{"title":"AI-powered personalization in e-commerce: Governance, consumer behavior, and exploratory insights from big data analytics","authors":"Hager Turki","doi":"10.1016/j.techsoc.2025.103033","DOIUrl":null,"url":null,"abstract":"<div><div>AI-powered personalization is revolutionizing digital commercial platforms, presenting a plethora of opportunities and challenges related to governance, ethical considerations, and consumer behavior. This research explores the effects of algorithmic personalization on consumer behavior by employing a log-log regression analysis on transaction-level datasets obtained from Amazon during the period spanning 2018 to 2022. By examining the elasticity of consumer spending in response to price and quantity changes, it is shown that both variables exhibit nearly unitary responses, indicating that spending patterns in AI-personalized environments follow strong and consistent elasticity trends. While direct exposure to personalization signals is not measured, the behavioral patterns observed are consistent with personalization effects typical of platforms like Amazon. The present investigation, which applies a reduced-form elasticity model, situates the interconnection between personalization systems and the broader societal context. The findings provide compelling evidence that adaptive personalization technologies are associated with shifts in consumer expenditure behaviors but also user autonomy and the dynamics of digital trust. The model identifies behavioral regularities that support interpretive insights into AI-mediated commerce. Analyzing from a governance perspective, the findings reveal notable deficiencies in both transparency and regulatory frameworks, particularly regarding the fairness and ethical management of personal data. With algorithmic personalization growing more inscrutable, this paper advocates for an interdisciplinary methodology that synthesizes behavioral insights with accountable technology governance. Ultimately, this study contributes to the ongoing discussions concerning the influence of AI on market dynamics and the promotion of socially responsible innovation within the digital economy.</div></div>","PeriodicalId":47979,"journal":{"name":"Technology in Society","volume":"83 ","pages":"Article 103033"},"PeriodicalIF":12.5000,"publicationDate":"2025-08-05","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Technology in Society","FirstCategoryId":"90","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S0160791X25002234","RegionNum":1,"RegionCategory":"社会学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"SOCIAL ISSUES","Score":null,"Total":0}
引用次数: 0
Abstract
AI-powered personalization is revolutionizing digital commercial platforms, presenting a plethora of opportunities and challenges related to governance, ethical considerations, and consumer behavior. This research explores the effects of algorithmic personalization on consumer behavior by employing a log-log regression analysis on transaction-level datasets obtained from Amazon during the period spanning 2018 to 2022. By examining the elasticity of consumer spending in response to price and quantity changes, it is shown that both variables exhibit nearly unitary responses, indicating that spending patterns in AI-personalized environments follow strong and consistent elasticity trends. While direct exposure to personalization signals is not measured, the behavioral patterns observed are consistent with personalization effects typical of platforms like Amazon. The present investigation, which applies a reduced-form elasticity model, situates the interconnection between personalization systems and the broader societal context. The findings provide compelling evidence that adaptive personalization technologies are associated with shifts in consumer expenditure behaviors but also user autonomy and the dynamics of digital trust. The model identifies behavioral regularities that support interpretive insights into AI-mediated commerce. Analyzing from a governance perspective, the findings reveal notable deficiencies in both transparency and regulatory frameworks, particularly regarding the fairness and ethical management of personal data. With algorithmic personalization growing more inscrutable, this paper advocates for an interdisciplinary methodology that synthesizes behavioral insights with accountable technology governance. Ultimately, this study contributes to the ongoing discussions concerning the influence of AI on market dynamics and the promotion of socially responsible innovation within the digital economy.
期刊介绍:
Technology in Society is a global journal dedicated to fostering discourse at the crossroads of technological change and the social, economic, business, and philosophical transformation of our world. The journal aims to provide scholarly contributions that empower decision-makers to thoughtfully and intentionally navigate the decisions shaping this dynamic landscape. A common thread across these fields is the role of technology in society, influencing economic, political, and cultural dynamics. Scholarly work in Technology in Society delves into the social forces shaping technological decisions and the societal choices regarding technology use. This encompasses scholarly and theoretical approaches (history and philosophy of science and technology, technology forecasting, economic growth, and policy, ethics), applied approaches (business innovation, technology management, legal and engineering), and developmental perspectives (technology transfer, technology assessment, and economic development). Detailed information about the journal's aims and scope on specific topics can be found in Technology in Society Briefings, accessible via our Special Issues and Article Collections.