Impact of Social Media Marketing and Online Customer reviews on the Performance of Small and Medium Enterprises in Malang City

Abstract

This paper is an empirical investigation to determine the impact of Social Media Marketing
(SMM) and Online Customer Reviews (OCR) on the performance in Small and Medium
Enterprises (SMEs) in Malang City, Indonesia. SME respondents are selected via purposive
sampling method of 100 respondents and data collection procedure is conducted through
structured questionnaires followed by their analysis using SPSS 27. The results indicate that
Social Media Marketing and Online Customer Review are the important tools positively
affecting the SME performances related to brand visibility, customer interaction, and trust. The
research affirms that proper utilization of Instagram, TikTok, Google Reviews, and
TripAdvisor will help acquire more customers and increase revenue. These findings support the
theoretical implication of Registered Behavior Technician (RBT) and extend new practical
knowledge on how SMEs in the developing countries can take advantage of digital platforms.
The newness is that it brings together both Social Media Marketing and the Online Customer
Review aspects in measuring their combined effect on the performance of SMEs in a highly
dynamic digital economy.