The Influence of Social Media and EWOM on Generation Z's Trust and Purchase Intentions at Coffee Shops

Abstract

Generation Z has a lifestyle of enjoying daily activities at a coffee shop. This phenomenon affects the lifestyle of Generation Z. Several indicators can influence Generation Z's purchasing intentions (PI) for Coffee Shops, including social media usage (SMU) and electronic word of mouth (EWOM) can raise trust (TR) and influence PI to gain customer loyalty (CL). This study is to find out about PI and CL using non-probability sampling involving 150 coffee shop consumers from generation Z. This research uses a structural equation model (SEM) with SmartPLS software 3. This research provides proof that SMU does not influence PI in generation Z because the p-value of SMU on PI is 0.173 where the result is > 0.05 and is not by standardized measurement values, but for generation Z SMU is more significant in increasing consumer CON with a p-value of 0.010 which is by the standard measuring value criteria. The results of this research provide proof that generation Z can raise CL that is created because of the PI which is influenced by indicators other than SMU, that is EWOM.