Feasibility Study of Digital Marketing Strategies for Small Retail Business: Evidence from East Kalimantan, Indonesia

Abstract

Introduction/Main Objectives: The rapid development of digital technology has changed consumer behavior in searching, comparing, and purchasing products. This study aims to analyze the implementation and effectiveness of digital marketing strategies in small retail businesses located in semi-urban areas, focusing on a minimarket in Tenggarong Seberang, East Kalimantan. Background Problems: Small retailers in semi-urban areas still rely on traditional marketing while facing strong competition from modern retail chains and online marketplaces, raising questions about effective digital marketing adaptation. Novelty: This study contributes novelty by applying Porter’s Five Forces framework to examine digital marketing strategies in a semi-urban small retail context. Unlike prior studies that predominantly focus on urban MSMEs or specific sectors, this research integrates local consumer behavior, geographical characteristics, and internal resource constraints, which remain underexplored in existing literature. Research Methods: A qualitative descriptive approach was used through observation, semi-structured interviews, and documentation analysis, with data analyzed using Porter’s Five Forces model. Finding/Results: The results show high competitive pressure across all five forces, alongside opportunities through local-based differentiation, supplier diversification, and social media utilization. Conclusion: The study concludes that contextual digital marketing strategies aligned with local consumer behavior and internal business capacity can strengthen the competitiveness and sustainability of small retail businesses in semi-urban areas. The main implication is that digital transformation for small retailers should emphasize locally adaptive strategies rather than uniform digital adoption models.