract: Online retailers have increasingly adopted product recommendation systems as an effective tool to improve product visibility and promote sales. This study examines the impact of the recommendation system in the popular Google Play mobile app store. By analyzing a 60-day panel dataset with 235,638 observations from 9,735 apps, we investigate how the characteristics of the recommended apps relative to those of the focal apps affect the adoption of mobile apps in this volatile market. Our results show that the re… Show more

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Cited by 3 publications
(2 citation statements)
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References 20 publications
(49 reference statements)
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“…The 'visibility' paradigm means that visibility to the public increases through information [28]. Improving app visibility can increase users' exposure to the app and enable them to receive more information, thereby generating attention and increasing app use [6,29]. Improving app visibility can make it more convenient for users to obtain apps, reduce potential user search costs and improve user satisfaction [6].…”
Section: Theoretical Backgroundmentioning
confidence: 99%
“…The 'visibility' paradigm means that visibility to the public increases through information [28]. Improving app visibility can increase users' exposure to the app and enable them to receive more information, thereby generating attention and increasing app use [6,29]. Improving app visibility can make it more convenient for users to obtain apps, reduce potential user search costs and improve user satisfaction [6].…”
Section: Theoretical Backgroundmentioning
confidence: 99%
“…Salganik et al (2006) demonstrate that social influence in the form of information on others' purchases leads to a higher concentration of product sales. Also the relative strength of one product compared to another can, in combination with particular RS, affect its diffusion in the market (Liu et al, 2018).…”
Section: Online Recommender Systems and Sales Diversitymentioning
confidence: 99%