The impact of customer relationship management on consumer behavior: A case study of small businesses in Mogadishu, Somalia

Abstract

This study examines the impact of customer relationship management (CRM) on consumer behavior in small businesses in Mogadishu, focusing on the cosmetics and apparel sectors. Using a quantitative approach, data were collected through an online questionnaire from 90 participants and analyzed with SmartPLS 4 software. The findings reveal significant positive correlations between customer orientation (0.905) and technology-based CRM (0.937) with consumer behavior. These results highlight that CRM practices positively influence consumer behavior, marketing strategies, customer satisfaction, and firms' competitive capacity. The study suggests that small businesses can utilize CRM technologies to personalize customer interactions, enhance service quality, increase engagement, and integrate systems for continuous strategy improvement. Future research could explore a larger dataset and additional variables to expand these findings.