Beyond Movie Recommendations: Solving the Continuous Cold Start Problem in E-commerceRecommendations

TL;DR

This paper addresses the Continuous Cold Start Problem in e-commerce by leveraging implicit contextual data to create user profiles, significantly improving engagement and click-through rates in live A/B testing.

Contribution

It introduces a method to build implicit contextual user profiles from transaction logs, enabling effective personalized ranking without user history.

Findings

Contextual profiles improve ranking accuracy.

Implicit cues from logs capture situational context.

20% increase in click-through rate in live A/B test.

Abstract

Many e-commerce websites use recommender systems or personalized rankers to personalize search results based on their previous interactions. However, a large fraction of users has no prior inter-actions, making it impossible to use collaborative filtering or rely on user history for personalization. Even the most active users mayvisit only a few times a year and may have volatile needs or different personas, making their personal history a sparse and noisy signal at best. This paper investigates how, when we cannot rely on the user history, the large scale availability of other user interactions still allows us to build meaningful profiles from the contextual data and whether such contextual profiles are useful to customize the ranking, exemplified by data from a major online travel agentBooking.com.Our main findings are threefold: First, we characterize the Continuous Cold Start Problem(CoCoS) from the viewpoint of typical e-commerce applications. Second, as explicit situational con-text is not available in typical real world applications, implicit cues from transaction logs used at scale can capture essential features of situational context. Third, contextual user profiles can be created offline, resulting in a set of smaller models compared to a single huge non-contextual model, making contextual ranking available with negligible CPU and memory footprint. Finally we conclude that, in an online A/B test on live users, our contextual ranker in-creased user engagement substantially over a non-contextual base-line, with click-through-rate (CTR) increased by 20%. This clearly demonstrates the value of contextual user profiles in a real world application.