Researchers study factors affecting purchasing trends of Gen Z shoppers in Vietnam
A study in the Journal for International Business and Entrepreneurship Development, has revealed the various factors that influence the likelihood of Generation Z individuals in Vietnam to make online purchases. Generation Z, often referred to as Gen Z or "Zoomers" is usually considered to include those people born between the mid to late 1990s and the early 2010s. The Zoomers are the generation following the Millennial generation and represent a thriving group for marketing and advertising online. The research focused on online trust and self-efficacy, or self-belief, and provides valuable insights for businesses seeking to tap the burgeoning online market.
Vuong-Bach Vo, Giang-Do Nguyen, and Trinh-Cong Nguyen Ho of the International University and Thu-Hien Thi Dao of Nguyen Tat Thanh University in Ho Chi Minh City, Vietnam, used the social cognitive theory and the decomposed theory of planned behavior to examine the various factors involved in online buying decisions. Their results derived from online interviews with 366 young online consumers in Vietnam.
Online trust emerged as a pivotal factor in shaping online purchase behavior among the younger generation, the team reports. Defined as the confidence individuals have in the reliability, security, and credibility of online platforms, this trust plays a dual role in influencing online purchase intention. It not only directly affects an individual's decision making but also moderates the relationship between the individual's belief in their own abilities, their self-efficacy, and their intention to buy online.
Indeed, the team found that self-efficacy itself was an important factor in whether or not a Zoomer would be inclined to buy online. The study showed that boosting self-efficacy could have a positive influence online purchases. The work also showed that subjective norm, the influence of social factors and peer opinion also affected online buying decision.
The study contributes to a deeper understanding of the key factors that shape the online buying behavior of Generation Z in Vietnam and so has practical and theoretical implications. Specifically, the findings underscore the significance of online trust and self-efficacy, highlighting the need for businesses to build trust and enhance a user's own belief in their abilities in order to foster a thriving online shopping environment.
Of course, being "digital natives" like the Millennials, means that members of Gen Z are usually entirely familiar and confident with the online world. Nevertheless, there is always scope for businesses to improve an interface to make it more engaging and enticing for the young, especially in a world of information overload and countless digital options.
More information: Vuong Bach Vo et al, The dual role of online trust: a study of Generation Z through online purchase intentions in Vietnam, J. for International Business and Entrepreneurship Development (2023). DOI: 10.1504/JIBED.2023.131473
Provided by Inderscience