2023 was challenging year for growing businesses, with high inflation and interest rate increases creating new hurdles to overcome. With hiring slowing, many business owners are forced to do more with less. Now more than ever, embracing tech is the key to helping business owners manage their finances and accounting in a scalable, automated way, and free up time to reach more customers and grow their business.
We’re already seeing the incredible impact technology can have. A recent survey found that businesses using eight or more digital tools are almost twice as likely to see revenue growth, despite macroeconomic headwinds. As your business prepares for 2024, it’s important to consider these three technology investment priorities that can help you scale, grow, and succeed in the new year.
Financial Management Tools for Future Success
As many businesses feel the squeeze created by inflation, getting a clear picture of cash flow has never been more important. Investing in a financial management platform can help remove money blindspots and unearth greater insight into cash flow trends by providing a detailed snapshot of your financial health. With increased visibility into income and spending trends, you can make more informed and effective planning decisions, whether that’s finding ways to trim overhead costs or invest in opportunities for growth.
It’s important not to think of cash flow or other aspects of financial management in isolation, but rather look for solutions that help manage your business holistically. While taking an ad-hoc, “duct tape and paper clips approach” to investing in technology may be appealing early on, it can also create more complications down the road if you have to manage many disparate solutions. Identifying all the needs your business has and finding platforms that offer products that are integrated and work seamlessly together will save you time in the future.
The AI Advantage
AI is a game changer for businesses of all sizes – and for 35% of business owners who identify a lack of time as a top challenge to running their business, the technology can be transformative. Growing businesses are hungry for the benefits of AI and 70% agree that technologies like AI can help them compete with larger businesses. When it comes to adopting this tech, identifying specific tasks you want to automate is the name of the game. From there, it will be easier to select which AI capabilities to invest in for the greatest ROI. For example, automating customer support with tools like chatbots can help you get to the bottom of customer issues quickly. AI can also automate tasks like drafting invoice reminders, helping ensure customer payments are made on time. Perhaps the biggest gift AI can give is time, which can be incredibly valuable in freeing you up to focus on other more critical business needs.
Meet Customers Where They’re Searching – Online
A recent survey found that 29% of business owners say they’re concerned about customer retention, and 71% are even more concerned with customer acquisition. With most customers moving online to shop or search for services, it’s important to establish a strong digital presence that reaches customers where they are. Think about expanding your social media presence and fostering your online community by regularly posting, engaging with your audiences, and adding new followers. Creating a seamless website and e-commerce experience is also important for acquiring new customers. Questions to ask might be: Are your products or services easily searchable? When customers find you online, can they easily make a purchase or schedule an appointment? For product-based businesses looking to improve their e-commerce strategy, invest in a commerce platform that can connect your orders across channels while also tracking inventory so you can prevent overstocking and spending more than you need too. Finally, take advantage of data analytics to track trends, such as popular products or services, so you know what’s working for your business and what’s not.
While the year ahead may continue to bring uncertain economic conditions, these technology investments can better position you to adapt, grow, and succeed in 2024 and beyond.
Kelly Vincent is the VP of Mid Market Small Business at Intuit QuickBooks.
Small business tech stock image by JLco Julia Amaral/Shutterstock