Small business owners are embarking on a journey towards growth, propelled by the possibilities of generative artificial intelligence (AI). Recent survey findings by GoDaddy sheds light on the adoption of AI by small businesses: While some business owners have taken the plunge into the realm of AI, many remain cautious, and uncertain about how to harness its full potential. The results highlight a pressing demand for guidance in navigating the rapidly evolving technological landscape.
GoDaddy’s survey, engaging with 1,003 small businesses across the United States, found that 38% of respondents had already dabbled in the realm of generative AI tools, with motivations ranging from sheer curiosity (27%) to leveraging its potential for business purposes (11%).
Astonishingly, this leaves a significant majority of 62% who are yet to embark on this transformative journey.
The research reveals a notable generational divide concerning awareness and utilization of generative AI.
Among respondents belonging to Gen Z (18-24 years old), an impressive 63% have utilized generative AI, whether for personal or business purposes. In contrast, the older demographic of Baby Boomers (over 55 years old) displayed the lowest rate of adoption, with a staggering 83% stating that they have yet to try generative AI.
However, the survey also showcases that 57% of the respondents expressed a deep eagerness to grasp the intricacies of generative AI and unlock its potential to elevate their businesses. This indicates the need for comprehensive guidance on how to maximize the benefits of this rapidly evolving technology.
64% are experimenting with generative AI tools
A growing number of entrepreneurs are recognizing the immense potential of generative AI tools to simplify tasks and allow them to focus on the core aspects of managing their ventures. The survey reveals that most small businesses firmly believe in the capabilities of generative AI to enhance their productivity and operational efficiency.
Approximately 64% of respondents experimenting with AI tools are utilizing them for content generation purposes. This encompasses a wide range of activities, including marketing assistance and blog drafting. Moreover, 29% of entrepreneurs have embraced AI to enhance customer service, leveraging its capabilities to draft responses and provide timely support to their valued clientele.
The survey indicates that small business owners who have leveraged generative AI tools have experienced promising outcomes. A staggering 75% of those who utilized these tools reported excellent or very well-performing results, highlighting the transformative potential of generative AI in addressing their specific business needs. Only a mere 4% expressed dissatisfaction with the performance of the AI tools they employed.
Challenges faced by small business owners
When it comes to the challenges faced by these entrepreneurs in managing their businesses, several key areas emerge as particularly demanding. Attracting new customers, driving revenue growth, maintaining a healthy work-life balance, marketing their business effectively, and creating engaging content for social media and websites are among the most arduous tasks faced by respondents.
As small business owners continue to embrace the possibilities presented by generative AI, their endeavors to streamline operations and maximize productivity are becoming increasingly evident. By harnessing the power of AI, these entrepreneurs are poised to overcome the challenges that impede their growth, empowering them to focus on their core competencies and fuel the success of their businesses.
Source: GoDaddy
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