How AI is Driving Growth and Innovation for Online/Offline Businesses

The market size of Artificial Intelligence is expected to grow to US $184 Billion in 2024. With compound annual growth rate (CAGR 2024-2030) of 29%, And by 2030 the market volume will be around $1 Trillion. So, you can imagine the type of impact we are going to have in all of our industries. AI in business growth as all the tech giants are researching in the sector of AI investing millions of dollars and adopting it openly such as automotive, healthcare, retail, finance and manufacturing.

Well, let’s take a look in details of how AI is effecting the businesses in present and will effect in future.

Impact of AI on Business:

Businesses are effected somewhere Artificial Intelligence have created jobs. However, in some areas the jobs have been taken by the AI.

Have a look on how AI is helping businesses in business growth in different industries. And how they have been effected by it.

1. Empower Your Workforce: It will free employees from repetitive tasks, allowing them to focus on innovation, problem-solving, and strategic initiatives.
2. Data-Driven Decisions: Gain valuable insights from real-time data analysis to make informed choices and optimize performance.
3. The Customer Touch: Personalize interactions and tailor recommendations, creating a frictionless and engaging customer experience.
4. Streamline and Save: Identify areas for efficiency and optimize processes to reduce costs and improve your bottom line.
5. Fraud Fighters: Leverage technology to uncover suspicious patterns and anomalies, safeguarding your business from financial threats.
6. Predict and Prevent: Implement predictive maintenance to catch potential issues before they snowball, minimizing downtime and maximizing production.
7. Stay Ahead of the Curve: Uncover emerging trends and hidden opportunities, giving your business a competitive edge in the marketplace.
8. Fortify Your Defenses: Enhance cybersecurity through advanced threat detection and rapid response capabilities.
9. Innovation Accelerator: Develop and launch new products and services at a faster pace, fostering continuous growth.

Ok why AI? Consider the data market of today’s world. 328.77 million terabytes of data are uploaded on internet on daily basis. Which is too large to be overseen by humans which is why all the large companies are using a for their data analysis. Cause it can think and make decisions faster than humans.

Some Stats of AI Around Businesses

• Over half (54%) of business leaders report that AI has already boosted productivity within their organizations.
• More than half (61%) of executives with an innovation strategy in place believe AI has uncovered hidden opportunities within their data.
• Eight out of ten businesses (80%) believe that artificial intelligence has helped create new jobs.
• Over seven in ten executives (72%) say AI has freed up their employees to focus on more significant work.
• A significant portion (64%) of B2B marketers consider AI a valuable tool for their marketing and sales strategies.
• By 2023, businesses that leverage artificial intelligence are expected to see a customer satisfaction increase of up to 25%.
• Startups that utilized artificial intelligence received a staggering $7.4 billion in funding during the second quarter of 2019.
• The AI-powered recommendation function used by Netflix is estimated to be worth $1 billion annually.
• Understanding their customers better is the top success story of implementing AI for 31% of marketers.
• Businesses that use chatbots have witnessed a sales increase of around 67%.
• Adopting AI in recruitment has led to a 75% reduction in resume screening costs, a 4% rise in revenue per employee, and a 35% decrease in employee turnover.

Here is the impact of AI on several big Industrial sectors.

AI in Foodservice Industry:

• Market Boom: The global AI in food market was valued at $142.3 billion in 2023 and is projected to grow further (Dev Technosys, devtechnosys.com).
• Efficiency Gains: AI streamlines operations, predicting order volumes and optimizing prep sequences to reduce wait times (BlueCart, bluecart.com).
• Personalized Dining: AI tailors the customer experience, understanding trends, predicting preferences, and suggesting customized recommendations (clickworker.com).
• AI-powered Quality Control: In food production, AI detects defects with greater accuracy and speed than manual sorting (Appinventiv, appinventiv.com).
• Data-driven Innovation: AI analyzes vast datasets to identify consumer trends and predict new product reception (Appinventiv, appinventiv.com).

AI in Mining Industry:

• AI spending in mining is booming: Investments are expected to hit $218 million globally by 2024, reflecting a substantial increase from $76 million in 2019 (CAGR of 23.4%) [source: Mining Technology].
• AI for smarter exploration: By analyzing vast datasets, AI can pinpoint areas with a higher likelihood of containing valuable minerals, leading to more targeted exploration efforts (source: Mine: NRI Digital).
• AI improves mine safety: AI-powered systems can analyze data 18x faster than traditional methods, enabling real-time risk assessment and accident prevention (source: Deloitte).
• AI for a greener future: AI-powered ventilation systems can adjust based on real-time data, reducing energy consumption in mines (source: Deloitte).
• Mining giants adopting AI: BHP, Rio Tinto, and Freeport-McMoRan are at the forefront of incorporating AI into their operations (source: Mining Technology).

AI in Banking:

• Danske Bank saw a 50% increase in fraud detection and a 60% reduction in false positives using AI (Source: Appinventiv, AI in Banking)
• AI-powered chatbots offer 24/7 support, potentially improving customer satisfaction in banking (Source: Star Knowledge, AI in Banking).

AI in Accounting Industry:

• 70% automation: AI to automate 70% of repetitive accounting tasks by 2025 (AICPAs & WIPO, 2020).
• $13.2 billion market: Global AI in accounting market to reach $13.2 billion by 2025 (Grand View Research, 2022).
• 73% adoption plan: 73% of accounting firms plan to invest in AI within the next few years (PwC, 2020).
• AI’s accounting tasks: Data entry, bookkeeping, fraud detection, financial reporting (Forbes, 2023).
• Improved accuracy/efficiency: AI accounting software improves accuracy and efficiency (ACCA, 2022).

AI in Construction Industry:

• Cost Reduction: AI and robotics, combined with IoT, could reduce building costs by up to 20% (Trimble: [source about AI in construction ON Trimble constructible.trimble.com]).
• Improved Safety: AI can analyze footage to identify safety hazards, preventing accidents (Autodesk).
• Increased Efficiency: AI can optimize material procurement, reducing waste (World Economic Forum: source about AI in construction ON World Economic Forum weforum.org).

AI in Medical Industry:

• AI crunches medical data for breakthroughs: AI excels at analyzing mountains of medical data, aiding in early disease detection, drug discovery, and even predicting patient outcomes. (IBM)
• AI surpasses radiologists in some tasks: AI algorithms trained on massive datasets can now outperform radiologists in identifying specific cancers and other diseases on scans, leading to earlier diagnoses. (HealthITAnalytics)
• AI automates tasks for efficiency: Chatbots and virtual assistants powered by AI are automating routine tasks like scheduling and insurance, freeing up healthcare staff for patients.
• AI personalizes medicine: AI can analyze a patient’s unique medical data, genes, and lifestyle to create personalized treatment plans and predict medication responses. This paves the way for more effective treatments with fewer side effects. (Built In)

AI in Retail:

• AI in Retail Revenue: McKinsey predicts AI could generate an additional $3.1 trillion annually for retail by 2030. [McKinsey & Company report]
• Personalization with AI: 73% of customers expect personalized experiences, and AI can deliver with targeted recommendations (Salesforce study).
• AI Optimizes Inventory: AI systems can reduce out-of-stocks and excess inventory by up to 50%, saving costs (IBM).
• AI Chatbots on the Rise: By 2025, 80% of businesses are projected to use chatbots for customer service (Forbes).
• AI Reduces Theft: Studies show AI can cut shoplifting losses by up to 10% through video and sensor analysis (Intel).

But unlike any other new technological developments and investment there are always challenges some of them for the implementation of AI are:

• Talent Gap Hinders AI Implementation: Nearly 60% cite the lack of qualified data science professionals as the main obstacle to deploying big-data driven AI technologies.
• Data Bias and Transparency Concerns: Over three-quarters of business leaders rank the potential for bias in data and the lack of transparency in AI as their top worries when adopting AI.
• Cost and Expertise Remain Hurdles: 40% of executives consider the cost of AI investment and the company’s lack of internal expertise as the biggest barriers to entry.
• Knowledge Gap Among Managers: Almost 40% of business leaders believe their managers lack the necessary understanding of cognitive technologies like AI, making it difficult to ensure a return on investment.

Future of Artificial Intelligence

Artificial intelligence (AI) is poised to dramatically impact our world, with predictions of its influence in nearly every sector from healthcare to finance, potentially adding up to $15.7 trillion to the global economy by 2030. [Source: PwC’s Global Estimates of AI’s Potential Economic Impact]. While, automation may displace some jobs (potentially impacting 800 million globally by 2030). Experts suggest AI will more likely create new opportunities (up to 950 million new jobs) and will work alongside humans to enhance efficiency. [Source: Jobs lost, jobs gained: Workforce transitions in a time of automation]. However, challenges like ethical development and data privacy require careful consideration as AI continues to evolve.

Artificial Intelligence and Idea Generation

1. Limited originality:

Well AI can’t create from scratch. It processes information it’s been trained on by humans, making connections and suggesting new combinations. These “new ideas” might be novel arrangements of existing knowledge, but not fundamentally new concepts.

2. Augmenting creativity:

AI excels at finding patterns and making unexpected connections in vast datasets. Although, this can inspire humans to explore new directions, helping them overcome creative blocks and generate a wider range of ideas.

AI is really a powerful tool for idea generation, but it works best as a collaborator alongside human creativity.

Will you adopt AI in your business?

• Business users are embracing AI: Reviews on sites like TrustRadius show AI boosting sales rep productivity by automating tasks like logging emails (source: TrustRadius, People.ai Reviews & Ratings 2024).
• Data-driven decisions: AI helps analyze data to understand customer behavior and sales better. This data-driven approach is valued by businesses (source: TechnologyAdvice, People.ai 2024 Overview).
• Improved customer experience: AI chatbots can answer basic questions, freeing up human reps for complex issues (a growing trend).