How Many Small Businesses Use AI? [A guide]

AI is becoming more and more prevalent across all aspects of our lives, and one of the most notable changes is how widespread AI’s usage within businesses has become, with more and more businesses beginning to incorporate AI into their operations in some way or form.

How Many Small Businesses Use AI? [A guide]

If you’re a small business owner, you might be beginning to wonder what sort of effect AI could have on your business, and whether it is something that more small businesses are beginning to look at and use. 

So, if you want to find out more about the small businesses using AI, as well as if AI is going to be suitable for your small business, then hopefully you should find all of the information you need in this guide! 

How Many Small Businesses Use AI? 

The exact number of small businesses that utilize AI in any capacity is unknown, however, the adoption of AI across small businesses has increased in the past few years.

A study conducted by The State of AI Marketing for Small Business which questioned 401 small businesses throughout the United States and Canada discovered that 31% of the small businesses questioned had begin to adopt AI tools in some shape or form, with many of the businesses stating that the use of AI allows to them to cover for the limited number of staff available, potential budget issues, or time constraints. 

But if these businesses find AI tools so useful, then why are more small businesses also adopting AI technology throughout their operations? 

Well, the biggest issue is ultimately that the amount of people with the initial expertise to get the AI technology integrated into the business’s operations are limited, and with budgets already being incredibly tight to allow for a larger profit margin, it means that harnessing AI for business use can be a challenge for some businesses. 

So, what benefits can AI actually bring to a small business? Is AI something that should be reserved for larger businesses and corporations, or can small businesses harness this technology too? We’ll discuss it all in the next section! 

What Can AI Do For A Small Business? 

Many people with small businesses will likely think that through using AI throughout their operations, they will lose touch with their customers and the business itself as the AI controls some of the operations, but many businesses who have gone on to adopt AI throughout their operations don’t see this as an issue, and the benefits that AI can have for a small business are incredible! 

AI can have many benefits for small businesses, including increased efficiency, improved accuracy and precision, and enhanced customer service. 

Some specific ways that small businesses can use AI include automating repetitive tasks, analyzing large amounts of data to identify trends and patterns, and using natural language processing to improve customer interactions. 

One of the biggest benefits that many small businesses that use AI users report is the growth in revenue they’re seeing since adopting AI.

82% of the small businesses who use AI reported that using AI has actually helped them to accelerate their leads, which in turn also helps to increase their revenue growth.

Whilst 92% of small business AI users say that by using AI, they’ve witnessed a decrease in the costs of their operations. It’s clear that the use of AI is a great way for small businesses to increase their profit margins, as well as deal with more customers too. 

So, by leveraging AI, small businesses can gain a competitive advantage, reduce costs, and improve their overall operations.

What Are The Downsides For Using AI As A Small Business?

So, using AI throughout your business operations as a small business owner sounds like a surefire way to increase your profits and to lower your costs, but what are the potential downsides and risks involved with utilizing AI?

One of the potential downsides of using AI as a small business is the cost of acquiring and implementing the technology. Depending on the specific AI tools and services that a small business uses, the costs can vary, and some small businesses may find the expense to be prohibitive.

How Many Small Businesses Use AI? [A guide]

There are a number of potential risks of using AI as a business, including the potential for negative impacts on the workforce, ethical concerns, and technical challenges. Some specific risks of using AI include:

Job Displacement

AI has the potential to automate certain tasks and processes, which could result in job losses for some workers.

Bias And Discrimination

AI systems can sometimes reflect the biases of the data and algorithms they are trained on, which can result in unfair or discriminatory outcomes.

Security And Privacy

The use of AI can generate and handle large amounts of sensitive data, which can pose risks to the security and privacy of both the business and its customers.

Technical Challenges

Implementing and maintaining AI systems can be complex and can require specialized knowledge and expertise.

Overall, it is important for businesses to carefully consider the potential risks of using AI and take steps to mitigate those risks.

This may involve implementing appropriate safeguards and controls, conducting regular assessments and audits, and providing training and support to workers who are affected by the use of AI.

Will More Small Businesses Adopt AI In The Future? 

It is likely that more small businesses will use AI in the future, as the technology continues to advance and become more accessible and affordable.

As small businesses increasingly recognize the potential benefits of using AI, such as increased efficiency and improved customer service, they may be more inclined to adopt AI in their operations.

In addition, the development of new AI tools and services that are specifically tailored for small businesses may make it easier for small businesses to use AI. 

Should You Use AI? 

So, if you’re a small business owner, and have been debating whether or not you want to integrate AI technology into your business operations to a certain level, then there are some things you should consider before making a decision, 

When deciding whether or not to use AI, a small business should carefully consider its specific needs and goals, as well as the costs and potential benefits of using AI.

It may be helpful for the business to conduct a thorough analysis of its operations to identify areas where AI could be most beneficial.

 In addition, the business should research the various AI tools and services that are available and evaluate which ones would be the best fit for its needs.

It may also be helpful to consult with experts in the field of AI to get advice and guidance on how to effectively implement AI in the business. 

Ultimately, the decision to use AI should be based on a careful consideration of the costs, benefits, and potential risks.


We hope you’ve found this guide on AI and small businesses useful, and maybe even your small business will integrate AI technology soon too!

1 thought on “How Many Small Businesses Use AI? [A guide]”

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