Small business AI use is rising, Census report shows – Marketplace

Generative AI has been a huge help for a growing number of business owners. While large businesses tend to lead the pack in artificial intelligence adoption, very small businesses — those with just 1 to 4 employees — have also been using AI tools at relatively high rates, according to new analysis by the Census Bureau.

Antonette Vanasek runs a small insurance agency in Chico, California. Her staff? Herself, two employees and AI. 

“Crafting emails, I can get them out quicker. When people have specific questions I can give them almost like a treatise within the email about very specific things,” she said.

She’s also created chatbots to field questions about health insurance.

“Instead of asking HR for that, the bot could answer that as well, specific to the company’s group health plan, like co pays deductibles. How much does it cost to see a specialist?” Vanasek said.

She’s gotten so good at AI, her insurance clients are asking her to help them create AI tools. 

In Kansas City, Vanessa Jupe said her business, Leva, uses AI to support new mothers at work. “All of our content within our platform is delivered via AI,” she said.

Jupe said AI helps her offer more personalized content at a larger scale. 

“So if you’re going to be formula feeding, breastfeeding, if you’re going back to work, all of the content is really personalized to you,” she said.

Roughly 1 in 4 small businesses are implementing Generative AI as a business tool, according to payroll firm Gusto. Nich Tremper is an economist there. 

“Everybody has parts of their job that just have to happen, right? But might not be the thing that they were like actually hired to do, and Gen AI allows more time for doing the thing that the employee was hired to do,” he said.

And Amy Reid with the Texas Gulf Coast Small Business Development Center said she’s expecting to see more use of AI, especially for really small firms. 

“I think we’re just going to see them finding that they’re creating better prompts, so that they’re getting better outputs and using AI on a more regular basis instead of, like, an, ‘Oh yeah I can use AI,’” she said. 

As business owners get more educated on AI, Reid said, they’re getting past their skepticism and are closer to embracing these tools.