AI adoption and cybersecurity risks key issues at SmallBiz Week

The Commbank SmallBiz Week in Melbourne concluded today with small business leaders gathered to discuss pressing issues such as increasing cash flow and enhancing cybersecurity.

Amidst these discussions, AI emerged as the week’s central theme, capturing the attention of numerous businesses eager to explore its potential.

Comprising more than 99% of Australian businesses, SMEs generate more than half of Australia’s GDP each year. AI presents an avenue for these businesses to innovate and increase their efficiency.

Rebecca Warren, the executive general manager of small business at Commonwealth Bank of Australia (CBA), spoke to SmartCompany, sharing key insights from recent customer research conducted by CBA.

Around 60% of business owners were worried about rising overall expenses, 41% were concerned about rising input costs, and 35% were anxious about energy costs.

“Clearly the cost of doing business is on their [small businesses] mind,” she said.

In response to these challenges, many small businesses are creatively leveraging technology to cut costs and enhance operations.

Warren shared an experience of a nail salon adopting chatbots on its website to manage customer inquiries and utilising Canva AI for its marketing efforts.

Commbank is also launching an education program on AI, recognising the growing interest among customers in understanding technological advancements.

“We recognise that customers are wanting to understand technology changes and how it may be relevant for them,” Warren said.

Cybersecurity

Discussion around AI was not the only highlighted topic at the conference. Cybersecurity also dominated the floor, reflecting growing concerns among small business owners about the safety of their finances.

According to recent data from the National Anti-Scam Centre, reported losses to remote access scams in the first quarter of 2024 increased by 52% compared to the previous quarter.

The average loss per scam victim increased by 57%  to $17,943 in the first quarter of this year, compared to the last quarter. This alarming trend emphasises the need for robust cybersecurity measures.

EV adoption

“Small businesses are creatively looking for ways to deliver,” Warren noted.

This creativity extends to the adoption of electric vehicles, new figures from Commbank show a 325% increase in business financing electric vehicles.

“If you think about the benefit of electric vehicles, it does two things: it can help mitigate rising costs and contribute to reducing emissions,” Warren explained.

To further support SMEs, various organisations were present at the exhibition, offering resources and education.

Cyber Warden program

Warren highlighted the bank’s partnership with the Council of Small Business Organisations Australia (COSBOA) and Telstra on the Cyber Warden program, which educates businesses about cybersecurity.

“We have invested $750 million in the last year into cybersecurity for our customers, and we’re delighted to say that we’ve stopped 225 million scams and frauds,” Warren mentioned, highlighting that tax time was a key moment when businesses are targeted.

“Tax portals are coming up, we actually see a peak in cyber scams and frauds,” she said.

This program is part of a broader effort to equip businesses with the knowledge and tools to safeguard their operations.

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