Examining The Effects of Social CRM on MSME Performance in Times of Crisis

This study aims to investigate the use of Social Customer Relationship Management (SCRM) in Micro, Small, and Medium Enterprises (MSMEs) and its impact on their business performance in times of crisis via innovation and marketing capability.A conceptual model of SCRM's linkages to business performance and the associated mediating variables was then empirically tested through a survey of 200 MSMEs from the creative industry in Jakarta, Indonesia.These data were analysed using Partial Least Square-Structural Equation Modeling (PLS-SEM).The results revealed that using SCRM positively and significantly affected MSME business performance.Marketing capability partially mediated the influence of SCRM on business performance.Conversely, innovation capability did not mediate the relationship between SCRM and business performance, although SCRM positively and significantly affected innovation capability.This study contributes to SCRM literature on how SCRM affects MSME's market share, sales, and profits in times of crisis and the role of innovation and marketing capability as mediators.This study also provides managerial insights related to improving the implementation of SCRM by increasing the intensity of customer engagement and leveraging customer information as a basis for developing their innovation and marketing capability during a crisis.