ICTMT 2025 | International Journal of Research and Innovation in Social Science (IJRISS)
ISSN: 2454-6186 | DOI: 10.47772/IJRISS
Special Issue | Volume IX Issue XXVIII November 2025
Page 301
www.rsisinternational.org
The Usage of TikTok as A Marketing Tool among Small Business
Entrepreneurs in Malaysia
Puteri Nor Hanis Hamzan
1
, Mohd Amin Mohamad
2*
1,2
Centre of Technopreneurship Development (CTeD), Fakulti Pengurusan Teknologi dan
Teknousahawanan, Universiti Teknikal Malaysia Melaka
*
Corresponding Author
DOI: https://dx.doi.org/10.47772/IJRISS.2025.92800029
Received: 04 November 2025; Accepted: 10 November 2025; Published: 19 December 2025
ABSTRACT
This study investigates the usage of TikTok as a marketing tool among small business entrepreneurs in Malaysia,
focusing on the factors that influence its adoption and its effect on perceived business performance. Grounded
in the Technology Acceptance Model (TAM), the research examines the roles of Perceived Usefulness (PU),
Perceived Ease of Use (PEOU), and Interactivity (INT) in predicting TikTok Usage (TU). A quantitative research
design was employed using a structured questionnaire distributed to small business owners, and the data were
analyzed using Structural Equation Modeling (SEM) via AMOS. The model demonstrated an acceptable fit, with
RMSEA = 0.077, CFI = 0.933, and Chi-square/df = 1.589. Of the three hypotheses tested, only the relationship
between PEOU and TU was statistically significant (p = 0.012), indicating that ease of use is a key driver for
entrepreneurs adopting TikTok. In contrast, PU and INT did not significantly influence TU.These findings
suggest that while small business owners find TikTok easy to use, it may not yet be viewed as a performance-
driven platform without strategic content planning and engagement. This study contributes to TAM literature by
contextualizing it within a modern social media environment and offers practical insights for entrepreneurs,
digital trainers, and policy-makers. It also highlights the needs for future research to include moderating
variables, qualitative approaches, and platform comparisons to further understand TikTok’s role in SME digital
marketing.
Keywords: marketing tool; perceived usefulness; perceived ease of use; interactivity; TikTok usage
INTRODUCTION
The global shift towards digital marketing has increased the importance of social media platforms in business
strategies. According to Datareportal (2025), digital ad spending worldwide exceeded $500 billion in 2024. The
share of social media advertising in the global marketing mix has also risen significantly, with platforms like
TikTok, Facebook, and Instagram becoming key players in marketing campaigns. Social media has transformed
traditional marketing strategies, enabling businesses to directly engage with consumers in a more interactive and
cost-effective manner accordingly. In addition, the digital adoption in Malaysia has a high internet penetration
rate of around 90% (Malaysia Digital Economy Corporation, 2023). The social media usage among Malaysians
being one of the highest in Southeast Asia has increased the number of small businesses that adopting digital
marketing tools to expand their reach and improve sales.
The popularity of TikTok in Malaysia was over 15 million active users as of 2023 (Datareportal, 2025). TikTok’s
usage in Malaysia is growing rapidly, especially among younger demographics (18-34 years old), making it as
a key target for businesses. The introduction of TikTok as marketing tools towards small businesses to reach
wide audiences has been rapidly growing globally and it has transformed into a powerful marketing tool
effectively. TikTok in digital marketing also has been widely utilized by marketers and advertisers to sell their
products and services because of its unique feature and viral potential. For instance, direct customer engagement
through video content that allows small businesses to showcase products or services creatively.
ICTMT 2025 | International Journal of Research and Innovation in Social Science (IJRISS)
ISSN: 2454-6186 | DOI: 10.47772/IJRISS
Special Issue | Volume IX Issue XXVIII November 2025
Page 302
www.rsisinternational.org
TikTok has increased the demand towards small businesses which provides more engagement on small business
entrepreneur accordingly. This is due to the importance of TikTok for small business entrepreneurs to promote
their products and reach customers widely without investing too much for marketing costs (Omar & Dequan,
2020). For example, a low-cost entry and viral potential has providing small businesses with an affordable yet
impactful means to reach wide audiences. However, there are challenges and barriers to use TikTok as a
marketing tool. This is due to a challenge on navigating the platform’s evolving algorithm and content trends
(Zulli & Zulli, 2020). The time and creativity needed to produce engaging and authentic content also is one of
the challenges. Limited marketing budgets and resources make traditional marketing avenues difficult for many
small businesses. Hence, TikTok platform provides a cost-effective platform for advertising and community
engagement that will help the small business entrepreneurs to engage with customer respectively (Ferri et al.,
2023).
The purpose of this study is to examine the effects of the usage of TikTok as a marketing tool among small
business entrepreneurs in Malaysia. The sample of this research only covers the small business entrepreneurs in
Melaka, Malaysia that use the TikTok social media platform as their business marketing tools regardless of their
business type. The reliability and validity of this study are fully dependent on the answers from each respondent.
The study is beneficial to small and medium-sized entrepreneurs (SMEs) by highlighting the key factors that
influence successful usage of TikTok such as ease of use, perceived usefulness, and interactivity. Academicians
and future researchers can also benefit from the conceptual framework developed in this study, which adds the
knowledge on digital marketing especially within Malaysia entrepreneurial context. Hence, this research
highlights the scope of study specifically to TikTok in providing more relevant and timely contribution
accordingly.
LITERATURE REVIEW
Ng (2022) investigated the factors that affect the adoption of social media in business among young entrepreneurs
using the technology acceptance model (TAM). The TAM model in this research was used to study the
relationship between the perceived usefulness, perceived ease of use, trust, and behavioral intention in order to
adopt social media in business (Ng, 2022). This study was to determine which factor will affect the behavioral
intention of young Malaysia entrepreneur to adopt the social media in business. The research is focus on factors
that affecting the adoption of social media among young entrepreneurs at Klang Valley. The previous study used
the quantitative research and the data obtained were analyzed using the statistical package for social science
(SPSS). All findings showed a significant positive relationship between all independent variables which are
perceived of use,perceived ease of use, and trust, and the dependent variable which are the behavioral intention
towards adoption of social media in business in this study accordingly.
The influence of perceived usefulness on the usage of TikTok.
Perceived usefulness (PU) comes from the Technology Acceptance Model (TAM) introduced by Davis (1989),
which explains that people are more likely to use a system if they believe it will improve their performance. For
small business owners, PU means that using TikTok helps them boost their marketing results like gaining more
customers, increasing visibility, and improving sales. When entrepreneurs feel that TikTok can help them grow
their business, they are more motivated to use it (Venkatesh & Davis, 2000). Zhang and Zhou (2021) also found
that PU plays a big role in encouraging small business owners to choose TikTok as a low-cost yet powerful
marketing tool.
The influence of perceived ease of use on the usage of TikTok.
Perceived ease of use (PEOU) refers to how simple a system is to operate (Davis, 1989). In TAM, PEOU is one
of the key elements that affects whether someone will accept new technology. Venkatesh and Davis (2000)
explained that the easier a system is to be used, the more people will see it as useful. TikTok is designed to be
user-friendly with easy-to-use features such as video recording, editing tools, and an intuitive layout, making it
attractive for small business owners. Chong et al. (2022) found that PEOU strongly affects social media use,
especially for small businesses that have limited time and resources. So, if entrepreneurs think TikTok is easy to
use, they’re more likely to use it in their marketing.
ICTMT 2025 | International Journal of Research and Innovation in Social Science (IJRISS)
ISSN: 2454-6186 | DOI: 10.47772/IJRISS
Special Issue | Volume IX Issue XXVIII November 2025
Page 303
www.rsisinternational.org
The influence of interactivity on the usage of TikTok.
TikTok allows small business owners to connect with their audience in real time, making it easier to engage with
customers and build trust. According to Lee and Kim (2021), interactivity helps increase customer satisfaction
and strengthens the relationship between the business and its followers. For entrepreneurs, this kind of
engagement is useful to maintain long-term relationships and attract more attention to their products or services
(Weng and Tareq,2022).
METHOD
Data was collected from the response given by the respondents through the questionnaire using simple random
sampling. Hence, the questionnaires are well organized and understandable. As such, the primary data for this
study are based on the data collection of the survey through the questionnaire that was distributed to the small
business entrepreneur in Melaka, Malaysia. 101 respondents involved in this study based on Hair et. al (2010)
sample size table. The criteria of the respondents for this study are the small business entrepreneurs in Melaka
regardless of their nature of business. The age range of respondents are 18 years old and above.
A self-administered survey was conducted in this study to collect data and relevant information from the
respondent in the sample population. Furthermore, this survey utilizes a set of questionnaires that are constructed
and adopted from several related journals and distributed via Google document. The questionnaire survey was
conducted using Google Forms where the respondents will have to complete the survey via google form. The
data then was analyzed based on the hypothesis and the objective of the research. The questionnaire uses the
Likert scale and each of the questions to be answered according to the scale listed below:1- Strongly Disagree;
2- Disagree; 3- Neutral; 4- Agree and 5- Strongly Agree.
The measurement method for the questionnaire was summated scale approach. The 5-point Likert scale was used
to determine the attitude, where the respondents reacted to each item with a different range of strength. Each
variable was measured by series of questions in this topic. Thus, respondents were required by circling one of
these respective scales based on the strength to indicate consent and disagreement. Besides, it is simple questions,
quick to answer, saves time, and straightforward to analyze. It is also a closes-ended questions which provide
more standardized answer and easier for the researcher to analyze the results. As for the secondary data, this
study will generate the secondary data sources from a journal, articles, internet websites, newspaper, and others
sources from the secondary data accordingly necessary. In this research study, the quantitative research
methodology that will be used is in terms of its questionnaire in order to obtain the primary data. Generally, the
questionnaire is a tool that gathers data and will provide answers as well as responses from respondents via
printed and online questions. In this study a set of questionnaires distributed consist of four part which are Section
A, Section B, Section C, and Section D.
Section A: Demographic Data
In section A, several demographic items were included in order to facilitate the analysis of the framework. The
personal data that include was age, gender, business type, estimate time using TikTok, and monthly income
generated.
Section B: The factors that influence the usage of TikTok as their marketing tools which consist of perceived
usefulness (PU), perceived ease of use (PEOU), and interactivity (INT).
In section B, the questionnaire was designed to measure the factors that influence entrepreneur to choose TikTok
as their platform towards their marketing tools based on the given related question. This section has three sub
sections which are perceived usefulness (PU), perceived ease of use (PEOU), and interactivity (INT).
Section C: The usage of TikTok (TU)
In section C, the questionnaire was designated to measure the effects of the factors on usage of TikTok.
ICTMT 2025 | International Journal of Research and Innovation in Social Science (IJRISS)
ISSN: 2454-6186 | DOI: 10.47772/IJRISS
Special Issue | Volume IX Issue XXVIII November 2025
Page 304
www.rsisinternational.org
The researcher used the quantitative data analysis method to examine the data in order to testify towards the
hypothesis. Consequently, there were several statistical techniques that were used in this study to analyze the
data collection. For instance, the descriptive analysis and multiple linear regression. The researcher used both
the Statistical Package for Social Science (SPSS) as the statistical tool for analyzing the collected data and the
Analysis of Moments Structure (AMOS) as the statistical tool for analyzing the collected data and explore the
statistical relationship among the items of each construct and between the construct (Bipul, Debobrota, Shompa,
Deepongkor, Saurav, 2024).
RESULTS AND DISCUSSION
To test the hypotheses of the study, the independent variable (perceived usefulness, perceived ease of use, and
interactivity) and dependent variable (the usage of TikTok) was analyzed in this section. The multiple regression
analysis using structural equation modelling were conducted to test H1, H2, and H3. Hence the analysis is shown
below. The goodness of fit indices for the structural model were evaluated to determine the adequacy of the
model in representing the observed data. The results are as follows:
• CHI-SQUARE/DF = 1.477 (ACCEPTABLE < 3)
• RMSEA = 0.069 (ACCEPTABLE < 0.08)
• CFI = 0.947 (ACCEPTABLE > 0.90)
• TLI = 0.937 (ACCEPTABLE > 0.90)
• P-VALUE = 0.000 (STATISTICALLY SIGNIFICANT)
Figure 4.1: Results of the Model Fit Indices of The Sem
Figure 4.1 shows the model fit indices of SEM results that demonstrate an acceptable and satisfactory model fit
with the empirical data. This indicate that the hypothesized model adequately represents the relationships among
the constructs accordingly.
Hypothesis Testing Results
The structural model was examined to access the significance of the direct relationship between the constructs.
ICTMT 2025 | International Journal of Research and Innovation in Social Science (IJRISS)
ISSN: 2454-6186 | DOI: 10.47772/IJRISS
Special Issue | Volume IX Issue XXVIII November 2025
Page 305
www.rsisinternational.org
The table below presents the standardized regression estimates, standard errors (S.E.), critical ratios (C.R.), p-
values, and significant status for each path.
Table 4.1: Regression Weights: (Group number 1 - Default model)
Estimate
S.E.
C.R.
P
Label
TU
<---
PU
.072
.252
.287
.774
Not significant
TU
<---
INT
.561
.336
1.671
.095
Not significant
TU
<---
PEOU
.461
.183
2.512
.012
Significant
Table 4.2: Hypothesis formulated
H1:
The perceived usefulness (PU) has no significant effect on the usage of TikTok (TU)
H2:
The perceived ease of use (PEOU) has significant effect on the usage of TikTok.(TU)
H3:
The interactivity (INT) has no significant effect on the usage of TikTok (TU)
Summary of Findings
The result shows that only H2 was supported which are the perceived ease of use with a p-value of 0.012. H1
and H3 which tested the effect of perceived usefulness and interactivity on TikTok usage were found not
significant.
CONCLUSION
The study reveals that TikTok ease of use has encourages the adoption and usage among small business
entrepreneurs in Malaysia. Meanwhile, other variables like perceived usefulness and interactivity did not
significantly influence the usage behaviour. TikTok usage does not directly enhance the business performance
has made it a crucial part to highlight the gap between the platform adoption and the strategic digital marketing
outcome accordingly. Hence, for entrepreneur, this study has outline that leveraging TikTok effectively requires
not just by usage but also by a thoughtful content planning and customer engagement. Therefore, entrepreneurs
need to provide interesting content that will attract viewers, which results in sales and boost business
performance. Lastly, for researcher and policymakers, the study offers insights into how social media tools are
being adopted and the things that need to improve in order to ensure the adoption leads to meaningful results
respectively.
Based on the finding of this study, several directions are recommended for future research. Firstly, researcher
may considerately moderate the variable such as content quality, time spent on TikTok, and digital literacy to
explore whether these factors strengthen or weaken the relationship between the TikTok usage and business
performance. For instance, entrepreneurs with higher digital skills may use the platform more strategically and
can potentially influence the business performance indirectly. Besides, a longitudinal research design is also
recommended as it can allow researchers to examine the long-term impact of TikTok consistency usage over
time. This can be captured through a cross-sectional survey and help to determine the early adoption whether it
leads to sustain the marketing benefit or otherwise.
Furthermore, future study also should adopt the qualitative methods such as in-depth interviews to gain the
insights into the way entrepreneurs use TikTok in real business contexts. This would indirectly uncover the
motivations, challenges, and content strategies that are not easily captured in quantitative method or survey.
Lastly, future research should consider using the quantifiable performance indicators such as sales growth
metrics and conversion rates to provide more reliable evidence of marketing effectiveness accordingly. These
approach indirectly would strengthen the understanding of social media’s role in SME marketing strategies and
finding across the industries and regions.
ICTMT 2025 | International Journal of Research and Innovation in Social Science (IJRISS)
ISSN: 2454-6186 | DOI: 10.47772/IJRISS
Special Issue | Volume IX Issue XXVIII November 2025
Page 306
www.rsisinternational.org
ACKNOWLEDGEMENT
We acknowledge the Faculty of Technology Management and Technopreneurship, Universiti Teknikal Malaysia
Melaka for supporting this research.
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