It’s no secret that technology has the potential to transform the way we live, work, and connect with one another. In fact, with the rapid onset of innovations like Generative AI, in the form of tools like ChatGPT, the world is experiencing rapid digital growth.
In South Africa, innovation is seen everywhere, from cloud computing and blockchain to communication. For small business owners and entrepreneurs, the ubiquity of technology offers a way to achieve better efficiency and greater profits.
Today’s SMEs should focus on finding tech solutions that make running their business easier and allow them to tap into new revenue opportunities. But in this fast-moving environment, it can be difficult to know where to start.
To help guide this process, here are five trends every SME should pay attention to this year:
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Solid AI strategies are a must
Since the widespread adoption of GenAI tools, there has been time for governments and business leaders to consider the pros and cons of its utilization. Thus, it’s likely that more and more companies will create AI policies, frameworks, guidelines, and governance to guide how and when AI is used in their operations.
For SMEs, laying the groundwork for this now will pay off later. Set well-considered AI adoption and risk parameters to align business-wide policy and strategy.
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Sustainable operations will be front and center
The market for climate-tech solutions is expected to become more competitive – as consumers look to buy from businesses that prioritize more sustainable practices, like reducing their carbon emissions.
Both entrepreneurs working on climate-tech solutions and SMEs aiming to adopt sustainable tech to run their business more responsibly will be an important area of focus and opportunity.
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Customer experiences need to level up
Tech-assisted customer service is growing quickly, raising consumer expectations. In 2024, organizations will invest heavily in their customer experience, from AI chatbots to advanced data analytics.
To beat competitors and win consumer loyalty, SMEs should prioritize customer experience by investing in customer-service technology. If they don’t scale up, they may lose out.
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A greater need for ‘digitally minded’ people
Organizations require more sophisticated tech strategies than ever before. This year, IT will matter even more, for keeping up with tech changes, promoting cybersecurity, enabling hybrid working, and choosing software that affects business income.
But SMEs don’t always have a dedicated IT department – usually that role is outsourced, or it falls on the owner. Moving forward, SMEs should consider hiring digitally minded people who can advise on business-enhancing initiatives.
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Real-time data will continue to prove its worth
At FedEx, we’ve been advocates for the value of owning and leveraging real-time data for decades. It allows businesses to assess delivery patterns and consumer trends, track crucial and time-sensitive goods, and plan for adverse weather.
With the adoption of GenAI, the power of real-time data is becoming more widely known. For SMEs, it can improve business solution speed, accuracy, and cost-effectiveness, by offering crucial customer insights while improving the customer experience.
Tech changes swiftly. Crucially, SMEs need to move away from a one-size-fits-all approach. No business is the same, and strategies need to be individual and tailored. Thus, when it comes to technology, it’s good to prioritize these three major areas:
- Find the right technology to adopt – with so much out there, pinpointing the solutions that can deliver the most value is key.
- Reduce the risk of being left behind by digital advancements – this can seriously impact growth and business longevity.
- Invest in the right business infrastructure – by creating a solid foundation for long-term tech integration, including IT support, software, and skilled employees.
SMEs may need to update their software or tactics to succeed and scale in 2024. If your SME’s tech and digitalization have advanced, don’t make hasty decisions or throw out working tech stacks.
Consider modest tweaks or adding one new tool that adds the most value. Every solid business strategy in 2024 will include technology, whether you’re a tech leader or beginning from scratch.
