Bridging the Digital Divide: How SMBs Can Rival Giants with Low- and No-Code Tools

This dissertation explores the application of AI-powered automation and low- and no-code tools, specifically focusing on Integrated Platform as a Service (iPaaS) solutions, to empower Small and Medium-sized Businesses (SMBs) in the digital marketplace. In a landscape heavily skewed towards large enterprises with substantial resources and access to advanced technologies, SMBs face considerable challenges in achieving operational efficiency, scalability, and customer engagement. This research investigates how tools like Make.com, Zapier, Shopify, and ActiveCampaign, categorized as iPaaS platforms, can democratize access to these capabilities, allowing SMBs to effectively compete with larger competitors. Using PeponiXL as a practical case study, the thesis illustrates the implementation of automation workflows and AI-driven solutions aimed at improving marketing performance, order processing, and operational efficiency. The case study demonstrates the integration of VidaXL's product catalog and Shopify through automated processes powered by iPaaS tools, showcasing the feasibility of cost-effective scaling for SMBs. The research utilizes the Technology Acceptance Model (TAM) and the Resource-Based View (RBV) to establish the theoretical foundation, examining how perceived ease of use and usefulness influence the adoption of these technologies. Key performance metrics such as Return on Investment (ROI), Customer Acquisition Cost (CAC), Customer Lifetime Value (CLV), and operational efficiency were analyzed to assess the success of the implementation. Findings indicate that the deployment of iPaaS tools significantly enhanced operational efficiency, reduced manual workloads, and enabled personalized customer engagement, resulting in a 45% increase in ROI and a 30% reduction in CAC. The hybrid approach of combining low-code platforms with custom scripting provided the necessary scalability to manage increased demand effectively, highlighting the value of iPaaS in fostering digital transformation for SMBs. The study contributes to the academic discourse by addressing the research gap related to the adoption of AI-powered automation in SMBs and by offering practical insights into how small enterprises can leverage technology to level the competitive playing field. Recommendations are provided for SMBs looking to adopt similar approaches, as well as suggestions for future research into the broader implications of iPaaS for digital transformation across various industries.