Transforming SMEs: Bridging Digital Marketing Strategy Adoption Gaps through Perceived Usefulness and Ease of Use

Abstract

This study examines the adoption of digital marketing strategies among SMEs, focusing on the integration of Perceived Ease of Use (PEU), Perceived Usefulness (PEOU), and Compatibility with Business (CWB) as critical factors influencing Digital Marketing Strategy (DMS) effectiveness and SMEs Business Performance (SBP). Using the Technology Acceptance Model (TAM) and Resource-Based Theory (RBT) as theoretical foundations, the research highlights the cognitive and strategic dimensions that facilitate or hinder digital marketing adoption on SMEs. The study employs an explanatory quantitative approach, utilizing Partial Least Squares-Structural Equation Modeling (PLS-SEM) to analyze data from 138 SME owners in Indonesia, collected through voluntary sampling. The results reveal significant relationships between PEU, PEOU, CWB, and DMS, confirming their impact on SBP. Notably, business compatibility plays a pivotal role in bridging adoption gaps, ensuring digital tools align with business processes. These findings underscore the importance of user-friendly technologies and strategic alignment in driving adoption. The study concludes that adopting holistic digital marketing strategies enhances SME performance, offering practical insights for policymakers and practitioners to address barriers through training and tailored solutions.