A New Survey Shows Younger Entrepreneurs Are Much More Likely to Already Be Using AI
Artificial intelligence tools are becoming increasingly prevalent, but younger entrepreneurs – particularly those from Gen Z and millennial cohorts – are showing a stronger inclination toward adopting these technologies compared to their Gen X and baby boomer counterparts.
This generational divide is highlighted in a recent survey conducted by American Express in partnership with Morning Consult, which surveyed over 1,100 small business financial decision-makers. The findings reveal a significant gap in AI adoption between generations, with nearly 60% of millennial and Gen Z respondents reporting that their businesses are already using AI in some capacity, while only 34% of Gen X and baby boomers say the same.
The survey also delves into how different age groups are utilizing AI within their businesses. Younger respondents, for instance, are primarily using AI for task automation and cash-flow analytics. In contrast, older business leaders are more likely to leverage AI for chatbots, virtual assistance, fraud protection, and workforce management. Across all respondents, the most common applications of AI include analyzing customer data, deploying chatbots or virtual assistants, and content creation.
Interestingly, even those who approach AI with caution are recognizing its value. The survey offers a broader perspective on AI usage among small businesses, illustrating how these practices vary across generational lines. While older generations may approach AI with a degree of skepticism, they are still finding practical benefits in many cases. There are even educational opportunities available, such as classes designed to help seniors get up to speed with AI technologies.
However, it’s not just older generations that are cautious; many younger people are also taking a measured approach to AI adoption. A report released in June revealed that only 4% of Gen Zers regularly use AI tools.
Consumer attitudes toward AI are also mixed. A study from Washington State University found that some consumers are inclined to avoid products that mention AI, preferring traditional options when given a choice.
Despite these varied perspectives, the American Express survey sheds light on a notable generational divide in AI usage among small businesses. Whether this divide will translate into differences in profitability or business success remains uncertain, but the survey offers a fascinating glimpse into how generational differences are shaping the adoption of AI in the business world.
