Technology Trends Driving Small Business in 2023
We read a list of affirmations as soon as we wake up in the morning, and then we start our day with a nice cup of coffee. Still, we can all agree that getting our phones and checking social media sites like Instagram or Facebook in the morning to see if anything unexpected happened while we were asleep has become the norm. And surprise what? These social media platforms now provide even our daily dose of news updates. Everyone, from news outlets to entertainment venues to businesses of all stripes, is likely monetizing on the cutting-edge high-end marketing capabilities these platforms offer as a result of this strong dependency on social media. Early in the COVID-19 pandemic, the pace of adoption of many of the following technologies is expected to quicken as investments in these tech trends start to pay off.
Machine learning and artificial intelligence have long been popular tech topics. AI is transforming the insurance sector by reducing insurer pain points and enhancing user experience. When operators become profitable, AI will also gain from this. For instance, technology company NVIDIA discovered that AI installations in retail outlets quickly paid for themselves by catching 98 percent of incidents of theft, fraud, or human error. IBM discovered that 35 percent of businesses are presently employing AI, with another 42 percent evaluating potential applications.
This might imply a variety of deployment scenarios this year, including voice assistants, customized consumer experiences, and chatbot services for online stores. In reality, increasing amounts of AI are already being used in CRM platforms, market research, and cybersecurity. According to Meredith Schmidt, executive vice president and general manager of small business and fundamentals at Salesforce, although artificial intelligence may seem like a technology solely used by huge corporations, small businesses will increasingly utilize it.
The 5G rollout will Ramp Up
The effects of 5G on business are enormous. Although 5G technology adoption started in 2019, the pandemic considerably delayed the domestic and international rollout. However, there are advantages to using 5G cellular technologies, including much faster data transmission speeds than 4G networks can offer. Huawei, a maker of mobile devices, claims that 5G also guarantees minimal or no latency or delay in data transport.
The cloud security company Barracuda discovered that small businesses were three times more likely to be attacked in cyberattacks than large corporations
Employee Monitoring Software Adoption
Employee monitoring software is also here to stay because hybrid and remote teams are common today. Although many firms have already started using these technologies, as the reality of managing remote workers becomes more apparent, more are likely to follow. Businesses' productivity, engagement, culture, two-way communication, and employee development have altered as a result of the remote work trend, and this has underlined the need for efficient technology to help businesses overcome these obstacles. Centralized HR information solutions are now essential to the mission.
Since the outbreak of the pandemic and the widespread adoption of work-from-home policies, the need for employee monitoring software has been on the rise. Global demand for such software increased 58 percent from March 2020 to September 2022 compared to 2019, according to research by Top10VPN. The demand for this software has only increased. In 2023, there is no sign that these patterns will change or slow down.
Tech-assisted Retail Shopping
Major retailers have accelerated the adoption of mobile and social media shopping to create a frictionless shopping experience in an effort to save costs and increase profitability. Small enterprises will start to follow suit as some of these technologies' price points drop to more manageable levels. QR codes, mobile terminals, and mobile wallets are now all part of mobile payments. Customers are becoming more accustomed to using these methods of payment, making them viable expenditures for small enterprises with constrained employees. Shoppers in congested businesses used to appreciate the convenience of using mobile payments to skip lengthy checkout queues. However, they are now nearly a given for the majority of retailers.
Superapps will Emerge as the Next Generation of Business Software
According to Gartner, the year 2023 will mark the beginning of the mainstream creation and use of what it refers to as superapps. These apps will make it possible to combine and unify several app services into a single, user-friendly interface. These apps can help small businesses by streamlining processes for both staff and vendors. Connections with third-party software are becoming more popular. Today, a business might utilize Google Drive to hold firm data, Monday.com to plan projects, Salesforce to manage clients, Outlook to deliver crucial documents, and Slack to connect teams. Unification helps to reduce and alleviate the threat posed by data silos, which is crucial.
New types of fraud have emerged as a result of the transition to new working practices, with malware developing in response to increased virtual communication and the growing domestic use of office equipment. However, businesses have not yet benefited from increased awareness of risk. Nearly 60 percent of small businesses believe it is improbable that they will be the target of a cyberattack, according to a BullGuard study. The third quarter of 2022 saw a 28 percent increase in global cyberattacks compared to the same period in 2021, according to cybersecurity firm Check Point. The total number of attacks in North America increased by 47 percent from the previous year, as per reports. Furthermore, the cloud security company Barracuda discovered that small businesses were three times more likely to be attacked in cyberattacks than large corporations.
Big Focus on Big Data
Business executives appear ready to invest in technology with a demonstrated return on investment despite concerns about a recession. Two-thirds of respondents to Nash Squared's Digital Leadership Report, which polled more than 1,800 digital leaders, feel that big data and analytics will give them a competitive edge over the coming year. About 64 percent of respondents polled thought their companies' use of big data gave them a competitive edge in the industry. Nearly a quarter of the respondents reported that their use of data resulted in actual revenue. Small firms can leverage improved best practices and understanding as big data technology and methodologies continue to advance to assist them strengthens their own market positioning.
Businesses will Place a Greater Emphasis on Automation
Although workplace automation has long been a term in small business circles, Popcart creator Omri Traub said owners are now seriously considering it as a means to save costs and address issues. Depending on the state of the economy in 2023, automation may encounter some challenges. Forrester, a research and consultancy firm, forecasts that data-driven automation will remain in vogue through 2023. But the adoption of some other forms of automation may be slowed by a lack of skills. But automation will continue to pay off for companies with the correct skill sets.
Influencer marketing seems to be on track for rapid expansion. The influencer marketing sector is expected to increase in value from $9.7 billion in 2020 to $22.2 billion in 2025, according to Statista's research team. Changes in consumer shopping behaviors, particularly among Gen Z consumers who increasingly use applications like TikTok, support this expansion.