Internet Marketing Strategies and Profitability of Selected Supermarkets in Kenya
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Technology has become part of our daily lives every aspect of life revolves around it. Companies should therefore embrace technology to achieve competitive advantage in all its functions to strategically exploit emerging opportunities to survive. The purpose of the study was to determine the effects of internet marketing strategies on the profitability of the retail industry in Kenya. The Specific objectives on the study were to establish the effect of social media marketing strategies, affiliate marketing strategies, content marketing strategies, mobile marketing strategies and profitability in the retail industry in Kenya. This research adopted a descriptive research design and targeted 250 employee of selected supermarkets in Kenya. A sample of 154 respondents for the study was obtained through the Taro Yamane formula. Questionnaires were used to collect primary data through both online questionnaires as well as in-person delivered questionnaires. SPPS was used in data analysis. Both descriptive and inferential analysis were used, frequencies, percentages and standard deviation were carried out. Binary logistic regression was conducted to test hypothesis. The result showed that majority of the respondents agree that website design marketing strategy gives the business instant presence online and that it is easy to access and update data whenever the need arises thus keeping customers always informed on the products in the market. Besides, the study revealed a B= 1.525, Wald=8.271, a p-value=0.0004 and Exp (B) = 0.282. Respondents also indicated that they use social media to build conversations with the target audience also to learn from competitors. The study revealed that social media marketing strategy was associated with a B= 1.265, Wald =5.805, a p-value=0.016, and Exp (B) = 0.282. The majority of respondents agree that they use affiliate marketing to increase awareness and visibility of the business and its products. The study revealed that affiliate strategy was associated with a B= 1.304, Wald = 6.281, a p-value = 0.012, and Exp (B) =0.271. Majority of the respondents agree that content marketing attracts loyal customers. The study revealed content strategy was associated with a B = 0.831, Wald = 1.583, a p-value = 0.208 and Exp (B) = 0.436. Respondents also agree that email marketing makes it easy to communicate to the mass audience and enables to segment customers accordingly. The study revealed that email-marketing strategy was associated with a B = 1.386, Wald = 6.988, a p-value = 0.008, which was less than 0.05 therefore significant effect, and Exp (B) = 0.250. The study concluded that where firms owned a website other than outsourcing consultants’ website management it increased profitability significantly. The study also concluded that where the business owned a Facebook page business suite other than lacking a Facebook page increased the odds of profitability significantly. The study concluded that where the affiliate marketer had an APP other than a URL it increased the odds of profitability significantly. Content marketing did not significantly increase the odds of profitability. The study concluded that where the firm used triggered email other than batch marketing increased the odds of profitability significantly. The study recommended for business to have their own managed websites, to create more Facebook pages/suites to use using marketers who use APPs in their marketing, to focus more on other online marketing strategies other than content marketing. Finally, more retail business should focus on the use of triggered email other than the use of batch email to boost odds of profitability among the retail business.