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\section{Evaluation}
\subsection{Experimental Setup}
We evaluated Hanzo across three production deployments:
\begin{itemize}
\item \textbf{Fashion retailer}: 2M monthly active users, 50K SKUs.
\item \textbf{Electronics store}: 500K MAU, 10K SKUs.
\item \textbf{Marketplace}: 1M MAU, 200K SKUs.
\end{itemize}
Each deployment ran for 6 months. We measured against pre-Hanzo baselines.
\subsection{Recommendation Performance}
\begin{table}[h]
\centering
\caption{Recommendation metrics improvement}
\label{tab:reco}
\begin{tabular}{lrrr}
\hline
Metric & Fashion & Electronics & Marketplace \\
\hline
CTR & +45\% & +38\% & +52\% \\
Conversion & +22\% & +18\% & +31\% \\
AOV & +28\% & +24\% & +32\% \\
\hline
\end{tabular}
\end{table}
Recommendations drive significant revenue improvement. Average order value increases as recommendations surface complementary products.
\subsection{Search Quality}
\begin{table}[h]
\centering
\caption{Search metrics improvement}
\label{tab:search}
\begin{tabular}{lrrr}
\hline
Metric & Fashion & Electronics & Marketplace \\
\hline
NDCG@10 & +35\% & +28\% & +42\% \\
Zero-result rate & -62\% & -55\% & -71\% \\
Search-to-purchase & +24\% & +19\% & +28\% \\
\hline
\end{tabular}
\end{table}
Intelligent ranking improves search relevance. Query understanding reduces zero-result searches through spelling correction and synonym expansion.
\subsection{Fraud Detection}
\begin{table}[h]
\centering
\caption{Fraud metrics}
\label{tab:fraud}
\begin{tabular}{lrrr}
\hline
Metric & Fashion & Electronics & Marketplace \\
\hline
Fraud loss reduction & -42\% & -51\% & -45\% \\
False positive rate & -35\% & -28\% & -38\% \\
Manual review rate & -55\% & -48\% & -52\% \\
\hline
\end{tabular}
\end{table}
Improved fraud detection reduces both losses and operational burden. Lower false positive rates mean fewer legitimate customers face friction.
\subsection{Inventory Optimization}
\begin{table}[h]
\centering
\caption{Inventory metrics improvement}
\label{tab:inventory}
\begin{tabular}{lrrr}
\hline
Metric & Fashion & Electronics & Marketplace \\
\hline
Stockout rate & -38\% & -42\% & -35\% \\
Inventory turnover & +18\% & +22\% & +15\% \\
Markdown rate & -25\% & -18\% & -28\% \\
\hline
\end{tabular}
\end{table}
Better demand forecasting reduces both stockouts (lost sales) and overstock (markdowns).
\subsection{System Performance}
\begin{table}[h]
\centering
\caption{Production latency (ms)}
\label{tab:prod_latency}
\begin{tabular}{lrr}
\hline
Component & p50 & p99 \\
\hline
Feature retrieval & 2 & 8 \\
Recommendation inference & 12 & 35 \\
Search re-ranking & 18 & 45 \\
Fraud scoring & 45 & 180 \\
\hline
\end{tabular}
\end{table}
All components meet latency requirements in production.