Turning Digital Green Marketing into Sustainable Competitive Advantage: The Role of Green Customer Engagement
Keywords:
Digital Green Marketing; Green Customer Engagement; Sustainable Competitive Advantage; Culinary MSMEs;Abstract
The growing number of culinary Micro, Small, and Medium Enterprises (MSMEs) in Medan City has intensified business competition, requiring entrepreneurs to develop marketing strategies that support long-term competitiveness. However, digital marketing activities often focus on product promotion and sales rather than communicating environmental sustainability, while customer participation in environmentally responsible business practices remains limited. This study examines the effect of Digital Green Marketing on Sustainable Competitive Advantage through Green Customer Engagement among culinary MSMEs in Medan City. A quantitative approach with an explanatory research design was employed, involving 388 respondents selected using proportionate stratified random sampling across 21 districts. Data were collected through questionnaires and analyzed using Partial Least Squares–Structural Equation Modeling (PLS-SEM). The reported statistical results indicate that Digital Green Marketing has a positive and significant effect on Green Customer Engagement (β = 0.601) and Sustainable Competitive Advantage (β = 0.411). Green Customer Engagement also positively influences Sustainable Competitive Advantage (β = 0.386) and mediates the relationship between Digital Green Marketing and Sustainable Competitive Advantage (β = 0.232), with all relationships significant at p < 0.001. The model explains 50.9% of the variance in Sustainable Competitive Advantage. These findings suggest that culinary MSMEs should integrate credible environmental communication into digital marketing activities, encourage customer participation in sustainability initiatives, and strengthen customer relationships to support long-term competitive advantage.
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