Small business AI adoption grows, boosts revenue survey finds

WASHINGTON — A new survey from the Small Business & Entrepreneurship Council finds small businesses are increasing their use of digital tools, artificial intelligence and e-commerce platforms to improve operations and compete in the market.

The annual Small Business Technology Use Survey of more than 500 employers shows technology adoption has become a core part of business operations, with tools such as AI, digital marketing platforms and automated pricing systems widely used.

“Small business owners are embracing AI and digital tools at remarkable rates,” said Karen Kerrigan, president and CEO of the SBE Council.

The survey found 82% of small business employers use at least one AI tool, with the typical business using five across operations. About 77% said they are optimistic about AI’s impact, while 9% described themselves as pessimistic.

Business owners reported measurable gains from AI adoption. About 66% said revenue increased, including 22% reporting gains above 10%. Owners also reported saving a median of five hours per week, while employees saved 11.5 hours.

The survey found 93% of respondents plan to continue investing in AI over the next year, with 62% expecting to increase spending.

Digital platforms are also expanding market reach. About 74% of respondents said online platforms make it easier to compete with larger companies, while 37% added new sales channels in the past year and 47% plan to add more.

Common customer outreach methods include social media, word of mouth, email marketing, online advertising and content marketing.

Automated pricing tools are also gaining traction. The survey found that 35% of small businesses already use algorithmic pricing, and 90% of those users expect to increase their use in the next year. Among users, 97% reported revenue gains and 94% said the tools improved competitiveness.

Online marketplaces continue to play a role in sales strategies. About 30% of small businesses sell on Amazon, with those sellers reporting that about 20% of their revenue comes from the platform.

“AI and digital technologies are giving small businesses powerful tools to innovate, grow and compete,” Kerrigan said.

The survey of 517 small business employers was conducted Feb. 17-23, 2026, with a margin of error of plus or minus 4.4 percentage points.