Dublin, June 27, 2024 (GLOBE NEWSWIRE) -- The "AI-based Recommendation System Global Market Report 2024" report has been added to ResearchAndMarkets.com's offering.
The AI-based recommendation system market size has grown rapidly in recent years. It will grow from $2.01 billion in 2023 to $2.21 billion in 2024 at a compound annual growth rate (CAGR) of 10.1%. The AI-based recommendation system market size is expected to see rapid growth in the next few years. It will grow to $3.28 billion in 2028 at a compound annual growth rate (CAGR) of 10.4%.
The expansion observed in the historical period can be attributed to several factors, including the rising demand for personalized recommendations, increased availability of data, the need for efficient workforce management solutions, growth in e-commerce activities, heightened demand for cross-selling and upselling strategies, as well as the application of recommendation systems in education and e-learning sectors. 
North America was the largest region in the AI-based recommendation system market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the ai-based recommendation system market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The projected growth in the forecast period can be attributed to several key factors, including the increasing adoption of streaming services, the expanded integration of recommendation systems within healthcare practices, compliance with regulatory requirements, the growing scope of digital advertising, and the optimization of content delivery networks (CDNs). Major trends anticipated in the forecast period encompass the dominance of personalization strategies, real-time recommendation capabilities, adaptive learning models, multi-modal recommendation approaches, enhanced user feedback mechanisms, and the analysis of social influence.
The anticipated expansion of digital advertising is poised to drive the growth trajectory of the AI-based recommendation system market in the foreseeable future. Digital advertising encompasses promotional activities conducted through online platforms, spanning various media formats such as text, image, audio, and video across websites, streaming services, and other digital channels. This growth surge in digital advertising is attributed to its broad audience reach, precise targeting capabilities, measurable outcomes, cost-efficiency, and personalized approach.
AI-based recommendation systems play a pivotal role in digital advertising by augmenting targeting precision, personalization, and overall campaign efficacy, thus fostering user engagement and conversion rates. For instance, Oracle Corporation, a leading US-based computer software company, projects a substantial increase in global digital advertising spending from $378 billion in 2020 to an estimated $646 billion by 2024, underscoring the driving force behind the expansion of the AI-based recommendation system market.
Prominent players in the AI-based recommendation system market are actively innovating technologies such as recommender system support to elevate the efficiency and efficacy of recommendation engines. These systems, powered by algorithms or software tools, analyze user data and preferences to generate tailored recommendations for products, services, content, or other items of interest. An illustration of such innovation is the January 2024 launch of recommender system support by Arthur, a US-based AI performance platform, heralding a significant advancement in AI technology.
This novel technology aims to revolutionize the utilization of recommender systems in online businesses, elevating customer satisfaction levels and driving revenue growth. Leveraging AI capabilities, this solution enhances recommendation engines' accuracy and customization, featuring functionalities such as model overview page, metrics dashboard, data drift monitoring, advanced querying, and filtering, thereby enhancing the overall user experience through personalized recommendations.
The countries covered in the ai-based recommendation system market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 175 |
| Forecast Period | 2024 - 2028 |
| Estimated Market Value (USD) in 2024 | $2.21 Billion |
| Forecasted Market Value (USD) by 2028 | $3.28 Billion |
| Compound Annual Growth Rate | 10.4% |
| Regions Covered | Global |
AI-Based Recommendation System Market Other Major and Innovative Companies
- Huawei Technologies Co. Ltd
- Tencent Holdings Limited
- Intel Corporation
- International Business Machines Corporation
- Oracle Corp
- SAP SE
- Netflix
- Hewlett Packard Enterprise (HPE)
- Salesforce Inc
- Adobe Inc.
- Sentient Technologies
- RecomTech
- Kibo Commerce
- SmartRecs
- AIRecom
Key Topics Covered:
1. Executive Summary
2. AI-Based Recommendation System Market Characteristics
3. AI-Based Recommendation System Market Trends and Strategies
4. AI-Based Recommendation System Market - Macro Economic Scenario
4.1. Impact of High Inflation on the Market
4.2. Ukraine-Russia War Impact on the Market
4.3. COVID-19 Impact on the Market
5. Global AI-Based Recommendation System Market Size and Growth
5.1. Global AI-Based Recommendation System Market Drivers and Restraints
5.1.1. Drivers of the Market
5.1.2. Restraints of the Market
5.2. Global AI-Based Recommendation System Historic Market Size and Growth, 2018-2023, Value ($ Billion)
5.3. Global AI-Based Recommendation System Forecast Market Size and Growth, 2023-2028, 2033F, Value ($ Billion)
6. AI-Based Recommendation System Market Segmentation
6.1. Global AI-Based Recommendation System Market, Segmentation by Type, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
- Collaborative Filtering
- Content Based Filtering
- Hybrid Recommendation
6.2. Global AI-Based Recommendation System Market, Segmentation by Deployment Mode, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
- On-Premise
- Cloud
6.3. Global AI-Based Recommendation System Market, Segmentation by Application, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
- E-Commerce Platform
- Online Education
- Social Networking
- Finance
- News and Media
- Health Care
- Travel
- Other Applications
7. AI-Based Recommendation System Market Regional and Country Analysis
7.1. Global AI-Based Recommendation System Market, Split by Region, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
7.2. Global AI-Based Recommendation System Market, Split by Country, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
For more information about this report visit https://www.researchandmarkets.com/r/u8qjor
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