The Relationship between Internet Marketing Paybacks and Firm Productivity: Perspectives from Zimbabwean SMEs

Abstract

This study sought to explore the influence of internet marketing benefits among SMEs in Zimbabwe. Specifically, the study aimed at identifying the paybacks (benefits) emanating from the adoption of Internet marketing as well as examining the relationship between these benefits and SME productivity. A structured survey questionnaire was administered to a conveniently selected sample of 189 SMEs in the two largest cities of Zimbabwe; namely, Harare and Bulawayo. Using exploratory factor analysis, four factors; namely, intelligence gathering, promotion, communication and customer relationship management were extracted. Mean scores and standardized Z-values revealed that promotion was the most important among the extracted factors. Pearson correlation tests showed strong positive relationships between SME productivity and two factors which are intelligence gathering and promotion. SME productivity and communication were moderately associated while the relationship between SME productivity and customer relationship management was weak. Intelligence gathering, promotion and communication emerged as statistically significant predictors of SME productivity.

DOI: 10.5901/mjss.2014.v5n8p21