Small businesses face a critical window in 2026 to adopt AI tools before competitors pull ahead, according to Lightspeed’s managing director Nicole Buisson for APAC.
What’s happening: AI-powered platforms are now embedding intelligence directly into everyday business systems, from point-of-sale software to inventory management, making sophisticated automation accessible without massive IT budgets or technical expertise.
Why this matters: The window for competitive advantage is narrowing rapidly. Research shows 76 per cent of small businesses that increased their tech spending are experiencing growth, whilst those delaying adoption risk falling permanently behind competitors who are already using AI to anticipate customer needs, optimise pricing and personalise service at scale.
The technology landscape for small businesses is undergoing a fundamental transformation. What was once reserved for corporations with deep pockets and dedicated IT teams is now within reach of local retailers, cafes and service providers.
“As we look toward 2026, AI and automation will move from being optional add-ons to becoming essential drivers of productivity for small businesses,” says Nicole Buisson, Managing Director APAC at Lightspeed. “What’s increasingly evident is that the most meaningful gains aren’t coming from flashy, standalone tools, but from practical, embedded AI that enhances everyday decision-making.”
Lightspeed’s recently launched AI Showroom exemplifies this shift. The platform enables brick-and-mortar retailers to instantly create mobile-ready digital showcases that mirror in-store inventory, all without managing full e-commerce operations.
“What’s exciting is these features entering the market really levels the playing field, giving small businesses access to the kind of intelligence traditionally reserved for larger players with complex systems, and it creates an important window of opportunity,” Buisson explains. “It’s crucial that small businesses don’t wait to take advantage of it, as it risks them being left behind.”
AI adoption globally has more than tripled since 2015, with continued acceleration into 2025 and 2026. The surge isn’t driven by hype but by tangible results. Businesses using AI report productivity increases between 25 and 55 per cent depending on the industry and level of automation.
The human advantage
The transformation isn’t about replacing people. It’s about amplifying what humans do best.
“By 2026, the tools that matter most will be those that quietly simplify complexity: systems that highlight timely pricing adjustments, anticipate stock needs before shortages occur, and personalise customer messaging without demanding extra effort,” Buisson says. “These aren’t ‘nice-to-have’ efficiencies- they directly shape revenue, cost control, and loyalty.”
Small businesses are discovering AI handles the repetitive work whilst staff focus on relationships and creative problem-solving. Research indicates that rather than eliminating positions, AI is reshaping roles, with employees freed from administrative burdens to concentrate on higher-value activities.
“More small businesses are realising that AI isn’t about replacing the human touch; it’s about freeing teams to deliver it,” Buisson notes.
Customer expectations rise
Consumer behaviour is evolving faster than many businesses recognise. The bar for service, personalisation and responsiveness continues climbing.
“In 2026, SMEs need to prepare for a customer base that wants more, and wants it faster,” Buisson observes. “Consumers expect personalised, seamless, and meaningful experiences across every touchpoint. They don’t just want a product or service; they want businesses to anticipate their needs and respond quickly.”
This creates both pressure and opportunity. SMEs that harness data and AI to streamline operations and personalise interactions gain clear advantages. Online, this might mean tailored recommendations or frictionless checkout. In-store, AI-driven insights help staff anticipate demand and ensure product availability.
Research from Bain & Company found that a five per cent increase in retention can lift profits by up to 95 per cent, making customer relationship tools more vital than ever.
The artificial divide between online and offline commerce is dissolving. Customers move fluidly between channels, and businesses must meet them wherever they are.
“Digital and physical experiences are increasingly intertwined, and consistency across channels is essential,” Buisson says. “Businesses that integrate inventory, customer, and loyalty systems can respond faster to changing preferences, delighting customers while driving efficiency.”
By 2026, the distinction between digital tools and physical operations will be largely meaningless. What matters is unified systems providing real-time visibility across all touchpoints.
“Automation and AI are no longer optional; they’re critical tools that allow SMEs to deliver speed, accuracy, and personalisation without adding complexity to day-to-day operations,” Buisson emphasises.
The technology continues evolving rapidly. “AI and new technologies will no doubt be reshaping how small and midsize businesses operate, and helping teams react faster, streamline everyday processes, and meet customers with the kind of service they expect,” she says. “Insight is no longer something to file away; it becomes fuel for quicker decisions and more personalised experiences.”
The message is clear: 2026 isn’t about choosing whether to adopt AI. It’s about choosing which tools to implement first, and how quickly businesses can adapt before the competitive landscape shifts permanently.
“And while automation takes care of the speed and convenience, it’s the human moments layered on top that turn those efficiencies into genuine connection,” Buisson concludes.
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