UTILIZATION OF SOCIAL MEDIA AND ITS IMPACT ON MARKETING PERFORMANCE: A CASE STUDY OF SMEs IN INDONESIA

The role of social media has changed both producer and consumer behaviour worldwide. It connects businesses and customers to communicate with each other seamlessly. Social media can bring many advantages for SMEs, but many SMEs still have not realized it. Several SMEs have higher marketing performan...

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Bibliographic Details
Published inInternational Journal of Business and Society Vol. 23; no. 1; pp. 19 - 33
Main Authors Wibawa, Berto Mulia, Baihaqi, Imam, Nareswari, Ninditya, Mardhotillah, Rachma Rizqina, Pramesti, Faras
Format Journal Article
LanguageEnglish
Published Sarawak Universiti Malaysia Sarawak 01.01.2022
Subjects
Communication
Consumer behavior
Consumers
Costs
Customers
Equity
Financial performance
GDP
Gross Domestic Product
Marketing
Purchase intention
Small & medium sized enterprises-SME
Social interaction
Social networks
Trust
Indonesia
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Summary:The role of social media has changed both producer and consumer behaviour worldwide. It connects businesses and customers to communicate with each other seamlessly. Social media can bring many advantages for SMEs, but many SMEs still have not realized it. Several SMEs have higher marketing performance through social media channels, while most SMEs struggle to implement social media benefits because of their limitation in technological knowledge. This study explores why and how SMEs use social media and its impact on marketing performance by using an explanatory pilot study as a research method. The qualitative data analysis were examined through thematic analysis. The findings of this study provide nuance to explain the role of social media for SMEs in six main themes: (1) Branding, advertising, and promoting; (2) Enhancing community interaction and content sharing; (3) Building trust and relationships; (4) Reaching potential customers; (5) Digital marketing trends, and (6) Low-cost promotion and content customization. Another notable contribution of this study is the importance of social media adoption to improve SMEs' marketing performance through creative advertisement using lower marketing costs.
ISSN:1511-6670
DOI:10.33736/iibs.4596.2022