Small Businesses Adopting AI Expect to Thrive Against Competitors
New study from GoDaddy finds 75% of entrepreneurs believe generative AI gives them an edge
Originally published on GoDaddy Newsroom
TEMPE, Ariz., April 3, 2024 /3BL/ -- New research from GoDaddy (NYSE: GDDY) shows that entrepreneurs are quickly embracing generative AI (GenAI) and increasingly using the rapidly evolving technology to run and grow their small businesses.
GoDaddy's January survey of over 500 U.S. small business owners found that they expect GenAI to give them a competitive edge over other small or similar-sized businesses (75%) and anticipate it will also allow them to better compete with larger businesses (68%).
GenAI usage among entrepreneurs is on the rise, with 73% of survey respondents indicating they have tried the technology, and 26% of those using it for business purposes. This is a drastic increase from GoDaddy's inaugural survey of U.S. small businesses on GenAI*, published in May 2023, which revealed only 38% of respondents had used GenAI at that time. Of those, only 11% had tried applying GenAI to their business.
In GoDaddy's 2024 survey, small business operators' satisfaction and consistency using GenAI for their business remained consistently high (78%) - the same as in 2023 (78%).
Small businesses are also experimenting with how they're using GenAI tools. Outside of content creation or marketing, entrepreneurs are increasingly leveraging it to help boost sales for their business (44% in 2024 vs 22% in 2023).
"We're at the beginning of the AI revolution and small businesses are already taking advantage of the technology, which is really unprecedented," said Amy Jennette, senior director of marketing at GoDaddy. "Small businesses usually lag big business in getting the most out of cutting-edge tech, but with easy-to-use GenAI and solutions like GoDaddy Airo, the playing field is finally leveling out."
Much has been written about concerns around AI technology, however GoDaddy's survey found that apprehension is low among small business owners. Only 1 in 10 respondents believed GenAI could do their job better than them. Similarly, 89% said they are not worried about negative consequences associated with using AI technology for their business – a rise from May 2023 (83%).
Looking ahead, entrepreneurs are feeling optimistic about the future, with 47% sharing enthusiasm about their business overall.
"Small business owners expect to save more than $4,000 and 300 hours of work this year using generative AI," Jennette said. "The best part about this is we're at the tip of the iceberg when it comes to what's possible with GenAI."
On Feb. 26, GoDaddy unveiled its AI-powered solution that makes leveraging the power of AI easy for anyone. In mere minutes, GoDaddy Airo™ can help entrepreneurs start a business or take their existing one to the next level, with no tech skills required, by automatically generating a logo, website, email, payment capabilities, social posts and more.
To learn more about GoDaddy Airo™, visit www.godaddy.com/airo.
To explore the survey results, visit www.godaddy.com/ventureforward/spring-2024-generative-ai-survey-results.
About GoDaddy
GoDaddy helps millions of entrepreneurs globally start, grow and scale their businesses. People come to GoDaddy to name their idea, build a professional website, attract customers, sell their products and services and accept payments online and in-person. GoDaddy's easy-to-use tools help small business owners manage everything in one place and its expert guides are available to provide assistance 24/7. To learn more about the company, visit www.GoDaddy.com.
*January 2024 (Total Surveyed: 504) and April 2023 (Total Surveyed: 1,003)
Source: GoDaddy Inc.
