The Effect of Digital Marketing Adoption on SMEs Sustainable Growth: Empirical Evidence from Ghana

Abstract

Online presence is fast becoming a marketing hub for contemporary businesses. Often known as digital marketing, the phenomenon offers several opportunities to businesses. Small and medium enterprises (SMEs) are using their online presence to launch stern competitive promotions and interact with consumers. Against the backdrop of the stern competition, digital marketing is being utilized to drive sustainable strategies for SMEs. This study leverages the theory of planned behavior to explore the impact of digital marketing adoption on the sustainable growth of SMEs in Ghana. Using a structured questionnaire and SmartPLS version 3.3 for the data analysis, 533 owners/managers of SMEs in Ghana were drawn to administer the questionnaire. Our findings suggest that, while attitudes toward digital marketing did not influence the intention to use digital marketing, perceived behavior control and subjective norms were found to affect individuals’ intentions to use digital marketing. Additionally, the results proved a direct positive link between subjective norms and actual behavioral use of digital marketing. Finally, the relationship between the actual use of digital marketing and SMEs’ sustainable growth was also proven positive, affirming that digital marketing significantly improved the sustainable growth of SMEs in developing countries. This study contributes to the multiplicity of factors that influence the behavioral tendencies of managers of firms in their quest to adopt digital platforms to enhance their sustainable growth. The study’s results serve as guidelines for prospective adopters of digital platforms as they develop their sustainability strategies.

Digital Marketing Strategies for Sustainable Brand Development

“…This hypothesis states that the more consistent and relevant the digital marketing messages delivered by the company, the greater the influence on sustainable brand development. In other words, if a company can deliver digital marketing messages consistently and relevantly to the needs and desires of their audience, then it is likely that their brand will experience more significant and sustainable growth (Bruce, 2023).…”

Marketing Strategy of Arabica Coffee Products on Harapan Maju Group in Kintamani, Bali, Indonesia

“…Thus the product will always have a market share and a distribution channel that will always guarantee the existence of consumers, so that the company will develop and the company's existence will be maintained. Expanding the marketing area through cooperation with wholesalers and small traders, especially those within the corporate environment [22], [23], [24]. b.…”

“…Companies must be able to keep abreast of technological developments and advances such as marketing through online media which is commonly done today in order to maximize company profits. According to [22], [27], [28] state that "the most important factor that significantly influenced the benefits of digital marketing towards business successes (business performance) is with the knowledge that related to the use of the internet and the media contained in it" b. Streamlining Arabica coffee operational costs.…”

UNVEILING THE LINK: DOES DIGITAL MARKETING ADOPTION FUEL SUSTAINABLE GROWTH FOR SMEs IN INDONESIA?

“…The rapid expansion of the Internet has facilitated the development of smartphones and other digital technologies, fundamentally reshaping modes of communication (Bruce et al, 2023). In light of the evolving nature of the contemporary business landscape, the Internet has emerged as a pivotal platform for marketing goods and services.…”