As AI increases in popularity, here are some tips on how you can use it to empower your small business.

In today’s fast-paced and highly competitive business landscape, small businesses are increasingly looking for ways to gain a competitive edge. One of the most transformative tools at their disposal is artificial intelligence (AI). AI can empower local small businesses by offering personalized customer interactions, optimizing inventory management and providing data-driven insights for better decision-making. It enables these businesses to compete more effectively in their niche markets by leveraging technology typically associated with larger enterprises. 

Here are three practical uses AI can leverage to enhance your business: 

Artificial intelligence has become increasingly more accessible for small businesses, allowing them to use the technology to enhance their goods, services and communication. Photograph by Worawut Prasuwan via Canva

Data-driven decision-making 

AI excels at processing and analyzing vast amounts of data quickly and accurately. Small businesses can leverage the technology to collect, analyze and interpret data to make informed decisions. Prompting AI software like Viable with specific instructions and scenarios can enhance its ability to generate insights, helping businesses identify market trends, customer preferences and operational inefficiencies.

Improved inventory management 

Small businesses often struggle with inventory management. AI software like Cin7 can predict demand, optimize stock levels and even detect anomalies or trends that may affect inventory. By providing prompts that are detailed and convey a clear objective, businesses can guide AI to generate solutions for effective inventory management, ensuring they have the right products in stock and reducing the risk of overstocking or understocking. 

Marketing 

Businesses can utilize AI marketing tools, such as JasperAI,  by employing algorithms to analyze consumer behavior patterns, enabling personalized and targeted advertising campaigns. AI-powered chatbots can engage customers in real-time, helping and driving conversions. Additionally, predictive analytics can optimize marketing strategies by forecasting trends and identifying potential leads with greater accuracy. 

Things to keep in mind  

While AI offers numerous benefits for small businesses, there are challenges to overcome: 

• Cost: Implementing AI technology can be expensive. Small businesses may need to carefully assess their budget and prioritize AI solutions that offer the highest return on investment
  
• Data privacy: Responsibly handling customer data is critical. Small businesses need to comply with data privacy regulations, such as General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA), to avoid potential legal issues.
  
• Brand voice and tone: When developing social media campaigns using AI, providing prompts that define the brand’s voice and tone is crucial. These prompts must specify the desired persona and role desired to help AI generate content that resonates with the target audience. 

AI is no longer the exclusive domain of large corporations; small businesses can leverage AI to enhance their operations, gain a competitive edge and thrive in a rapidly evolving marketplace. By using AI to make data-driven decisions, enhance customer experiences, automate processes and more, small businesses can not only survive but also thrive in an increasingly digital world. Embracing AI is an investment in the future and small businesses that do so will be better positioned to grow and succeed in the long run.

Are you a small business owner in need of more support? Our Enterpreneurial Education team provides a variety of programs that offer professional development, expert advice and more. Schedule an Ask an Expert session with one of our experts today. If you need support specifically with AI, book an appointment with Khaliph Young of ZenZen Mobile, found under the “Marketing + Advertising” category.