Marketing Strategies and the Digital Competitive Advantage of Small and Medium Enterprises

This study examined the influence of marketing strategies on the digital competitive advantage of small and medium enterprises (SMEs). A mixed-methods research design was employed, integrating quantitative surveys and qualitative interviews to collect data from 110 SME employees and five business owners in the municipalities of Paete, Pakil, Siniloan, Pagsanjan, and Santa Cruz, Laguna, Philippines. The research instrument comprised three sections: respondents’ demographic characteristics, the extent of marketing strategies utilized, and the level of digital competitive advantage of SMEs. Descriptive and inferential statistical tools, including weighted mean, chi-square test, and Spearman’s rank correlation, were used to determine the relationship between marketing strategies and digital competitiveness. The results indicated that educational attainment and years of business operation had significant relationships with the extent of marketing strategies employed, whereas sex, age, and income were not significantly associated. These findings suggest that educational and professional experience influence the assessment and implementation of digital marketing strategies. Furthermore, unique selling propositions, brand management, and communication channels exhibited a highly significant relationship with digital competitive advantage, underscoring their importance in fostering customer trust, brand loyalty, and engagement. In contrast, influencer collaborations and reputation management showed lower statistical significance, potentially reflecting resource limitations or lower strategic prioritization among SMEs. Overall, marketing strategies were found to be highly significantly related to digital competitive advantage. The study concludes that SMEs with higher educational backgrounds and longer operational experience are better positioned to adopt innovative digital practices that enhance resilience, visibility, and competitiveness in the digital economy.