How can SMEs harness AI to boost their growth?

AI is perfectly positioned to enhance operational efficiency and enable businesses to grow. So why aren't more SMEs taking advantage of this technology?

Last week the House of Lords released a report following a 10-month inquiry into the current state and future potential of AI in the UK. Offering a list of recommendations to ensure the UK remains a leading innovation hub, the paper reflected the Government's proactive efforts to understand and embrace the benefits arising from artificial intelligence.

Reading the report, one could clearly see two underlying themes when it came to private sector uptake of AI - accessibility and adoption. By its nature, artificial intelligence delivers efficient solutions, cutting down the time traditionally required for menial tasks and removing unnecessary human input. This can lead to huge savings in terms of both time and resources.

Understanding the advantages offered by today's innovative and evolving technologies, it makes sense for SMEs to be incorporating AI into their operations. The question beckons - are small and scaling businesses taking full advantage of artificial intelligence?

To answer this question, it is important to understand how AI is currently being used in the day-to-day running of a business. In reality, AI adoption is much more commonplace than would be initially perceived. Take, for instance, basic communication software such as emails. Spam filters use a specific algorithm to identify which inbound emails are most likely to be an online scam or contain links to malware software. It may seem simple, but this form of AI technology ensures the efficient management of email communication most relevant to the business.

With the global AI market set to grow from $2.5bn now to a staggering $60bn by 2025, it is important for business leaders to be aware of the next generation AI innovation, and to understand how it can be used to meet their long-term revenue and growth targets.

Some of the most exciting developments in the AI space can be seen in the marketing and competitor analysis sectors. Harnessing software that monitors market trends on a reactive basis, AI can be used to use track how competitor companies are using communication channels such as social media to engage with their audiences, identifying changes in messaging and notable campaigns.

Furthermore, sales teams who often have to manually sift through data sets can also now benefit from AI, with new lead generation services analysing vast quantities of CRM systems, email contacts and social media profiles to provide a hyper-relevant list of people most likely to use a business' services or products. This level of automation and predictive analytics not only saves time - it also provides companies with better insights that can improve outcomes.

These simple yet innovative solutions can have a profound impact on the way businesses are able to generate sales and identify issues. Importantly, while it can be difficult for SMEs to independently develop such AI solutions, there are now dedicated companies that can deliver third-party solutions through the SaaS model. These companies play an important role in enhancing the accessibility of new technological solutions, offering tailored and cost-effective solutions for those looking to trial AI in different ways.

Of all things to consider however, when it comes to AI adoption, SMEs must acknowledge from the outset that artificial intelligence is not an end in itself, but a way of addressing a bigger issue. Simply relying on adoption to increase revenue will fail to deliver long-term results. Instead, SMEs must see AI as a tool that forms part of a broader strategy. This will ensure its effective application, and improve the chances of a small business achieving its long-term growth potential.

Salvatore Minetti is CEO and founder Prospex