Algorithmic Curation and Consumer Loyalty: A Longitudinal Analysis of Personalization Effects on User Engagement and Subscription Retention in Vietnam's Digital Streaming Platforms

This study investigates the mechanisms through which algorithmic curation quality and personalization effectiveness influence consumer loyalty in digital streaming platforms, with particular attention to the mediating role of user engagement and the moderating effect of cultural adaptation. Drawing from a sample of 742 users of digital streaming services in Vietnam, the research employs a mixed-method approach combining Partial Least Squares Structural Equation Modeling (PLS-SEM) and fuzzy-set Qualitative Comparative Analysis (fsQCA). The findings reveal significant direct effects of algorithmic curation quality (β = 0.324) and personalization effectiveness (β = 0.298) on consumer loyalty, with user engagement serving as a partial mediator in these relationships. Cultural adaptation demonstrates significant moderating effects (β = 0.187 and β = 0.165) on the relationships between algorithmic factors and consumer loyalty. The fsQCA results identify four distinct configurational paths to high consumer loyalty, with the most empirically relevant configuration showing strong consistency (0.923). This study contributes to digital service literature by integrating algorithmic quality measures with user engagement theory in a culturally conscious framework, while providing practical insights for platform managers on designing culturally adapted recommendation systems. The findings emphasize the importance of considering both technical excellence and cultural factors in developing effective digital streaming services that foster consumer loyalty.