The impact of digital transformation and emotional advertising on customer’s behavior a case study of gen z’s coffee consumption in vietnam

The impact of digital transformation and emotional advertising on customer’s behavior a case study of gen z’s coffee consumption in vietnam

INTRODUCTION

Background of Study

The consumer landscape has dramatically evolved due to digital transformation and the growing emphasis on emotive advertising, reshaping how businesses engage with their audiences Digital technologies such as e-commerce, smartphone apps, and social media platforms offer brands innovative ways to connect with and personalize interactions for their target customers (Kotler et al., 2021) Additionally, emotional advertising, which leverages psychological triggers, cultural symbolism, and compelling narratives, has become a powerful tool for building long-lasting customer relationships (Gobe, 2010).

Generation Z, known as "digital natives," is a influential group shaping modern trends, having grown up with extensive access to digital devices and the internet since the mid-1990s to early 2010s This generation is characterized by their reliance on technology, preference for authentic and emotionally engaging brand communication, and a strong focus on ethical and sustainable consumption (Francis & Hoefel, 2018) These key traits significantly impact how businesses develop marketing strategies, especially in rapidly changing industries like coffee.

Vietnam is one of the world’s largest coffee producers, boasting a rich coffee culture that seamlessly blends traditional and modern influences The country’s coffee market has experienced rapid growth driven by the rise of specialty coffee shops, the increasing popularity of ready-to-drink beverages, and the adoption of digital tools to enhance customer experience Generation Z consumers play a crucial role in shaping market trends, as their preferences for convenience through mobile ordering and online payments influence the industry Additionally, Gen Z values brands that align with their authentic and emotionally compelling messaging, further fueling the evolution of Vietnam’s vibrant coffee scene (Nguyen, 2024).

Digital transformation and emotional advertising are crucial factors shaping consumer behavior, yet limited research explores their combined effect on Generation Z in Vietnam's coffee market Previous studies have mainly examined digital marketing and emotional branding separately, creating a knowledge gap regarding their joint influence on this demographic Moreover, although global insights into Gen Z’s consumer preferences exist, there is a lack of understanding about how these strategies apply within Vietnam’s unique cultural context.

This study explores the impact of digital transformation and emotional advertising on Gen Z's coffee consumption in Vietnam It aims to provide actionable insights for coffee brands seeking to effectively engage this important demographic Additionally, the research contributes to the broader academic understanding of consumer behavior in the digital age.

Problem Statement

Generation Z (born 1997-2012), as a digitally native cohort, is revolutionizing consumer behaviors and significantly impacting Vietnam’s rapidly growing coffee culture In Vietnam, the second-largest coffee exporter, younger consumers are embracing coffee not just as a daily beverage but as a social and cultural experience, fueling a boom in the domestic coffee market (Ke Suong, 2015) Unlike previous generations, Gen Z’s engagement with coffee brands is shaped by their reliance on digital platforms and their desire for authentic emotional connections, leading to a shift away from traditional marketing approaches and creating new opportunities for coffee brands to connect with this vibrant consumer group.

Digital transformation has transformed how businesses engage with consumers, especially in the coffee industry, where social media plays a crucial role in shaping customer experiences through personalized recommendations, online shopping, and active engagement (Chaffey, 2019) In Vietnam, over 75.8% of Gen Z individuals use smartphones and spend an average of 3.5 hours daily on social media, making digital content a significant influence on their purchasing decisions (Statista, 2024) Despite the widespread adoption of digital tools, there is limited research on how digital transformation affects Gen Z's coffee consumption journey, from brand discovery to brand loyalty within the Vietnamese market.

Emotional advertising is a powerful tool for shaping consumer behavior through storytelling, aspirational themes, and cultural narratives that create strong emotional bonds between brands and consumers (Kotler et al., 2021) For Gen Z, who prioritize authenticity and seek brands that reflect their personal values, emotionally engaging campaigns are especially important, though skepticism toward inauthentic or overly polished ads can be a barrier (Edelman, 2022) While global research highlights the effectiveness of emotional advertising (Kumar, 2024), there is limited region-specific data on how these emotional campaigns impact Gen Z coffee consumers in Vietnam.

The intersection of digital transformation and emotional advertising presents a critical, yet underexplored, opportunity to influence Gen Z's coffee consumption patterns in Vietnam While both factors significantly shape consumer behavior, limited research exists on how their combination impacts this demographic Additionally, as Gen Z increasingly prioritizes sustainability and ethical responsibility, understanding how these values integrate with digital and emotional marketing strategies is essential for brands aiming to engage this conscientious segment effectively (Ke Suong, 2015; Deloitte, 2022).

To effectively engage Gen Z coffee consumers in Vietnam, it is crucial for coffee brands to understand how digital transformation and emotional advertising influence their purchasing behaviors and preferences Without addressing these gaps, brands risk losing relevance in this influential demographic A comprehensive analysis of digital tools and emotionally driven campaigns can shed light on strategies to boost loyalty and connect with Gen Z consumers This study aims to bridge these knowledge gaps by exploring how digital and emotional marketing impact Gen Z’s coffee consumption habits in Vietnam, enabling businesses to thrive in a highly competitive market.

Research Objectives

RO1: Explore the combined impact of digital transformation and emotional advertising on Generation Z's coffee consumption behavior in Vietnam

RO2: Evaluate the effectiveness of emotional advertising strategies by identifying emotional appeals

To successfully engage Vietnam’s Gen Z consumers, coffee brands should harness digital tools and emotional advertising strategies that resonate with their values and preferences Leveraging social media platforms, interactive campaigns, and authentic storytelling can foster deeper emotional connections, driving higher consumer engagement Aligning brand messaging with Gen Z’s emphasis on sustainability, authenticity, and social responsibility is crucial for building trust and loyalty By integrating these approaches, coffee brands in Vietnam can enhance their digital presence, foster long-term relationships, and boost brand loyalty among young, digitally-savvy audiences.

Research Questions

RQ1:What is the impact of digital transformation and emotional advertising on Gen Z’s coffee consumption behavior in Vietnam?

RQ2:How social media shapes Gen Z's loyalty to coffee brands in Vietnam?

RQ3: What strategies can coffee brands adopt to effectively combine digital transformation, emotional advertising, and ethical practices to capture and retain Gen

Scope of Study

This study explores how digital transformation and emotional advertising influence the coffee consumption behavior of Generation Z (Gen Z) in Vietnam As a unique consumer group, Gen Z is characterized by extensive digital technology use and a preference for emotionally engaging brand communication The research emphasizes the significant impact of technological advancements and cultural trends on their consumption patterns, highlighting the importance of targeted marketing strategies for this demographic.

This study focuses on Vietnam, a country renowned for its vibrant coffee culture and rapidly growing coffee market, where local and international brands fiercely compete for consumer attention It investigates how digital tools—including e-commerce platforms, social media channels, mobile apps, and online payment systems—significantly influence Gen Z’s coffee purchasing behavior.

It examines specific stages of the customer journey, including brand discovery, decision-making, purchasing convenience, and post-purchase satisfaction.

This study highlights the crucial role of emotional advertising in engaging Gen Z with coffee brands by emphasizing key appeals like storytelling, nostalgia, aspirational imagery, and cultural symbolism that resonate deeply with this generation It also explores how digital platforms amplify the reach and impact of emotional marketing, enabling brands to establish stronger emotional connections and foster long-term consumer loyalty.

This study concentrates exclusively on the coffee industry to provide an in-depth analysis of Gen Z’s unique behaviors and preferences within a highly competitive market By focusing on this specific sector, the research aims to offer targeted recommendations for Vietnamese coffee brands to enhance their digital transformation, emotional advertising strategies, and ethical messaging These insights are designed to strengthen relationships with Gen Z consumers, an influential demographic crucial for brand growth and loyalty in the coffee industry.

Significance of Study

This study explores the combined impact of digital transformation and emotional advertising on Generation Z's coffee consumption behavior in Vietnam, highlighting the importance of understanding digital natives' consumer patterns Generation Z's heavy reliance on technology and preference for emotionally resonant marketing significantly influence their purchasing decisions, making this insight valuable for both academic research and practical marketing strategies Given Vietnam's competitive coffee market, insights from this research can help brands develop effective digital and emotional advertising approaches tailored to Generation Z consumers Overall, the study contributes to a deeper understanding of how digitalization and emotionally engaging content drive coffee consumption among young consumers in Vietnam.

This research fills a crucial gap in the literature by examining the synergy between digital transformation and emotional advertising While these concepts are typically studied separately, this study explores their combined impact on consumer behavior, highlighting how digital tools and emotional storytelling enhance brand loyalty and influence purchasing decisions Focused on an emerging market context, the findings underscore the importance of integrating digital innovation with emotional engagement to effectively shape consumer preferences and drive business growth.

The findings offer valuable insights for marketers and coffee brands seeking to optimize digital platforms to boost convenience and engagement Incorporating authentic emotional advertising is essential for forming meaningful connections with Gen Z consumers Given their strong demand for authenticity, sustainability, and ethical practices, integrating these elements is crucial for fostering long-term loyalty and trust.

& Read, 2018) Additionally, the study highlights strategies for businesses to align with the values of socially conscious consumers, fostering stronger brand relationships and competitive advantages in Vietnam’s coffee industry.

This study provides valuable insights into Generation Z’s consumer behavior in the digital age, helping stakeholders develop effective strategies to engage this influential demographic It highlights the unique preferences and online habits of Gen Z, enabling brands to capitalize on emerging opportunities By understanding the challenges faced when targeting Gen Z, businesses can tailor their marketing approaches for greater success Overall, these findings contribute to a deeper understanding of how to effectively connect with Generation Z in a rapidly evolving digital landscape.

Research Structure

The research endeavour comprisesFive Chapters:

In Chapter 1 – Introduction, This chapter provides an overview of the research topic, emphasizing the growing impact of digital transformation and emotional advertising on consumer behavior and marketing effectiveness.

Chapter 2 – Literature Review, This chapter establishes the theoretical foundation of the study by reviewing relevant concepts, models, and prior research related to digital transformation and emotional advertising It begins with an exploration of digital transformation in marketing, discussing key technologies such as social media, along with their impact on advertising strategies and consumer engagement The discussion then shifts to emotional advertising, examining the psychological theories behind emotional appeals and their role in influencing consumer decision-making. Various emotional advertising strategies and their effectiveness in digital campaigns are analyzed through case studies Furthermore, the chapter explores the integration of digital transformation and emotional advertising, assessing how digital tools enhance personalization, interactivity, and audience targeting It also examines consumer responses to emotional advertising in digital spaces Finally, the chapter identifies gaps in existing research and develops a conceptual framework for the study, formulating research hypotheses on the relationship between digital transformation, emotional advertising, and consumer behavior.

Chapter 3: Research Methodology outlines the research design, data collection methods, and sampling techniques, including surveys, interviews, and case studies used to gather comprehensive data It details the analytical tools employed to interpret the data and discusses important ethical considerations and limitations encountered during the data collection process This chapter provides a clear framework for understanding the study’s methodology and ensures transparency and validity of the research.

Chapter 4: Research Results reveals how digital transformation impacts the effectiveness of emotional advertising, highlighting key consumer response patterns The analysis compares traditional and digital emotional advertising strategies, demonstrating the enhanced engagement and emotional connection achieved through digital platforms Quantitative insights and statistical data identify prevailing trends, emphasizing the growing importance of digital channels in emotional marketing campaigns This chapter underscores the significant influence of digital transformation on optimizing emotional advertising effectiveness.

The key findings are summarized in Chapter 5: Discussion and Conclusion, which discusses the implications for advertising and businesses This chapter also offers recommendations for future research and acknowledges the study's limitations By drawing meaningful conclusions, the study provides valuable insights and sets the stage for further exploration in the field Once these conclusions are established, the research process is considered complete.

LITERATURE REVIEW

Theoretical Background

This study is based on the Theory of Planned Behavior (TPB) by Ajzen (1991), a key framework for understanding consumer behavior TPB suggests that an individual’s intention to act is shaped by three main factors: attitude toward the behavior, subjective norms, and perceived behavioral control These elements collectively influence the likelihood of performing a specific action, making TPB a valuable model for analyzing consumer decision-making processes.

This study leverages the Theory of Planned Behavior (TPB) to understand Generation Z’s coffee consumption in the era of digital transformation and emotional advertising Digital transformation acts as a key environmental factor that increases perceived behavioral control by making coffee products more accessible via mobile apps, online ordering, and social media platforms Meanwhile, emotional advertising influences positive attitudes toward coffee brands by building emotional bonds and strengthening brand loyalty among Generation Z consumers.

Figure 2.1: Theory of Planned Behavior (Ajzen, 1991)

Subjective norms are a crucial factor influencing Gen Z consumers, with peer recommendations and social media endorsements playing a significant role in their purchasing decisions A Deloitte (2022) report reveals that 62% of Gen Z in Vietnam rely on influencers for product advice, emphasizing the power of social influence Additionally, TPB’s focus on perceived behavioral control aligns with Gen Z’s increasing preference for sustainable and ethical products, as eco-friendly brands are viewed as more accessible and desirable choices.

This research extends the traditional Theory of Planned Behavior (TPB) by integrating digital transformation and emotional advertising to better understand modern consumer behavior in Vietnam’s competitive coffee market The adapted model preserves the theoretical integrity of TPB while increasing its explanatory power through the inclusion of emerging factors, especially those relevant to Gen Z consumers This innovative approach captures the complexities of contemporary purchasing decisions influenced by digital and emotional factors, offering valuable insights for marketers aiming to target Vietnam’s young, tech-savvy demographic.

The TPB model functions as a fundamental framework for predicting consumer behavior while remaining flexible to adapt to contemporary marketing influences By integrating theoretical insights with Vietnam’s distinct socio-economic environment, this study aims to enhance academic understanding and provide actionable strategies These insights help coffee brands achieve sustainable growth and foster stronger consumer loyalty in a competitive market.

Definition of key concepts

Digital transformation is a fundamental shift in business operations and strategies driven by the adoption of digital technologies It involves not only implementing new technologies but also strategically overhauling organizational structures, business models, and customer interactions to adapt to the digital age According to Paul et al (2024), it is "a process that aims to improve an entity by triggering significant changes to its properties through combinations of information, computing, communication, and connectivity technologies." As highlighted by Verhoef et al (2021), successful digital transformation requires a comprehensive approach that extends beyond technology adoption to ensure long-term organizational growth and competitive advantage.

Digital transformation entails significant cultural and behavioral shifts within organizations, as employees and leadership must adapt to new workflows and digital tools Successful digital transformation relies on aligning technological advancements with human capabilities to maximize impact (Paolo et al., 2023) It is a continuous process that demands ongoing adjustments to evolving market demands and technological progress (Egodawele et al., 2022) This study aims to analyze how digital transformation influences marketing strategies, customer behavior, and corporate operations in the rapidly changing digital landscape.

Emotional advertising uses marketing strategies that deliberately evoke feelings like joy, nostalgia, fear, or sadness to influence consumer attitudes, enhance memory retention, and drive purchasing decisions (Bagozzi, Gopinath, & Nyer, 1999) This approach is based on the understanding that emotions significantly impact consumer decision-making, often more than rational appeals (Holbrook & Batra, 1987) By creating an emotional connection, advertisements can improve brand recall and build long-term consumer loyalty (Khurram et al., 2018).

Research indicates that emotionally charged advertisements significantly boost engagement and sharing behaviors on digital platforms, enhancing their viral potential Emotional intensity in social media advertising fosters stronger consumer reactions, resulting in increased interaction, brand advocacy, and purchase intent These findings highlight the power of emotional content to drive consumer connection and brand success online.

Emotional advertising leverages both negative emotions like fear and sadness in public awareness campaigns to promote behavioral change, while positive emotions such as joy and excitement are employed in commercial ads to boost brand perception (Lerner et al., 2015) Research shows that emotional factors significantly influence consumer perceptions, behaviors, and purchasing decisions, highlighting the importance of strategic emotion use in marketing.

Social media refers to a variety of online and mobile platforms that let people and businesses produce, distribute, and interact with digital material (Kaplan & Haenlein,

Social media platforms like Facebook, Instagram, TikTok, Twitter, and YouTube are essential marketing channels that shape consumer behavior and influence brand perception These platforms function not only as communication tools but also as powerful avenues for brand engagement and marketing strategies According to Kietzmann et al (2011), leveraging these channels effectively can significantly impact a company's marketing success.

Carr and Hayes (2015) define social media as web-based platforms that facilitate real-time or asynchronous interactions with diverse audiences, emphasizing key features such as interactivity, personalization, and user-generated content These attributes are crucial for understanding the role of social media in emotional advertising, as they enable brands to create engaging, personalized experiences that foster social presence and emotional connections with consumers.

Social media has evolved from a simple platform for information exchange to a crucial tool for fostering emotional engagement between brands and consumers According to Tuten and Solomon (2018), social media enables brands to implement personalized advertising strategies by utilizing big data analytics to tailor content to individual consumer emotions and preferences This personalized approach results in more effective emotional advertising that resonates deeply with target audiences Additionally, social media's interactive features, algorithm-driven content distribution, and personalization capabilities enhance emotional connections, ultimately influencing consumer purchasing decisions and boosting brand loyalty.

Purchase intention is a key concept in consumer behavior, representing the likelihood that a customer will buy a specific product or service based on their attitudes, perceptions, and external influences (Ajzen, 1991) It is widely regarded as a vital predictor of actual purchasing behavior because customers’ intentions often reflect their future actions (Fishbein & Ajzen, 1975) Understanding purchase intention helps businesses tailor their marketing strategies to effectively influence consumer decisions and increase sales.

Purchase intention, as defined by Spears and Singh (2021), is an individual’s conscious plan to make an effort to purchase a brand, emphasizing its basis in deliberate, reasoned decision-making This cognitive aspect indicates that purchase intention is influenced by internal motivations, product attributes, and social influences, reflecting the complex process behind consumer choices Understanding these factors is crucial for businesses aiming to effectively influence consumer behavior and increase sales.

Recent studies reveal that purchase intention is significantly influenced by digital marketing strategies, social media engagement, and emotional advertising techniques With the surge of e-commerce and digital transformation, online consumer reviews, influencer marketing, and targeted advertising have become key drivers of consumer purchasing decisions Moreover, emotional responses elicited by advertising—such as happiness, nostalgia, or fear—play a vital role in strengthening brand associations and boosting perceived product value, ultimately increasing consumers’ likelihood to buy.

Customer behavior, or consumer behavior, examines how individuals, groups, and organizations select, purchase, use, and dispose of products, services, and ideas to meet their needs and desires (Kotler & Keller, 2016) This field analyzes internal psychological factors like perception, motivation, attitudes, and emotions, as well as external influences such as cultural, social, and economic environments (Schiffman & Kanuk, 2010) Understanding these elements is essential for businesses to develop effective marketing strategies and enhance customer satisfaction.

Consumer behavior is a complex process involving information processing, learning, and decision-making, influenced by both cognitive and environmental factors A well-established model identifies five key stages in the consumer decision-making process: problem recognition, information search, evaluation of alternatives, purchase decision, and post-purchase behavior (Engel et al., 1995) This framework emphasizes how consumers respond to marketing stimuli, making purchasing decisions based on a combination of rational analysis and emotional influences.

In the digital era, consumer behavior has transformed significantly due to technological advancements, social media engagement, and personalized marketing strategies Research indicates that emotional advertising, influencer recommendations, and data-driven marketing are crucial in influencing consumer preferences and purchasing decisions (Bagozzi et al., 1989) Understanding these behavioral patterns is essential for businesses to develop effective marketing strategies, boost customer engagement, and foster long-term brand loyalty in a competitive marketplace.

Hypothesis Statement

2.3.1 The relationship between Social Media and Purchase Intention in coffee consumption

Social media has revolutionized consumer purchasing behavior by offering an interactive platform that enables individuals to engage directly with brands, access peer reviews, and participate in brand-related discussions According to Kaplan and Haenlein, this shift has significantly influenced how consumers make purchasing decisions, emphasizing the importance of social media presence in modern marketing strategies.

Social media platforms facilitate user-generated content, real-time interactions, and digital word-of-mouth (eWOM), all of which significantly impact consumer decision-making Effective social media marketing enhances consumer trust through engagement features like likes, shares, and comments, reinforcing social proof (Dwivedi et al., 2021) Influencer endorsements on social media boost brand credibility and positively influence purchase intentions, as consumers often trust recommendations from influencers or peers more than traditional advertising due to the perceived authenticity of user-generated content (Tuten & Solomon, 2018; Uzunoğlu & Kip, 2014) Additionally, interactive advertising strategies such as personalized ads and targeted promotions increase consumer interest and engagement (Godey et al., 2016) Overall, social media plays a crucial role in increasing brand awareness and shaping purchase decisions through trust-building, peer influence, and targeted marketing efforts.

H1:Social media has a positive influences purchase intention.

2.3.2 The relationship between Emotional Advertising and Purchase Intention in coffee consumption

Emotional advertising effectively taps into consumer emotions to foster meaningful brand connections and influence purchase decisions According to Poels and Dewitte (2006), emotions in advertising evoke affective responses that significantly impact consumer decision-making Using emotional appeals such as happiness, nostalgia, or fear enhances brand associations and boosts advertisement recall, leading to increased engagement and purchase intention (Morrin & Ratneshwar, 2000) Additionally, Holbrook and Batra (1987) found that emotionally driven advertisements are more likely to generate long-term consumer loyalty by strengthening positive brand sentiment.

Emotional appeals in marketing create psychological motivation that drives consumers toward action, especially in the digital age where brands utilize storytelling, visuals, and music to develop emotionally resonant campaigns (Mandung, 2024) These emotionally driven advertisements enhance brand authenticity and build consumer trust by fostering a sense of relatability and personal connection (Escalas, 2004) As digital advertising becomes increasingly saturated, leveraging emotions is a key strategy for differentiating brands and encouraging consumer engagement and purchasing decisions.

H2: Emotional advertising has a positive effect on purchase intention.

2.3.3 The relationship between Digital Transformation and Purchase Intention in coffee consumption

Digital transformation has revolutionized the consumer journey by utilizing advanced technologies like AI, big data analytics, and automation to deliver personalized experiences, streamline transactions, and boost engagement Incorporating digital tools such as recommendation algorithms and chatbots enhances consumer satisfaction and influences purchase decisions (Putra & Prabowo, 2025) Additionally, omnichannel integration is crucial in digital transformation, enabling seamless transitions between online and offline touchpoints to strengthen consumers' purchase intent (Lemon & Verhoef, 2016).

Adopting e-commerce platforms and digital payment systems, as highlighted by 2013, reduces friction in the buying process, enhancing consumer convenience and increasing the likelihood of transaction completion As digital transformation progresses, it not only boosts operational efficiency for businesses but also elevates the overall customer experience This improvement in convenience and service drives higher purchase intention and fosters long-term brand loyalty.

H3:Digital transformation positively affects purchase intention.

2.3.4 The relationship between Purchase Intention and Consumer Behavior in coffee consumption

Purchase intention is a strong predictor of actual consumer behavior, as outlined in the Theory of Planned Behavior (Ajzen, 1991) The relationship between intention and behavior has been widely studied, with research indicating that a high level of purchase intention often translates into actual buying behavior (Dodds et al., 1991).When consumers express strong purchase intentions, they are more likely to proceed with transactions and subsequently develop brand loyalty (Wulandari et al., 2022).Furthermore, repeated positive purchase experiences contribute to long-term customer retention and advocacy, as satisfied consumers are more likely to recommend the brand to others (Lewis, 2004) According to Sheeran (2002), while purchase intention is a significant determinant of consumer behavior, factors such as external influences, availability, and situational variables also play a role in bridging the gap between intention and action In the digital landscape, elements such as seamless payment processes, personalized recommendations, and post-purchase engagement can reinforce consumer confidence and drive behavioral outcomes

(Gefen et al., 2003) Understanding the dynamics between purchase intention and actual behavior allows marketers to design strategies that not only encourage initial purchases but also foster long-term consumer engagement and brand loyalty.

H4:Purchase intention positively influences customer behavior.

Conceptual Framework

The conceptual framework of this study illustrates the relationships between social media, emotional advertising, and digital transformation as independent variables influencing purchase intention, which in turn affects customer behavior This framework is grounded in established consumer behavior theories, including the Theory of Planned Behavior (Ajzen, 1991) This theoretical foundation help explain how external stimuli (social media, emotional advertising, and digital transformation) influence internal cognitive and affective processes, leading to purchase intention and subsequent customer actions

Research Gaps

Limited research exists on the combined impact of digital transformation (DT) and emotional advertising (EA), as most studies examine these factors separately While digital transformation enhances marketing efficiency through AI-driven recommendations and digital engagement (Verhoef et al., 2021), emotional advertising fosters strong emotional connections with brands, which can boost purchase intention (Bagozzi et al.,) Understanding the interaction between DT and EA is crucial for developing more effective marketing strategies that motivate customer behavior.

The interaction between digital tools and emotional advertising strategies in influencing consumer choices, particularly among Generation Z coffee consumers, remains insufficiently explored Future research should focus on examining the synergistic effects of these factors to better understand their combined impact on consumer decision-making and preferences in the coffee market.

There is a notable gap in research regarding Gen Z’s behavioral response to digital transformation within the Vietnamese coffee industry While previous studies emphasize Gen Z’s digital fluency and preference for experience-driven consumption (Francis & Hoefel, 2018), little is known about how digital advancements influence their coffee consumption habits specifically in Vietnam Most existing research concentrates on sectors like e-commerce, mobile banking, and fast fashion (Dwivedi et al., 2021), leaving the engagement of Gen Z with digitalized coffee brands largely unexplored Understanding this dynamic is crucial for coffee brands aiming to connect with digitally savvy Gen Z consumers in Vietnam.

Research on emotional advertising's effectiveness in Vietnam’s coffee market shows inconsistent results, highlighting the need to consider cultural differences While emotional advertising is well-studied in Western contexts, its impact within Vietnam’s unique cultural setting remains unclear Understanding these cultural nuances is essential for brands aiming to leverage emotional advertising effectively in Vietnam.

Electronic advertising (EA) plays a crucial role in enhancing brand loyalty and purchase intention, as highlighted by Kotler and Keller (2021) However, there is a notable gap in research regarding how cross-cultural differences influence the effectiveness of emotional appeals in advertising campaigns For example, Vietnamese consumers may respond differently to emotional storytelling, national pride, or family-oriented advertising compared to their Western counterparts, underscoring the importance of culturally tailored marketing strategies Understanding these cultural nuances is essential for brands seeking to optimize their advertising impact across diverse markets.

RESEARCH METHODOLOGY

Research Design

This study uses a quantitative approach to examine how digital transformation and emotional advertising influence Generation Z's coffee consumption behavior in Vietnam Data was collected through an online survey of 200 Gen Z coffee consumers in urban areas like Hanoi, Ho Chi Minh City, and Da Nang The survey featured structured questions on a 5-point Likert scale, assessing the impact of digital tools such as social media, e-commerce platforms, and mobile apps on different stages of the consumer journey—brand discovery, purchase convenience, and post-purchase satisfaction.

This study emphasizes ethical considerations by ensuring all participants provided informed consent and guaranteed anonymity and voluntary participation While offering valuable insights into Vietnam’s coffee market, the research's scope is limited to Gen Z consumers, which may impact its applicability to other demographics or industries By combining quantitative methods, the study establishes a comprehensive framework for analyzing how digital transformation and emotional advertising influence the behavior of Gen Z coffee consumers in Vietnam.

Research Process

This study adopts a structured scientific approach to investigate the impact of digital transformation and emotional advertising on Gen Z's coffee consumption behavior in Vietnam Key steps include problem identification, literature review, research model development, questionnaire design, data collection, data analysis, and results discussion, ensuring a logical, systematic, and objective research process This methodology enhances the reliability and validity of the findings, providing valuable insights into how digital and emotional marketing strategies influence young consumers' coffee purchasing decisions in Vietnam.

Research Data

This study utilizes secondary data from reputable sources, including academic journals like the Journal of Consumer Research and the Journal of Marketing, to establish a robust contextual foundation and strengthen the primary research findings These credible sources ensure the reliability and validity of the insights presented Incorporating established literature enhances the study's credibility and aligns with SEO best practices by targeting relevant keywords such as "secondary data," "academic journals," and "consumer research."

This article provides insights into digital adoption and emotional branding, forming a strong theoretical foundation Industry reports from Statista, Euromonitor, and Nielsen offer valuable data on Gen Z’s coffee consumption, digital behaviors, and advertising responses Market data from organizations like VECOM shed light on industry trends, online purchasing habits, and the digital transformation within Vietnam’s coffee market Additionally, social media and advertising analytics from Meta Business Insights, TikTok Trends, and Google Analytics help evaluate how Gen Z interacts with digital marketing and emotional advertising strategies By integrating these diverse data sources, the study delivers a comprehensive, data-driven analysis, identifies key trends and research gaps, and enhances its relevance for coffee brands targeting Gen Z in Vietnam.

This study uses primary data collection through online surveys to gain direct insights into Generation Z's coffee consumption behavior in Vietnam, focusing on digital transformation, emotional advertising, social media influence, and purchase intention The survey methodology ensures reliable and efficient data acquisition from a well-defined respondent group, enabling a detailed analysis of how digital engagement and emotional branding impact consumer decision-making By capturing real-time perspectives, the research provides a comprehensive understanding of the key factors shaping Gen Z’s coffee purchasing behavior in Vietnam’s dynamic market.

Research Method

This study employs a quantitative research approach to thoroughly analyze Generation Z's coffee consumption behavior in Vietnam By utilizing numerical data, this method enhances the accuracy and reliability of the findings The quantitative approach provides valuable insights into the preferences and habits of Vietnamese Generation Z consumers, ensuring a comprehensive understanding of their coffee consumption patterns.

The quantitative phase involves a structured survey distributed via GoogleForms across social media platforms such as Facebook, TikTok, Instagram, and Zalo.

This questionnaire aims to gather precise and measurable insights into how digital transformation, emotional advertising, social media engagement, and purchase intention influence consumer behavior To ensure a comprehensive analysis, statistical methods such as descriptive analysis, regression modeling, and factor analysis will be employed, providing objective and reliable results (Taherdoost, 2020).

By integrating this method, this research ensures a holistic perspective, allowing for a more nuanced understanding of how digital transformation and emotional advertising shape Gen Z’s coffee purchasing decisions in Vietnam.

Sampling

This study focuses on Generation Z consumers in Vietnam who actively participate in coffee consumption, representing a vital segment for the coffee industry Born between 1997 and 2012, these digital-savvy individuals are characterized by their brand consciousness and preference for convenience, making them a key target for marketing strategies in the coffee market.

This study targets individuals aged 18 to 28 years old to ensure a diverse and representative sample of active coffee consumers These young adults, including university students, young professionals, and digital-savvy consumers, frequently purchase coffee through cafés, online platforms, and mobile applications As highly influenced by social media, digital marketing, and emotional advertising, this demographic provides valuable insights into modern coffee consumption trends (Deloitte, 2023).

A stratified random sampling technique is employed to ensure proportional representation across different regions of Vietnam, including urban centers and suburban areas, capturing variations in coffee consumption habits.

Recruitment is conducted via online platforms (Facebook, TikTok, Instagram, Zalo) and offline settings (university campuses, coworking spaces, and coffee shops) to ensure a balanced and representative dataset.

A well-defined sampling frame is essential for accurately representing Generation Z consumers’ coffee purchasing behavior in Vietnam This study targets individuals aged 18 to 28, a demographic heavily influenced by digital transformation and emotional advertising in their consumption decisions (Statista, 2023) By including respondents from major urban centers like Hanoi and Ho Chi Minh City, the research captures a wide range of purchasing patterns and preferences among young Vietnamese coffee consumers.

To ensure representative and unbiased results, the sampling frame incorporates key factors such as digital engagement, social media activity, and coffee consumption frequency, which help mitigate potential sampling biases Additionally, maintaining proportional representation across various socio-economic backgrounds enhances the validity and generalizability of the study’s findings (Deloitte, 2023).

This study uses a combination of probability and non-probability sampling techniques to ensure a representative sample aligned with research objectives Specifically, stratified random sampling categorizes the Generation Z population by key characteristics such as age (18–25 years), geographic location (urban and rural), and digital engagement level (high or low) Participants are randomly selected within each stratum to ensure proportional representation across subgroups, enhancing the generalizability of the findings (Saunders et al., 2019).

Purposive sampling is employed to select individuals who actively engage with digital platforms and are frequently exposed to emotional branding strategies related to coffee consumption This targeted approach ensures that the collected data is highly relevant to the study's objectives, as participants are chosen based on their experiences and behaviors aligned with the research focus (Etikan et al., 2016).

Utilizing a combination of stratified random sampling and purposive sampling techniques effectively reduces selection bias and enhances data validity This approach ensures that the sample accurately represents the diverse characteristics of Generation Z coffee consumers in Vietnam, providing reliable insights for targeted marketing strategies.

This study carefully determined the sample size to accurately reflect the coffee consumption behavior of Generation Z in Vietnam According to OmniConvert (2019), the sample size is the subset of the population selected for analysis to ensure representativeness To achieve statistical reliability, a sample size calculator was used to identify the optimal number of participants needed for valid and reliable results.

Based on a 95% confidence level and a margin of error of ±7%, a sample size of 196 respondents was determined to be appropriate, as shown in Figure 3.1 This calculation was based on the estimated Gen Z population in Vietnam, which is projected to reach approximately 15 million by 2025 (Nielsen, 2025) Ensuring a robust and representative sample enhances the validity and generalizability of the study's findings.

Questionnaire Design

A questionnaire is an organized tool used to gather information from respondents about their beliefs, actions, and attitudes (Bhandari, 2023) In this study, a 5-point Likert scale survey was designed to explore Gen Z consumers' perceptions of digital transformation and emotional advertising in coffee consumption The questionnaire consists of three parts: Part A gathers demographic data such as age, gender, and coffee habits; Part B examines variables like social media influence, emotional advertising, digital transformation, and purchase intention; and Part C assesses Gen Z’s coffee consumption behavior, providing comprehensive insights into their attitudes and behaviors related to coffee in the context of digital marketing trends.

The researchers' influential work, as evidenced by their published journals, significantly shaped the questionnaire utilized in this study Notable contributions from Hien et al (2022), Kenney Erica (2016), Soomro et al (2021), and Saljoughi et al (2024) highlight their impact on the development and validation of the research instrument, ensuring its relevance and reliability in the field.

CB1: I would be happy to purchase this advertised product in the future Hien et al., 2022 CB2: Coffee is meaningful & significant to me Kenney Erica, 2016

Behavior (CB) CB3: I belong to a community of coffee drinkers Kenney Erica, 2016

CB4: I can’t function without coffee in the morning Kenney Erica, 2016 CB5: Visiting in a coffee parlor is a funfilled/pleasurable activity Soomro et al., 2021

SM1: Social media has a positive effect on customers purchase intention

SM2: Social media has a positive effect on customer attitudes towards digital marketing

SM3: Social networks effectively provide new and up-to-date information about industrial products

SM4: Social networks provide the required information about products quickly

SM5: Through social networks, it is possible to ensure that information about industrial products is presented completely.

EA1: I had the expected purchase experience after watching digital marketing advertising

EA2: Internet advertising content provides a lot of information Kenney Erica, 2016

In online and social media advertisements for industrial products, there are helpful links that facilitate direct communication with the seller's company, enabling customers to place orders and seamlessly continue the purchasing process.

EA4: Advertising content provides good awareness of the companies’ Kenney Erica, 2016

EA5: I am interested in internet advertising related to industrial products

DT1: I feel interesting and want to learn more about the product information after reading the mail

DT2: Most digital marketing advertising provides much-needed information.

DT3: The information provided through digital marketing is very reliable

DT4: Contacting buyers via email is common for me Hien et al., 2022

PI1: In the future, I plan to buy industrial products advertised through social networks and the Internet.

PI2: I try to purchase budget- friendly coffee Kenney Erica, 2016

I am interested in purchasing coffee with certifications such as Fair Trade, as highlighted by Kenney Erica (2016) Additionally, I express a willingness to buy this advertised product in the future, based on recent studies by Hien et al (2022) Furthermore, I intend to purchase this product next time, aligning with consumer preferences for ethically sourced and advertised goods (Hien et al., 2022).

RESEARCH RESULT

Respondent Analysis

The demographic profile of respondents offers essential insights into their characteristics, enabling a thorough understanding of the sample group Key attributes such as age, gender, relationship status, and occupation are highlighted to provide context for the study's findings, ensuring clarity and relevance for SEO optimization.

Among the 200 survey respondents, women comprised 53.5%, while men accounted for 46.5%, indicating greater female participation This higher response rate among women suggests they may have a stronger interest in the subject matter or a greater willingness to engage in research studies It also aligns with existing research showing that women typically exhibit higher survey response rates, possibly due to increased openness or social responsibility These insights highlight gender differences in survey participation and emphasize the importance of considering demographic factors in research engagement.

The survey revealed that Generation Z, aged 18–28, comprised the majority of respondents with 139 participants, representing 69.5% of the total sample, highlighting their strong engagement and interest in the study's subject The 28–40 age group was the second-largest demographic, accounting for 16% with 32 respondents, while the under-18 category had the lowest participation with only 29 individuals These findings suggest that younger individuals, particularly those aged 18–28, are most actively involved, emphasizing the relevance of the survey topic to this age group.

Analysis of the respondent data shows that 28.5% of participants (57 individuals) reported being in a relationship, while the majority, approximately 55.5% (111 individuals), identified as single The married group had the lowest representation, with only 32 respondents This distribution indicates that singles were more likely to participate in the survey, possibly due to factors like greater availability, increased interest in the survey topic, or a higher tendency to engage in research activities.

The survey data reveals that students formed the largest demographic segment, representing nearly 49% of the 200 respondents, with 104 individuals Additionally, 36.5% of participants, or 73 respondents, were employed, indicating significant workforce participation among the sample The unemployed group accounted for the smallest portion at 14.5%, highlighting varied occupational backgrounds within the surveyed population These findings underscore the diverse career statuses of participants, with students being the most actively engaged demographic in the study.

Research Result

The study's constructs demonstrate strong reliability and convergent validity, with all Cronbach’s Alpha values exceeding the 0.7 threshold (Frost, 2022) Customer’s Behavior (CB) shows the highest internal consistency with a Cronbach’s Alpha of 0.901, indicating excellent reliability Digital Transformation (DT) records a robust value of 0.825, while Emotional Advertising (EA) has a Cronbach’s Alpha of 0.865 Purchase Intention (PI) and Social Media (SM) both share a high reliability score of 0.861 Since all constructs have Cronbach’s Alpha values above 0.8, the measurement scale is considered highly reliable and effective in consistently assessing the intended concepts.

All constructs demonstrate convergent validity, with AVE values exceeding the recommended 0.5 threshold, indicating that their indicators effectively capture the underlying concepts Customer’s Behavior (CB) has the highest AVE at 0.717, followed by Digital Transformation (DT) at 0.656, Emotional Advertising (EA) at 0.650, Purchase Intention (PI) at 0.642, and Social Media (SM) at 0.643 These results confirm that the measurement model is both reliable and valid, ensuring accurate assessment of each construct Overall, the measurement instrument demonstrates strong internal consistency, reinforcing the robustness of the study’s findings.

Cronbach's Alpha Average VarianceExtracted (AVE)

Factor analysis is a highly effective statistical method for identifying hidden factors within observed data The strength of correlations among variables is typically assessed using Bartlett's Test and the Kaiser-Meyer-Olkin (KMO) test According to Analysis INN (2020), a KMO value below 0.5 suggests insufficient data for reliable factor analysis, emphasizing the importance of adequate sampling for accurate results.

All of the variables included in this analysis have KMO values over 0.5, ranging

The five questions forming Factor SM have KMO values ranging from 0.766 to 0.828, indicating satisfactory sampling adequacy Similarly, Factor DT comprises four questions with KMO scores between 0.772 and 0.842, supporting reliable factor analysis Factor EA includes five questions with KMO values from 0.774 to 0.834, demonstrating strong suitability for extraction The five questions associated with Factor PI exhibit KMO values between 0.763 and 0.821, confirming their appropriateness for analysis Lastly, Factor CB consists of five questions with KMO values ranging from 0.829 to 0.862, indicating excellent sampling adequacy for this factor.

All KMO values exceed the 0.5 threshold, confirming the construct validity of the variables This indicates that the sample size is adequate, ensuring the dataset is suitable for reliable factor analysis.

Common method bias (CMB) occurs when survey instruments influence respondents' responses rather than accurately capturing their true opinions or behaviors To assess the potential impact of multicollinearity—which can contribute to CMB—the Variance Inflation Factor (VIF) is a crucial analytical tool VIF measures the degree of correlation between predictor variables in a regression model, with a value of 1 indicating no correlation; higher VIF values suggest increasing multicollinearity among predictors, helping researchers identify and address issues that may bias survey results.

According to Bhandari (2020), a Variance Inflation Factor (VIF) between 1 and 5 indicates a moderate correlation among predictor variables, which generally does not affect the regression analysis However, a VIF score exceeding 5 signals a strong interrelationship between predictors, potentially resulting in unreliable coefficient estimates and p-values Monitoring VIF values is essential to ensure the accuracy and reliability of regression models.

All predictor variables in this study exhibited VIF values below 5, demonstrating the absence of multicollinearity concerns This indicates that the survey instrument effectively measures distinct constructs without overlapping variables, ensuring the reliability of respondents' responses Consequently, there is no evidence of common method bias, confirming that the data are trustworthy for further research.

Table 4.4: Common Method Bias Results

To assess discriminant validity, the Heterotrait-Monotrait Ratio of Correlations (HTMT) is used, measuring how distinct constructs are from one another A key indicator is that HTMT coefficients should be significantly lower than those indicating convergent validity, confirming that the constructs are empirically separate This method ensures that theoretically different constructs do not show strong correlations, supporting the discriminant validity of the measurement model.

According to Rasoolimanesh (2022), an HTMT value should be below 0.85 or 0.9 to establish acceptable discriminant validity As shown in Table 4.5, all HTMT values are below the 0.9 threshold, confirming that the relationships among the independent variables, mediating variable, and dependent variable are within acceptable limits These findings demonstrate that the constructs in this study possess satisfactory discriminant validity, indicating that each construct effectively measures a distinct concept without excessive overlap.

CB DT EA PI SM)

The R Square (R²) values presented in the table measure the proportion of variance in the dependent variables that can be explained by the independent variables in the model.

The study's Customer's Behavior (CB) model achieves an R2 score of 0.383, indicating that approximately 38.3% of the variability in customer behavior is explained by the selected independent variables The adjusted R2 value of 0.380 accounts for the number of predictors, providing a more reliable measure of model accuracy and minimizing the risk of overfitting These results demonstrate the robustness and effectiveness of the predictive model in understanding customer behavior trends.

The R² value for Purchase Intention (PI) is 0.452, demonstrating that 45.2% of the variability in purchase intention is explained by the predictive factors The adjusted R² of 0.444 suggests that the model provides a good fit, with minimal overfitting, indicating reliable predictive accuracy for purchase intention.

According to Cohen (1988), R² values of 0.02, 0.13, and 0.26 indicate small, medium, and large effect sizes, respectively In this study, the R² values demonstrate moderate to strong explanatory power for both constructs, validating the model's effectiveness in predicting customer behavior and purchase intention This strong predictive capability highlights the model’s relevance in understanding consumer decision-making processes.

4.2.5.2 Model Fit / Standardized Root Mean Square Residual (SRMR)

Research indicates that the model fits the data well, with the Saturated Model achieving a Standardized Root Mean Square Residual (SRMR) of 0.053, well below the acceptable cutoff of 0.08, confirming a good fit Conversely, the Estimated Model's SRMR of 0.105 slightly exceeds this threshold, indicating a moderate model fit and highlighting areas for potential improvement.

These results imply that the model effectively captures the underlying relationships among variables, though there may be some room for refinement to enhance its

Hypothesis Testing

Hypothesis testing is a vital statistical method in research used to evaluate the significance of survey results In Partial Least Squares (PLS) analysis, bootstrapping is utilized to estimate p-values, which determine the reliability of the relationships within the model According to Mcleod (2023), a p-value below 0.05 provides strong evidence to reject the null hypothesis (H0), which assumes no relationship between variables, and accept the alternative hypothesis (H1), indicating a genuine effect Therefore, a low p-value (