Unlocking Youth Customer Loyalty Through Digital Experience: The Interplay of Online Flow State and Value Co-Creation

Zulfahmi Zulfahmi (Universitas Terbuka)
Ginta Ginting (Universitas Terbuka)
Andryansah Andryansah (Universitas Terbuka)
Hubertina Karolina Ngarbingan (Universitas Terbuka)

International Journal of Applied Business and International Management
Vol 11, No 2 (2026): August 2026

This study examines how Online Flow State and Value Co-Creation enhance Digital Customer Experience and Customer Loyalty among young consumers, drawing on the S–O–R Model, Flow Theory, and Service-Dominant Logic. A quantitative approach using purposive sampling involved 186 young e-commerce consumers across regions outside Java, Indonesia. Data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). Results show that Online Flow State significantly improves Digital Customer Experience and Customer Loyalty, while Digital Customer Experience and Value Co-Creation significantly enhance Customer Loyalty. However, Value Co-Creation does not significantly moderate the relationship between Online Flow State and Digital Customer Experience, indicating that this relationship remains stable across different co-creation levels. These findings highlight Online Flow State as a key driver of digital experiences and loyalty while revealing limitations of Value Co-Creation as a moderating mechanism among young consumers