Drivers and Challenges of Tourism Small, Medium and Micro Enterprises (SMMEs) Technology Adoption

Digital transformation and innovation have become pivotal in enhancing the competitiveness and sustainability of the tourism sector. Small, Medium, and Micro Enterprises (SMMEs), which form the backbone of tourism destinations, particularly in South Africa, play a vital role in the sector's transformation and serve as a livelihood pillar, particularly in job creation and entrepreneurial development. Despite the increasing recognition of the need for digitalisation, many tourism SMMEs face significant barriers to effectively utilising digital technologies. As such, the study investigates the drivers for and challenges of technology adoption by SMMEs, using quantitative data gathered from tourism SMME owners through stratified, purposive and snowball sampling techniques. Descriptives and multivariate tests were performed. The study highlights the prominent digital tools adopted, as well as their benefits and challenges. Findings revealed significant differences among tourism SMMEs’ perceived benefits driving technology adoption and challenges of using digital technologies by level of experience. The insights offer valuable guidance to develop targeted strategies that foster innovation, resilience and sustainable growth within the tourism industry.