Micro, small, and medium-sized businesses (MSMEs) in the food and beverage industry are experiencing considerable growth because of their progressive use of digital media. Traditional marketing strategies have limitations in terms of time and location. Despite this, online marketing enabled the engagement of a significant number of individuals, irrespective of their geographical location. The objective of this empirical study is to examine the role of digital media marketing in the competitive advantage and performance of MSMEs. The purpose of this investigation was to evaluate the influence of digital marketing on the performance and competitive advantage of micro, small, and medium-sized enterprises. This research used a quantitative approach for analysing data using SPSS and the structural equation model with the help of the linear structural relations (LISREL) software. It appears from the findings that digital marketing significantly and positively relates to competitive advantage. Moreover, digital marketing has a substantial impact on enhancing the favourable outcomes of micro, small, and medium enterprises.