From asking Alexa and Siri to play your favorite song to self-serve robots serving humans in the cafe. There are numerous benefits of implementing AI. Clearly, artificial intelligence has become an integral part of our daily lives in no time. Many industries all around the world successfully adopted AI solutions and are flourishing because of them.
In fact, as per Grand View Research, the market size of global artificial intelligence was valued at USD 93.5 billion in 2021. Along with this, it is estimated to grow at a staggering CAGR of 38.1% from 2022 to 2030.
Adaptation of Artificial Intelligence in Business
In the contemporary world, AI is becoming a new savior that is making the life of many business owners easier and simpler. There have been multiple studies and research that have proven that AI is getting widely accepted all around the globe. To substantiate, let us have a look at some of the exceptional facts about the success of AI.
- The number of businesses adopting artificial intelligence significantly grew by 270% in the past 4 years.
- Every 3 in 4 businesses state that it is crucial for them to trust AI’s analysis and results.
- 91% of top businesses have already ongoing investments in AI.
To continue, these facts present substantial evidence that AI is proving itself to be one of the most effective technological advancements for businesses all around the world. Along with this, these stats also highlight the need why your business needs the implementation of different types of AI.
Even if these states don't excite you enough about the benefits of implementing AI, read along to discover 8 reasons to implement Artificial Intelligence in Business.
8 Extraordinary Benefits of Implementing AI in Businesses
Probing further, talking in-depth, this blog will effectively highlight the significant benefits of AI that can assist your business in reaching new heights of success.
1. Enhanced Productivity and Efficiency
We all are very well aware of the fact that AI when used in businesses, liberates employees from mundane and recurring tasks. This highlights the biggest perk of AI that it assists you in getting rid of repetitive tasks which allows you to use your energy and productivity in more significant tasks.
To substantiate, as per the study by Accenture, AI has the capability to enhance productivity by almost 40% or even more for some businesses. This automation of AI can be used in various departments of your business such as sales, IT, and human resources.
To continue, enhancing the efficiency and productivity of the employees will assist you in increasing the overall efficiency of the company as well. Along with this, it will also assist in cutting down the extra costs you spend on your employees for performing repetitive tasks. Further, AI can also assist you in enhancing the overall profit margin of your company as well.
2. Improved Monitoring
In order to succeed in any business, it is essential for you to monitor the growth and performance of your business. That being the case, artificial intelligence can be a progressive and precise approach to accomplishing that. It can assist you in keeping a track of the efficiency of various operational processes using relevant key performance indicators.
To continue, monitoring effectively will assist your business in getting some strong insights describing the strengths and weaknesses. Moreover, we are aware of the fact that nowadays insights are becoming one of the strongest assets of businesses that can help in enhancing their overall performance.
To elaborate, based on the collected insights, you can make more informed decisions about your future investments as well. This can assist you in gaining a competitive edge over all other competitors.
Moreover, another reason AI monitoring will be more efficient is that it reduces the number of errors that can occur while monitoring and calculating manually. This is not only in the case of monitoring if we talk about AI overall as well but it also reduces the number of errors that can occur through various operations of a business. This can substantially assist in making your business more efficient and enhances its overall growth.
3. Intensified Future Forecasting
With a magnified competition among businesses, leading enterprises are not limiting themselves to their historic data to make future decisions. They are using AI along with strong insights of external data which will assist them in gaining predictive analysis of possible future trends.
For example, let’s assume you have a cloth manufacturing company, and you used AI software to analyze which item of clothing you sold the most in a particular year. Along with this, you also utilized AI software to understand the needs and demands of customers using external data such as peoples’ searches or recent trends on social media.
Through the analyzed data of AI, you can easily predict what items you will sell the most in the future. Furthermore, using the same data, you will restock the same items to avoid the shortage in the future and to make the most profit in your business.
Along with this, AI can also be utilized to identify the items that are no longer required in the stock and you can remove the items to save up the extra expense cost.
In this way, AI will assist businesses in enhancing their profits by forecasting the future demands of the people by analyzing the previous purchase history and past behavior of clients. This will assist in increasing the overall revenue and growth of your business.
4. Better Management of Talent
It is an undeniable fact that managing talents are not an easy task. In human resource management, you have to take care of your teams’ engagement, retention, and recruiting of new talents as well. In taking care of existing talent and recruiting new ones, artificial intelligence can be one of the most efficient tools.
Firstly, in the case of existing employees, AI can keep a constant track of their performance by analyzing their work and progress. This will assist employers in keeping a track of their team and making sure that every employee is delivering the desired output. Along with this, AI software can also assist in keeping employees engaged by freeing them from repetitive tasks and encouraging them to utilize their time for more productive tasks. It will assist in keeping them retained and encourage them to constantly keep learning something new.
Secondly, in the case of hiring new employees, you often need to go through hundreds of applications in order to find the right fit. This takes up a lot of your time, effort, and money.
However, using AI-based software can automatically segregate the candidates that match the required qualification and skills by analyzing their resumes. This saves up a lot for the recruiter. To substantiate, as per stats, employers using AI in the recruitment process found it to be most helpful with Sourcing Candidates (58%), Screening Candidates (56%) and Nurturing Candidates (55%)
Along with this, it also increases the efficiency of your recruitment process which can assist your business in managing your talent more effectively and efficiently.
5. Increased customer satisfaction
Customers are one of the most crucial pillars on which the success of a business is dependent. Hence, taking care of customers’ needs and demands becomes one of your most vital responsibilities.
The reason is fulfilling the demands of customers will lead to customer satisfaction which will further lead to customer retention. Furthermore, the high retention rate of the customers will contribute to increasing the overall revenue and growth of the company.
6. Personalized Recommendations
As per a report by Accenture, 91% of consumers state that they are more likely to purchase from brands that provide offers and recommendations that are personalized for them. This fact clearly states that today consumers want personal recommendations when purchasing from different businesses.
That being the case, artificial intelligence can be used to analyze and record the previous analyses of customer history. After analyzing the data, artificial intelligence can effectively create personalized recommendations for repeated visitors.
Hence, this way, customers will be more engaged and interested in shopping from your business. This will assist in acquiring new customers and retaining existing ones which will further assist in enhancing the overall growth of the company.
7. 24*7 Customer Service
One of the biggest benefits of machines, they never get tired. Similar is the case of artificial intelligence. Introduction of chatbots assists businesses in being available for their customers now 24*7.
This enables instant support to the customers and this assists in keeping them engaged and satisfied. In fact, as per the report, live bot chat has higher customer satisfaction than any other customer support channel because of its speed and conversational nature.
8. AI-Powered Assistants
With so many options available in the market, people often get confused about what to purchase and what not to. This is where AI-powered assistants have been a really good support. An AI-powered assistant helps you in giving suggestions and can guide your customers through their whole purchase journey.
AI-powered assistants are just like virtual sales assistants who will assist in making customer virtual shopping experiences life-like and more efficient.
All these features will assist in enhancing the efficiency of customer service of a business, which can further assist in enhancing customer satisfaction. This will altogether benefit the company by enhancing its overall revenue.
To encapsulate, all the above points are pretty evident justify benefits of implementing AI in businesses. However, these are just a few drops in the ocean of benefits that artificial intelligence will bring in the future. Hence, it is important for businesses to get their hands on AI as soon as possible in order to effectively use it for their growth.