Professional Documents
Culture Documents
Vanshaj Final Draft
Vanshaj Final Draft
Batch 2020-23
i
TABLE OF CONTENT
iii
Student Declaration
Acknowledgement v
5-7
Chapter 2: Review of Literature
14-15
Chapter 3: Research Methodology
16-23
Chapter 4: Data Analysis
24-26
Chapter 5: Findings
27-28
Chapter 6: Conclusion
29-32
Annexures
33
Refrences
ii
STUDENT DECLARATION
This is to certify that I have completed the project titled “A STUDY ON THE IMPACT
OF DIGITAL MARKETING ON SMALL BUSINESSES” under the
It is also certified that the project of mine is an original work and the same has not
been submitted earlier elsewhere.
iii
Certificate from Faculty Guide
This is to certify that the project titled “A STUDY ON THE IMPACT OF DIGITAL
MARKETING ON SMALL BUSINESSES” is an academic work done by VANSHAJ
GROVER submitted in the partial fulfilment of the requirement for the award of the degree of
Bachelors in Business Administration from Rukmini Devi Institute of AdvancedStudies, New
Delhi, under my guidance and direction.
To the best of my knowledge and belief the data and information presented by him/ her in the
project has not been submitted earlier elsewhere.
iv
ACKNOWLEDGEMENT
VANSHAJ GROVER
Enrolment Number:
14080301720
1
Chapter-1
Introduction
2
About the topic
What Is Marketing?
Marketing is very broad and encompasses all the strategies that help a company,
brand, or individual achieve its objectives.
Through marketing, individuals and groups obtain what they need and want by
exchanging products and services with other parties. Such a process can occur only
when there are at least two parties, each of whom has something to offer. In addition,
exchange cannot occur unless the parties are able to communicate about and to deliver
what they offer.
Marketing is not confined to any particular type of economy, because goods must be
exchanged and therefore marketed in all economies and societies except perhaps in
the most primitive.
Based on these criteria, marketing can take a variety of forms: it can be a set of
functions, a department within an organization, a managerial process, a managerial
philosophy, and a social process.
3
What Is Digital Marketing?
Any marketing that uses electronic devices and can be used by marketing specialists to
convey promotional messaging and measure its impact through your customer journey.
In practice, digital marketing typically refers to marketing campaigns that appear on a
computer, phone, tablet, or other device. It can take many forms, including online
video, display ads, search engine marketing, paid social ads and social media posts.
It is also called online marketing, is the promotion of brands to connect with potential
customers using the internet and other forms of digital communication. This includes
not only email, social media, and web-based advertising, but also text and multimedia
messages as a marketing channel.
4
Chapter-2
LITERATURE REVIEW
5
KANO (et. al.) (2022) - This study evaluated the potential of social media as a tool for
promotion and how it may help SMEs advertise their goods. The many promotional strategies
made possible by using social media can reach a large number of potential social media.
Additionally, taking into account the benefits like affordability and wide reach, this is the best
option for overcoming the low budget and limited promotional space that SMEs are now
dealing with. So, in our opinion, using social media as a new means of promotion for SMEs is
the proper move. Digital marketing strategies impact competitive advantage in a series of ways,
starting with the most important: ease of product search, availability of special offers, capacity
to locate and draw in new clients, accessibility to product information or articles that support
and offer product guidance to consumers, capacity to raise visibility and brand awareness,
capacity to improve the perception of a brand among consumers, accessibility to testimonial
displays. such as images or product illustrations, video displays with the ability to visualise
products or support presentations, transaction tools and different payment media, document
attachments with information in pdf, doc, Xls, or ppt formats, and visitor records, among
others. The study found that the digital marketing strategy had a 78% impact on competitive
advantage, with other factors including cash, resource availability, and management expertise
accounting for the remaining 22%.
KHIONG (2022) – This study stated that Digital technology's effect Marketing has a
significant impact, as evidenced by rising social media usage and marketing activity, Key
Performance Indicators that analyse organisational values, rising demand for more digital,
rising user product searches, and rising platform demand. Many businesses and organisations
have proven this to be true about content. Digital marketing has topped growth charts and
advanced technology globally throughout the COVID-19 pandemic. Digital marketing in
hospitals during this pandemic is a marketing strategy that has many advantages, including its
ability to draw in new clients, grow clientele, foster client/customer loyalty, raise brand
awareness, and persuade patients to utilise hospital services and spread the word to other
patients.
6
REDJEKI & AFFANDI (2021) – The study concludes that the MSME sector is
extremely important to Indonesia's economy. In Indonesia, this industry employs the majority
of the country's economic players. Indonesia's economy has been ravaged by the COVID-19
Pandemic. Due to its reliance on the daily fluctuations in the economy, the MSME sector is the
most adversely affected. Government operations are constrained by the existence of
regulations, which also stifles the flow of economic activity. For stakeholders to prevent the
MSME sector from collapsing or going out of business, they must take strategic action. The
concept of "digital marketing," which is rapidly expanding globally, is based on information
and communication technology. For MSME actors, the growth of the Internet of Things,
particularly on social media platforms, has opened up new terrain and opportunities. MSME
actors should make the most of the potential in the limitless marketing field. However, only a
relatively small portion of Indonesia's MSME sectors—roughly 17%—actually make use of
digital marketing. This is undoubtedly a different note for the government and everyone
engaged in this industry on how these players may fully use this digital marketing concept in
order to have an impact on rising turnover, which can make MSME sector players survive in
the midst of the COVID-19 pandemic. 19 as it is today.
PURBA (et. al.) (2021) - The data analysis revealed that digital marketing has a significant
impact on financial performance, e-commerce has a significant impact on business
sustainability, financial performance has no significant impact on business sustainability, and
digital marketing has no significant impact on business sustainability. Additionally, financial
performance-commerce has little impact on the financial performance-based sustainability of
businesses. The epidemic has altered the way business is done in practically every sector.
Several MSME players have had to face a loss in income as a result of the uncertainties during
the pandemic.Not many, though, have continued to exist or even grown. Some of the MSMEs
that have persevered have altered their corporate plans.These adjustments have to do with how
they market and sell their goods. MSME players decided to use digital marketing via social
media to spread the word about their products amid a pandemic. E-commerce (marketplace)
use as a way of selling is one of the strategies to survive by altering the sales strategy, in the
meantime. The marketplace has a considerably bigger audience than traditional sales models.
However, MSME players confront new issues in terms of business rivalry because they are
newcomers to the marketplace. Therefore, it is crucial to use digital marketing that is tightly
interwoven with the marketplace to keep MSME businesses running throughout a pandemic.
This study's utilisation of secondary data from books and other studies has a problem. As a
result of this study's creation, further study that uses a qualitative approach to explore MSME
actors surviving under unusual circumstances can be done. The MSME players who can
survive a pandemic are thoroughly examined in this qualitative model beginning with their
business transition model.
7
CHASANAH (et. al.) (2021) – The study stated that during the Covid-19 pandemic,
digital marketing has become a crucial tool for marketing. The MSE respondents in this study
understood the value of digital marketing, which has become increasingly popular since the
pandemic and is already being used by the majority of respondents. First, the study's findings
indicated that the majority of MSEs used WhatsApp groups and social media for digital
marketing both before and during the epidemic.Second, the respondents were conscious of their
lack of time and expertise in putting forth quality marketing content on social media. They
soon saw, nevertheless, that it presents a chance to increase their market.
OLIVEIRA (et. al.) (2021) - The results of the current study have made it clear that the
detrimental impacts of the Covid 19 epidemic, of which the SMEs in Portugal's catering
industry were aware, have changed how these business owners view and employ digital
marketing tactics to the digital marketing landscape. These businesses gradually prefer to
abandon discrete traditional marketing campaigns in favour of integrating digital marketing
campaigns to promote their business and products. The requirement for these business owners
to achieve sustainability for their operations or to minimise the losses brought on by their
commercial activity is what is driving these developments. In this situation, digital marketing
solutions become the go-to options for SMEs of this nature because they are frequently cost-
free, simple to use and maintain, and provide excellent target audience involvement. Although
the profits from these digital marketing initiatives are insufficient to offset the losses caused by
the new business model, which is based on the delivery of meals to homes or in a takeaway
system, eliminating in-person meal service in the room or at the restaurant counter, the benefits
of their implementation are acknowledged.
OMAR & ATTEYA (2020) - This study investigates digital marketing channels for
marketers, including retargeting, mobile marketing, and email marketing. It examines how
various channels affect how consumers in the Egyptian market make purchasing decisions.
Through the use of an online questionnaire, the author performed study. A straightforward
sampling technique was used to distribute the questionnaires and collect them from the
Egyptian market. A response rate of 74.7% was obtained from those who volunteered to
participate in the study after 285 questionnaires were issued and 213 useable samples were
obtained after removing the incomplete questionnaires. In this study they were able to validate
the three hypotheses in the Egyptian market, and our results show that email has a strong
positive influence on consumer decisions in two stages (post-purchase and information
research) and a strong negative influence on consumer decisions in the purchase decision stage.
AYUSH & GOWDA (2020) – The study stated that Presently, digital is at the core of
every business, and digital marketing is a crucial tool in the hands of businesses and marketers
for putting marketing strategies into action throughout the pandemic period. Digital marketing
has experienced a huge uptick despite the fact that the industry of marketing as a whole has
been significantly damaged. Digital marketing has been given priority status by Covid19,
opening the door for its continued growth and improvement.
8
JUNUSI (2020) - The study stated that Digital marketing is expanding quickly. Numerous
business and marketing practises have changed as a result of information technology
advancements, which also gave rise to online payment options.Digital marketing has helped
businesses alter transactions during the COVID epidemic 19. The epidemic has expedited
digital marketing's development, which has an effect on how consumers will behave when
making purchases online.However, Islamic values must be adhered to and used as a guide for
the development of digital marketing.
KAWIRA (et. al.) (2019) - The study came to the conclusion that MSMEs perform better
when using digital marketing. Mobile phones, the Internet, and social networking sites all play
important roles in attracting, reaching, and keeping customers, which leads to increased sales
volumes and profitability. In addition, compared to other conventional and similarly pricey
methods like print media, the internet marketing tools offer a simple, affordable way for
business owners to reach the targeted clients. Therefore, MSMEs must strive to integrate and
implement digital technology in their marketing functions if they hope to acquire and maintain
a competitive edge over their rivals for greater performance.
BIZHANOVA (et. al.) (2019) – The study stated that digital marketing is based on the
most frequently used internet channels, which are dynamic, can vary from year to year, and are
constantly impacted by market trends. Digital marketing in particular involves routine
evaluation, analysis, interpretation, and promotion processes and aids in the development of
strong consumer-brand ties. This unorthodox marketing strategy has had a significant negative
influence on sales and customer numbers, and at best, business operations. The following
characteristics of digital marketing in the creation and growth of the business structure can be
highlighted as a result:
1)Attracting a huge target audience: This procedure can be accomplished through a number of
Internet marketing strategies that are designed to target customers using a certain kind of
information. There are numerous strategies to get the attention of purchasers that are given in
the scientific literature. For instance, SEO-related marketing, Email-related mailing lists,
contextual advertising, social network advertising, etc.;
2) An increase in sales: Internet marketing contributes to the development of ecommerce,
which occasionally makes it easier to buy products and services because customers can do so
through online shops that provide all the necessary details about a company's or company's
various products;
3) establishes the directions of competition: Internet marketing aims to identify competitors in
the market structure, assesses the nature of those competitors' behaviour under competitive
pressure, and acts as a mechanism to encourage the growth of that rivalry in order to optimise
and enhance output;
4). Internet marketing implies an efficient method of reaching consumers through targeting in
the virtual environment, but it is a budgetary method in use because the majority of the work
is done directly on the Internet with the involvement of a small number of employees and
enhance output.
9
DASH & SHARMA (2019) – The studyb stated that a number of intrinsic limitations.
Only 18 months were used for the study, which is a rather brief amount of time. Additionally,
the model's explanatory power is poor (only 56.8%), suggesting that other factors may also be
at play. In particular, lagged influences have not been taken into account by the model.
Additionally, the negative intercept component in the model—which states that if no
advertising is done, the response will be zero or negative—does not behave as expected. In
reality, though, there would still be some response because of the brand even if there was no
advertising in any of the media. Consequently, a different version of the model may be
necessary.
RATHNAYAKA (2018) – This study stated that The role of the marketer is to develop
and strengthen with a suitable set of skills, attitudes, and behaviours to capitalise on the
informational and social characteristics of the digital environment with the ultimate focus of
achieving a loyal customer base by remarking an above average performance over the
competition with the transformation of transactional marketing to relationship marketing in
the digital era.
PACHORE (et. al.) (2018) - Social media marketing is crucial since it fits with how
people choose their products. According to a study, more and more customers are using the
internet for services and research, which has a substantial impact on small businesses when it
comes to digital marketing. Therefore, in this study, we examine the beneficial effects of online
digital marketing on small businesses' operational performance. and contacting their intended
clients. Additionally, internet marketing helps small businesses grow their clientele, their
revenue, their sustainability, and their marketability. Businesses feel that websites are a more
effective instrument for small business growth.Small businesses also strongly favour
Facebook, Instagram, What's App, and the other platforms included in this list. People also
concur that online digital marketing has a significant impact on a number of corporate
operations. Additionally, small businesses are very pleased with the results of their total digital
marketing efforts online.Thus, it can be concluded that the study was useful in helping to
understand how online digital marketing affects small businesses and startups.
JONES (et. al.) (2018) – The study concluded with a focus on website and social media
marketing, this research project tried to solve the issue of efficiently leveraging the online and
social media. Small enterprises in Maine's mountains made up our sampling. To find businesses
for the study, we built a web platform. About their marketing approach, attitudes, and
restrictions, 26 businesses were surveyed. Lastly, they conducted in-depth interviews with five
managers/owners. The study produced a number of important conclusions.
10
DURAI & KING (2018) - In this study, they looked at a few aspects of the expansion of
digital marketing. Consumer expectations, functionality, marketing, and service elements are
the primary factors that go into creating a successful digital marketing campaign.They have
found that businesses should take the aforementioned elements that affect their customers into
account when adopting the right techniques for their digital marketing initiatives. In order to
meet the needs of the customer and take advantage of the opportunities provided by the digital
marketing platform, they must take a holistic approach and identify the elements that affect the
customer across all digital marketing channels.Not to mention the fact that the number of
internet users in India has increased dramatically in recent years, which implies that there is a
huge potential for growth in the field of digital marketing.
OMONDI (2017) – This study concludes about the adoption of digital marketing by SMEs
and its impact on sales growth were drawn from the study's findings. The study's findings
support the notion that digital marketing contributes to the expansion of SMEs' sales in Nairobi,
Kenya. The study's findings regarding email marketing showed that it is widely utilised by
SMEs and has a sizable impact on sales. Therefore, the study comes to the conclusion that
email marketing is significant and need to be utilised more by SMEs to increase their sales.
The use of personalised email by SMEs should increase because it is less expensive than niche
marketing through traditional media. The study's findings also showed that SMEs only employ
mobile marketing to a limited level, that it had a minimal impact on sales, and that it did not
increase SMEs' sales as one might anticipate.
11
KUMAR (2017) – This study concluded that Information technology has a significant
impact on real estate because it is an information-based industry. When examining local
businesses and the clients they service, one can observe the accelerated rate of change. Real
estate is being propelled by the information technology revolution that is inexorably affecting
every sector of industry. The technology that makes it possible to gather and transmit
information is becoming more effective, quick, and boundary-spanning every day. This could
shake up entire businesses, making some obsolete while creating brand-new ones. To thrive in
this new world, one must have new organisational structures, organisational methods to work,
and access to information, knowledge, and IT.
YAMIN (2017) - This study discovered that internet marketing contributed to overall
marketing campaigns among mass consumers, particularly in terms of their behavioural and
inflection patterns. Digital marketing strategies and techniques are replacing conventional ones
all over the world, although they are still relatively new in Bangladesh's mass consumer market.
Marketing professionals have expressed scepticism regarding the effectiveness and advantages
of digital marketing, and they have noted inappropriate product positioning and a lack of
market segmentation and market targeting. It is undeniable that the expansion of the internet
and mobile communication has increased the number of people who can be reached and
communicated with. As a result, conducting adequate market research and then fully
integrating digital marketing tools and strategies into a company's integrated marketing
communication can help.
12
Need of the Study
Digital marketing is the practise of marketing to customers via digital channels including as
websites, mobile devices, and social media platforms. This type of marketing differs from
internet marketing, which is done solely on websites. Attracting customers via email, content
marketing, search platforms, social media, and other methods are all part of digital marketing.
One of the most difficult difficulties for digital marketers is figuring out how to stand out in a
world overloaded with digital marketing ads. Implicit bias is one of the issues of digital
marketing. Your business needs exposure to find customers, and the online market is the best
way to make it happen.When people hear about your business, they want to learn more about
it. They want to check your presence online to know if you do exist. If people can't find
anything about you online, chances are you'll lose them as a customer Many firms say that
undertaking paid or free online advertising provides a higher return on investment. Because the
majority of your customers can be found online, you may have a greater conversion rate or
return on investment. If you know who your target audiences are, you can devise a strategy to
convert your leads into customers.. Another reason to integrate digital marketing this time is
that you need to create relationships with your customers. Customer service is an important
part of digital marketing. It means that marketing gurus cultivate connections with clients by
reaching out to answer their questions, resolve problems with a product, and convert them into
repeat buyers. Building a solid relationship with your audience can help your business. The
present study is conducted to find out how digital marketing has affected in growth of small
businesses. Also, there are some different methods that businesses have undertaken for their
growth and marketing. The study will help the businesses to examine the effects of digital
marketing on their sales, production and their reach in the market.
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Chapter-3
RESEARCH
METHODOLOGY
14
RESEARCH DESIGN
Research Methodology: This research is descriptive in nature; the necessary data were
collected through a structured questionnaire. Descriptive type of methodology was followed.
The study depends on primary data. The sample size is an approximate 40-50 sample which is
collected from different businesses who have used digital marketing as a medium of their
growth.
RESEARCH OBJECTIVE OF THE STUDY
To study Impact of Online/Digital marketing on small Business.
To study whether online/Digital marketing is really helping Small businesses to reach
their target customers.
To understand how effective we can use online/Digital marketing tool to succeed our
small businesses.
To identify the various types of business using Social Media for marketing.
ANALYTICAL TOOLS:
Depending upon the nature of the data and study objectives suitable analytical tools
would be used.
15
Chapter-4
DATA INTERPRETATION
AND ANALYSIS
16
It includes a full representation of data analysis as well as discussion of the findings.
The findings are presented below.
AGE OF BUSINESS
Fig. 4.1
INTERPRETATION:-
The above chart is showing the age of business. The maximum respondents have the
age of business of above 10 years (29.8%) followed by the time span of 0-3 (26%), 3-
5 (25%) and 5-10 (19.2%).
Fig. 4.2
17
INTERPRETATION:-
As shown by the chart above maximum income level of respondents is between
5 lakhs- 10 lakhs(33.7%) followed by above 10 lakhs(31.7%), 1 lakh – 5
lakhs(20.2%) and upto 1 lakh(14.4%).
SECTOR OF INDUSTRIES
Fig. 4.3
INTERPRETATION:-
As shown in the chart, (28.8%) Industries are are currently working in service and fmcg
sector. Followed by (10.6%) in education sector, (17.3%) in agriculture sector, (6.7%)
in IT sector and rest of in supply chain and handicrafts.
Fig. 4.4
18
INTERPRETATION:-
As show in the chart, 87.5% respondents know about digital marketing. Followed by
(7.7%) respondents not knowing much and rest do not about it.
Fig. 4.5
INTERPRETATION:-
As shown in the chart, (94.2%) respondents use didigtal marketing tools to target their
customers and rest (5.8%) do not.
19
WHICH PLATFORM DO PEOPLE PREFER FOR DIGITAL MARKETING
Fig. 4.6
INTERPRETATION:-
As shown in the chart, (83.7%) respondents chose Instagram marketing.(68.3%)
respondents chose for facebook, (33.7%) chose for youtube ads and (45.2%) chose for
business website. And rest of the respondents chose for twitter and linked in for digital
marketing.
Fig. 4.7
INTERPRETATION:-
As shown in the chart, maximum respondents 44.2% voted for Strongly agree and
followed by 18.3% who agrees and 19.2% are neutral.Rest of the respondents do not
agree.
20
IS THERE NEED NEED OF DIGITAL MARKETING FOR SMALL
ENTERPRISES IN TODAY’S SCENARIO
Fig. 4.8
INTERPRETATION:-
As shown in the chart, 78% respondents believe that yes there’s a need for digital
marketing for small enterprises.19% respondents think that there might be need and rest
think there’s no need.
Fig. 4.9
INTERPRETATION:-
The chart depicts that 35.4% respondents business got nationally spread. 22.2% got
their business international. Followed by 29.3% got their business grown locally and
13.1 regionally.
21
HOW DIGITAL MARKETING HELPS THE BUSINESS
Fig. 4.10
INTERPRETATION:-
As shown in the chart, 49% respondents find that digital marketing helps in increasing
customers, increase in profits, helps to sustain the market changes, helps in branding.
16.3% respondents think that it helps in branding, 11.2% think it helps in increasing
profits and helps to sustain market changes and 12.2% think that it helps in increasing
customers.
Fig. 4.11
INTERPREATION:-
As shown in the chart, 77.6% respondents think that digital marketing should be opted
by small businesses. 22.4% think that I might be opted by them and rest think that
there’s no need for opting digital media for small busniesses.
22
SATISFACYTION AFTER USING DIGITAL MARKETING
Fig. 4.12
INTERPRETATION:-
As shown in the chart, 55.8% respondents thinks that it’s highly satisfying. 30.5%
respondents think that they are satisfied. 11.6% respondents are neutral and rest are
dissatisfied.
23
CHAPTER-5
FINDINGS AND
SUGGESTIONS
24
FINDINGS
25
SUGESSTIONS
26
CHAPTER-6
CONCLUSION
27
In conclusion, digital marketing has had a significant impact on small businesses in today's
digital age. Here are some key points to consider:
1. Increased Visibility: Digital marketing provides small businesses with an opportunity to
reach a wider audience and increase their visibility. Through various online channels such as
search engines, social media platforms, and email marketing, small businesses can target
specific demographics and attract potential customers who may have otherwise been difficult
to reach through traditional marketing methods.
2. Cost-Effective: Compared to traditional marketing channels, digital marketing is often more
cost-effective for small businesses. Many digital marketing strategies, such as social media
marketing and content marketing, can be implemented at a fraction of the cost of traditional
advertising methods like TV or print ads. This allows small businesses with limited budgets to
compete with larger companies in the online space.
3. Targeted Advertising: Digital marketing enables small businesses to precisely target their
ideal customers. With tools like data analytics and user profiling, businesses can gather insights
about their target audience's demographics, preferences, and behavior. This information allows
for highly targeted advertising campaigns, resulting in better conversion rates and a higher
return on investment.
4. Increased Customer Engagement: Digital marketing platforms provide avenues for direct
customer interaction and engagement. Social media platforms, email newsletters, and online
communities allow small businesses to build relationships with their customers, respond to
their inquiries, and gather valuable feedback. This fosters trust, brand loyalty, and customer
satisfaction, ultimately leading to repeat business and positive word-of-mouth referrals.
5. Measurable Results: Unlike traditional marketing methods, digital marketing offers the
advantage of accurate and real-time performance tracking. Small businesses can monitor key
metrics such as website traffic, conversion rates, click-through rates, and engagement levels.
These insights allow businesses to make data-driven decisions and optimize their marketing
efforts for better results.
6. Global Reach: Digital marketing breaks down geographical barriers and enables small
businesses to expand their reach beyond their local markets. With e-commerce platforms and
online advertising, small businesses can access customers from all over the world, potentially
increasing their customer base and revenue.
Despite the numerous benefits, small businesses should also be aware of the challenges that
come with digital marketing, such as increased competition, the need for continuous learning
and adaptation to changing digital trends, and the risk of cybersecurity threats. However, by
leveraging the power of digital marketing effectively, small businesses can level the playing
field and compete with larger companies while driving growth and success in the digital era
28
ANNEXURE
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PLAGIARISM
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