Small businesses in B.C. are less interested in integrating AI than those in other provinces, according to a recent Scotiabank survey.
The annual Path to Impact 2023 report, released Wednesday, shows nearly half of Canadian small businesses believe the integration of AI technology will help grow their businesses, with 44 per cent of respondents saying they’re interested in adopting it.
B.C. business owners, though, were the least likely to consider integration of AI technology (39 per cent), while those in Quebec are the most interested (48 per cent).
“In B.C., there's probably the greatest opportunity to look to technology and specifically integrating AI … Investing in digital tools, including AI, [can help businesses] find efficiencies and streamline operations, specifically to reach customers,” said Jascha Jabes, vice-president of small business at Scotiabank.
“One point that I would want to highlight is that the small businesses that are using digital are doing better.”
Nearly one in five (18 per cent) Canadian small business owners said they ramped up their digital capabilities over the past year, and that it helped them provide better service (61 per cent), boost revenue (58 per cent) and keep up with higher demand (53 per cent).
Among the small businesses that are enhancing digital capabilities, respondents said they used it for installing programs for virtual meetings (41 per cent), setting up IT to enable remote work (36 per cent), introducing robotics to streamline operations (36 per cent) and implementing cloud-based data platforms (35 per cent).
“Technology and digital are sometimes very high-level concepts, but when you think of it at the level of a small business, getting fast, efficient, safe payments, that makes a real difference,” said Jabes.
B.C. small business owners optimistic about the future
The report also shows that the majority of small businesses in B.C. (60 per cent) said they were optimistic about the future state of their businesses and 38 per cent said they are doing better than they were two years ago.
Supply chains issues, hiring and keeping up with demand were the three biggest challenges B.C. businesses reported facing.
“They've come through the pandemic … where there were severe restrictions, and we're now in an environment where Canada is growing, immigration is increasing. We have, in many ways, recovered as a country, as a province and as communities,” said Jabes.
He said there are actions business owners can take to help them further recover, including ensuring access to capital to help grow or sustain their businesses, investing in digital tools including AI to find efficiencies and streamlining operations and protecting their cash flow and financing options.
“Small businesses are the backbone of the Canadian economy, and in B.C. in particular. B.C. is one of our most entrepreneurial provinces. … A lot of people have been through challenges during the pandemic, and not every small business has survived. And today those that have survived are resilient and positioned for success.”
