Effect of Digital Marketing on the Performance of MSMES in Kenya
Abstract
The main objective of the study was to examine the effect of digital marketing on the performance of MSMEs in Kenya. The study was guided by positivist research philosophy. It utilized a descriptive survey design. The study population included 8,526 licensed MSMEs in Tharaka-Nithi County. Stratified sampling and random sampling techniques were employed to arrive at the study sample. Data was collected using questionnaires. Quantitative data were analyzed using both descriptive and inferential statistics. The descriptive statistics included frequency distributions, mean and measures of dispersion while the inferential statistics were t-test, multiple regression analysis, Karl-Pearson correlation coefficient and F-test. The findings of this study revealed that digital marketing accounted for 38.8% of the variation in the performance of MSMEs. The study further showed a strong positive correlation between digital marketing and the performance of MSMEs. The descriptive findings on digital marketing and the performance of MSMEs ascertained that a majority of MSMEs owners and managers that utilized digital marketing perceived the performance of their firms to be growing. The bivariate regression findings further revealed that digital marketing had a significant positive effect on the performance of MSMEs. This study recommends that owners/managers of MSMEs in Kenya should embrace digital marketing as a strategy towards improved performance. Embedded in the high mobile phone penetration and improved internet connectivity in Kenya, coupled with vibrant and easy-to-use social media platforms, entrepreneurs in Kenya should position such tools for marketing purposes.
Key Words: Digital Marketing, Performance, MSMEs, Tharaka-Nithi County and Kenya
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