Can your business do more with AI?

As artificial intelligence (AI) continues to dominate headlines. Many business owners find themselves at a crossroads. On one hand, the suggested benefits of AI are compelling. These include automation, enhanced customer service, help with writing and editing documents, predictive analytics and the overall ability to make better decisions.

On the other, integrating a new and advanced technology into your business can be daunting. What if it goes wrong? Or behaves in a way that’s unpredictable? Despite these fears, there are plenty of small businesses using AI to make them sharper, more responsive, more efficient and ultimately more profitable. They’re doing it in both small and large ways. Taking on AI as a tool in a cautious and careful manner. So how can you do the same?

Understanding what can be done

Hesitancy around AI stems from several reasonable concerns. Chief amongst them perceived complexity and lack of expertise. Many business owners fear that AI is too complex for them to manage. After all, large corporations often have their own in-house IT teams and deep pockets. While small businesses usually operate with limited technical expertise.

So the idea of implementing and maintaining AI can seem overwhelming. There is also a common perception that AI is expensive. From the initial investment in software to the ongoing costs of training staff and maintaining the system. Owners may worry that the financial burden may outweigh the benefits.

They also worry about unforeseen risks. Whether it's fear of data breaches, the potential for AI to malfunction, or concerns about becoming too dependent on a technology they don’t fully understand. Many small business owners are wary of the unknown.

Sometimes small business owners are also sceptical about whether the technology can actually deliver tangible benefits for their specific needs. In such cases, often people haven’t used it themselves. Or they’ve only seen applications that don’t seem to lend themselves to their market segment.

Are small businesses embracing AI?

Despite these concerns, AI adoption among small businesses is slowly gaining momentum. Recent surveys by Deloitte, Gartner and Salesforce all show a growing number of small businesses are exploring AI-powered tools. Even if they aren't fully integrating them into their core operations just yet.

One area where AI is making significant inroads is in customer service. AI-driven chatbots, for instance, are becoming increasingly popular among small businesses as a cost-effective way to handle customer inquiries. These chatbots can operate 24/7, providing instant responses to common questions and freeing up human staff to focus on more complex tasks.

Easily accessible tools such as Microsoft Copilot can be used to automate documents and editing for things like proposals, business plans and contracts. As well as meeting agendas and reports.

Another example is in marketing. AI tools that analyse customer data to predict purchasing behaviour or segment audiences for targeted campaigns are helping small businesses maximise their marketing budgets. These tools offer insights that were previously accessible only to larger companies with dedicated data analysts.

However, despite these advancements, the full-scale integration of AI into small business operations is still not widespread. For many small businesses, AI remains a tool they are experimenting with rather than something they rely on day-to-day.

Overcoming hesitancy: practical steps

So, how can small businesses overcome their hesitancy and start leveraging AI effectively? Start small and scale gradually. One of the best ways to introduce AI into your business is with small, manageable projects.

For example, a small retail business might begin by using an AI-powered inventory management system to keep track of stock levels and predict reordering needs. Once comfortable with this, they can explore more complex AI applications.

Choose user-friendly AI tools. Today, many AI solutions are designed with non-technical users in mind. Platforms like Shopify, for instance. They offer AI-powered tools that integrate seamlessly into existing operations with minimal setup. Business owners should look for AI solutions that are intuitive and easy to use without requiring extensive technical knowledge.

To alleviate concerns about cost, focus on AI applications that offer a clear return on investment (ROI). For example, using AI to automate routine tasks like invoicing or customer follow-ups can save time and reduce costs. Providing immediate benefits that justify the initial investment.

AI doesn’t have to replace existing systems or jobs; it can complement them. Small businesses should view AI as a tool to enhance their current operations. Rather than something that will upend their way of doing business. For instance, AI can be used to augment human decision-making. Providing data-driven insights that help business owners make more informed choices.

AI is a tool, not a trend

While AI is trending, it’s increasingly clear that it’s not just a passing fad. For small businesses, it offers practical solutions to everyday challenges. From improving customer service and streamlining operations to enhancing marketing efforts. However, it’s essential to approach AI with a clear strategy. Starting with small, high-impact projects and gradually scaling up as the business grows more comfortable with the technology.

For those businesses still hesitant to embrace AI, it’s worth considering that the risks of inaction might outweigh the risks of adoption. As more companies, begin to integrate AI into their operations, those that don’t may find themselves at a competitive disadvantage.

To find out more about AI and how it can complement your business. Book a free call with one of our digital advisors for free one-to-one advice tailored to your business.