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René Algesheimer

Publications and source records attributed to René Algesheimer.

6 recordsLinked to original sources

What shifts threshold distributions in social contagions?

Individual thresholds in social contagions capture what fraction of others must adopt a new product or behavior before an individual adopts it. Yet in a given choice context and population, we rarely know the empirical threshold distribution or what explains its heterogeneity. This limits the ability to predict diffusion dynamics and design effective network interventions. We address this by measuring thresholds with an incentivized online experiment in which participants make adoption decisions for products that vary in attractiveness and payoff uncertainty. The results show that product characteristics shift threshold distributions: lower attractiveness and higher uncertainty increase thresholds. Individual characteristics, however, remain essential for explaining threshold heterogeneity. We then use data-driven simulations to show that both product characteristics and individual characteristics moderate the effect of long ties in social contagions. In sum, the threshold distribution is the behavioral microfoundation of social contagion models and identifying empirical correlates of thresholds is crucial for understanding how network structure affects social contagions.

physics.soc-ph↗

Integrating behavioral experimental findings into dynamical models to inform social change interventions

Addressing global challenges often involves stimulating the large-scale adoption of new products or behaviors. Research traditions that focus on individual decision making suggest that achieving this objective requires identifying the drivers of individual discrete adoption choices. On the other hand, computational approaches rooted in complexity science focus on maximizing the propagation of a given product or behavior throughout social networks of interconnected adopters. Here, by integrating discrete choice modeling into the complex contagion theory, we propose a method to estimate individual-level thresholds to adoption. We validate the predictive power of this approach in two choice experiments. By integrating the estimated thresholds into computational simulations, we show that state-of-the-art seeding policies for initiating large-scale behavioral change might be suboptimal if they neglect individual-level behavioral drivers, which can be corrected through the proposed experimental method.

physics.soc-ph↗

Estimating Individual Customer Lifetime Values with R: The CLVTools Package

Customer lifetime value (CLV) describes a customer's long-term economic value for a business. This metric is widely used in marketing, for example, to select customers for a marketing campaign. However, modeling CLV is challenging. When relying on customers' purchase histories, the input data is sparse. Additionally, given its long-term focus, prediction horizons are often longer than estimation periods. Probabilistic models are able to overcome these challenges and, thus, are a popular option among researchers and practitioners. The latter also appreciate their applicability for both small and big data as well as their robust predictive performance without any fine-tuning requirements. Their popularity is due to three characteristics: data parsimony, scalability, and predictive accuracy. The R package CLVTools provides an efficient and user-friendly implementation framework to apply key probabilistic models such as the Pareto/NBD and Gamma-Gamma model. Further, it provides access to the latest model extensions to include time-invariant and time-varying covariates, parameter regularization, and equality constraints. This article gives an overview of the fundamental ideas of these statistical models and illustrates their application to derive CLV predictions for existing and new customers.

stat.CO↗

The amplifier effect of artificial agents in social contagion

Recent advances in artificial intelligence have led to the proliferation of artificial agents in social contexts, ranging from education to online social media and financial markets, among many others. The increasing rate at which artificial and human agents interact makes it urgent to understand the consequences of human-machine interactions for the propagation of new ideas, products, and behaviors in society. Across two distinct empirical contexts, we find here that artificial agents lead to significantly faster and wider social contagion. To this end, we replicate a choice experiment previously conducted with human subjects by using artificial agents powered by large language models (LLMs). We use the experiment's results to measure the adoption thresholds of artificial agents and their impact on the spread of social contagion. We find that artificial agents tend to exhibit lower adoption thresholds than humans, which leads to wider network-based social contagions. Our findings suggest that the increased presence of artificial agents in real-world networks may accelerate behavioral shifts, potentially in unforeseen ways.

cs.SI↗

The wisdom of the few: Predicting collective success from individual behavior

Can we predict top-performing products, services, or businesses by only monitoring the behavior of a small set of individuals? Although most previous studies focused on the predictive power of "hub" individuals with many social contacts, which sources of customer behavioral data are needed to address this question remains unclear, mostly due to the scarcity of available datasets that simultaneously capture individuals' purchasing patterns and social interactions. Here, we address this question in a unique, large-scale dataset that combines individuals' credit-card purchasing history with their social and mobility traits across an entire nation. Surprisingly, we find that the purchasing history alone enables the detection of small sets of ``discoverers" whose early purchases offer reliable success predictions for the brick-and-mortar stores they visit. In contrast with the assumptions by most existing studies on word-of-mouth processes, the hubs selected by social network centrality are not consistently predictive of success. Our findings show that companies and organizations with access to large-scale purchasing data can detect the discoverers and leverage their behavior to anticipate market trends, without the need for social network data.

physics.soc-ph↗

A Comparative Analysis of Community Detection Algorithms on Artificial Networks

Many community detection algorithms have been developed to uncover the mesoscopic properties of complex networks. However how good an algorithm is, in terms of accuracy and computing time, remains still open. Testing algorithms on real-world network has certain restrictions which made their insights potentially biased: the networks are usually small, and the underlying communities are not defined objectively. In this study, we employ the Lancichinetti-Fortunato-Radicchi benchmark graph to test eight state-of-the-art algorithms. We quantify the accuracy using complementary measures and algorithms' computing time. Based on simple network properties and the aforementioned results, we provide guidelines that help to choose the most adequate community detection algorithm for a given network. Moreover, these rules allow uncovering limitations in the use of specific algorithms given macroscopic network properties. Our contribution is threefold: firstly, we provide actual techniques to determine which is the most suited algorithm in most circumstances based on observable properties of the network under consideration. Secondly, we use the mixing parameter as an easily measurable indicator of finding the ranges of reliability of the different algorithms. Finally, we study the dependency with network size focusing on both the algorithm's predicting power and the effective computing time.

physics.soc-ph↗