How AI can help your small business

AI is enabling a wealth of small business owners to streamline their operations, enhance customer experiences, and gain a competitive edge. According to a survey shared by Forbes, 41% of small businesses have taken advantage of AI capabilities to redirect their own time and employee time to priority work. From enhancing your customer communications to improving your cybersecurity, it’s essential to understand how AI can help your business grow.

Please note: This article provides guidance for information purposes only. It should not be relied upon wholly when making or taking important business decisions – always seek the services of an appropriately qualified AI-related professional.

Read our guide below to explore the different ways AI can benefit your business.

Generate and improve content

Time-saving content generation tools have become a highly valued addition from evolving artificial intelligence. In the form of ChatGPT and Microsoft Copilot, among many others, AI is proving to be invaluable for growing businesses by helping to generate high-quality content quickly and consistently. These tools are able to assist with creating a range of different content, including blog posts, social media updates, and even detailed articles, saving time and allowing business owners to focus on alternative tasks and pursue further business. Small business publication, Fit Small Business, shared how over 50% of marketers are now using generative AI to draft their content, whether it’s for social media, blog posts or website copy – generating well-researched and engaging content on various topics, whilst using a consistent tone of voice.

As artificial intelligence can also be used to analyse search engine trends and keywords, small businesses are able to optimise their content for better search engine ranking, leading to increased visibility and traffic, ultimately driving more sales and conversions.

Create images

Utilising AI to create visual content is experiencing an increase in popularity, with the global AI image generator market expected to grow to $917.4 million by 2030. Creating imagery to use within brand operations has been made easier by text-to-image generator tools like Adobe Firefly and Midjourney, which produce high-quality visuals based on specific inputs or themes, allowing businesses to generate custom graphics, promotional images, and even product designs. This not only reduces business costs but also ensures that small businesses can quickly and efficiently produce engaging visual content that resonates with their target audience.

Small businesses should be taking advantage of image generation tools to create visual content which can be used across e-commerce sites, social media, and advertising, ensuring cohesion across assets, as well as showcasing stunning artwork and videos.

Use for customer communications

AI can significantly enhance customer experiences by providing personalised and efficient services. Small businesses are able to tailor email or SMS communications using AI to include recommendations, offers and content based on the user’s preferences and behaviours, focusing on achieving higher customer engagement.

The creation of AI-powered chatbots and customer services provide round-the-clock support, ensuring that customers receive help whenever they need it. Zendesk’s CX Trends Report revealed that 51% of consumers actually prefer interacting with bots when they want immediate service, thanks to a Chatbots’ design to process and respond to customer queries in real-time. These tools are becoming essential for customer relationship management, as well as freeing up human resources for more complex tasks.

Analyse data

The use of artificial intelligence in data analytics means a vast amount of data is able to be processed and analysed on a huge scale, at a speed beyond human capability. Freelancing platform Upwork shared how AI can identify patterns, behaviours and trends which may not be visible to a human analyst, with nearly 90% of senior data leaders increasing investment in AI in 2024. As a small business, the ability to use AI-powered data analysis is an advantage which helps to gain a significant competitive edge through uncovering data insights more efficiently.

AI can track and analyse performance across different platforms, providing insights to help businesses understand what works and what doesn't, allowing them to adjust their strategies for better results. This ability to analyse user behaviour and preferences enables small businesses to tailor their offerings to meet the specific needs and interests of their audience – a personalised approach which can significantly enhance user engagement and satisfaction.

Perform market research

The ability to analyse your own company data stretches to the ability to analyse the market which your business operates within. Market research is fundamental to the growth of a small business, reported to provide the answers which companies will need for decision-making, and empowering them to base decisions on data.

AI can identify patterns and predict future trends, allowing small businesses to make data-driven decisions and tailor their strategies to meet the ever-evolving needs of their target audience. This can in turn provide a strategic advantage by helping businesses stay ahead of the competition and better serve their customers. Shopify shared how Crayon, an AI tool for competitive analysis, has the ability to compare a user’s data to information from competitor’s websites, social media, and job postings, which is a task that would usually be challenging and time-consuming to undertake manually.

Support marketing

Combining AI capabilities can lead to the perfect advertising and marketing solutions. AI-driven tools, such as Jasper AI, can personalise marketing campaigns by analysing customer data to deliver targeted content, ensuring that promotional messages shared match up with individual preferences. Through predictive analytics, small businesses can anticipate new market trends and consumer needs, allowing them to make proactive marketing strategies.

AI also has the ability to create engaging content, from product descriptions and social media posts to long-form blog entries, ensuring consistency and quality. An article revealed that personalised email campaigns can generate a 760% increase in revenue from segmented campaigns, lending to AI enhancing the effectiveness of small business marketing efforts.

Serve as human resources

AI can be used to streamline human resources and recruitment processes. Small businesses can use AI-powered tools to gain insights into employee performance and satisfaction, enabling them to make data-driven decisions that enhance productivity and retention. Recruiting software, Jobylon, shared how these insights are also ideal for feeding into learning and development, delivering personalised internal or upskilling programs.

Recruitment software, like Manatal and Workable, are designed to source and hire candidates at an efficient rate, acting as human resources, the recruiter or a head-hunter. Small businesses are able to automate tasks such as the screening of resumes, ensuring that only the most qualified candidates are shortlisted for interviews, saving valuable time and reducing administrative tasks. AI can help in the creation of unbiased job descriptions, target relevant job platforms and help identify skill gaps within the current workforce.

Manage social media

Small businesses can leverage AI for social media management, allowing them to maintain a strong online presence without needing to spend excessive time on the task. Influencer Marketing Hub shared that over half (55%) of businesses are using AI to help create their social media posts. Social media management tools, such as Buffer and Hootsuite, can also schedule posts, analyse engagement, and even generate content ideas based on trending topics and customer interests. Scheduling features are especially beneficial to those running small businesses as it enables them to take time off from working whilst maintaining their social presence.

Using AI-driven social media management allows small businesses to consistently engage with their audience and tailor their content to maximise reach and impact.

Enhance cybersecurity

GoTo revealed that small businesses are 350% more likely to receive social engineering attacks when compared with large companies – a threat which AI-powered tools are helping to reduce.

AI has the ability to monitor and analyse website traffic in real-time, identifying and responding to threats more quickly than traditional methods. By allowing AI to learn from previous breaches, tools can detect unusual patterns and potential breaches, providing a level of security which can react and adapt to cyber threats. Artificial intelligence is able to analyse transaction data to detect and prevent fraudulent activities, in addition to managing and monitoring access to sensitive information.

For advice on how to protect your small business from a cyber breach, read our dedicated article, here.

Manage projects

Small businesses can use AI for project management to enhance efficiency, accuracy, and collaboration by automating scheduling and tracking project progress in real-time. Using a platform to manage your project allows for resources to be allocated more effectively, in addition to facilitating better communication among team members through task management and assigning features, ensuring everyone on a project stays aligned with the goals. AI can also assist in risk management by analysing past project data to forecast potential challenges and suggest preventive measures.

Advanced tools like Motion and timehero are able to organise meetings and schedule calendars ensuring you have enough time centred around current projects. This integration of AI not only streamlines project workflows but also helps small businesses deliver projects on time and within budget.

For more small business advice visit our Help & guidance hub, or discover our cyber insurance solutions, here.