Impact of diffusion of digital marketing strategies on customer engagement a study on MSMEs in Bengaluru

Abstract

The use of digital marketing strategies adoption or diffusion has been on a rise in large and mega companies for a while now in India, however, it is very important to comprehend its significance on Micro, Small and Medium enterprises (MSMEs) to know how customer engagement happens. This research study was conceptualized to study the diffusion of the various digital marketing strategies among MSMEs in Bengaluru region. newlineExtensive review of literature was carried out to understand the factors and variables which play a role in adoption of digital strategies among MSMEs. From these reviews it was understood that for our study we can consider two main factors which have a direct influence on adoption of these digital practices which were, demography and attitude among MSMEs. Further, we identified the dependent variables associated with these factors which would include type of organization, age of the organization, location of the organization, annual turnover, perceived ease of use, perceived usefulness, perceived relative usefulness, customer engagement and the complexity with which the MSMEs work. Additional to the main factors, moderator factors were identified which include government institutional support and IT infrastructure. Identification of these factors and variables(dependent) prompted us to study in depth about which factor or variable would have an influence on the adoption of digital practices among MSMEs in Bengaluru region (both urban and rural areas) of manufacturing and service based Industries. Questionnaire was prepared in line with Likert scale and circulated among 600 MSMEs in Bangalore through online channels and in person. Among the 600 circulated, only 533 responded. Out of the 533, it was found that 40 responses were having errors, hence they were discarded from the analysis and only 493 responses were considered for the analysis.