7 Technologies Every Small Business Should Adopt in 2025

According to Gartner, by 2025, 70% of organisations will have some level of AI in their operations, compared to 50% in 2023. Here are top technologies every small business should adopt in 2025.

Technology has become the cornerstone of growth, enabling businesses to improve efficiency, enhance customer experiences, and make data-driven decisions. These tools are not just about making operations smoother—they also help businesses connect with customers, make smarter decisions, and create new ways to earn money. Using the right technologies can greatly boost a small business’s potential, helping it compete with bigger companies.

Toast, a Boston-based startup that began as a small point-of-sale (POS) solution provider for restaurants. Toast leveraged cloud computing to enable seamless, real-time management of orders and inventory, AI tools to provide customer insights and personalised marketing solutions, and automation to streamline restaurant workflows like payment processing and kitchen management. The company also prioritised cybersecurity to ensure safe transactions and used IoT devices to monitor kitchen equipment and optimise maintenance schedules. These technologies helped Toast expand rapidly, and it became a publicly traded company worth over $5 billion in just a few years.

Let’s delve into seven technologies that small businesses should adopt in 2025, providing real-world examples to illustrate their benefits.

7 Technologies Every Small Business Should Adopt in 2025

1. Artificial Intelligence (AI) and Machine Learning (ML)

AI and ML technologies are now accessible to small businesses, helping them automate tasks, predict trends, and improve customer experiences.

Applications:

• AI-Powered Chatbots: AI-powered chatbots enhance customer service by providing instant responses and personalised recommendations. Platforms like ChatGPT and Intercom enable small businesses to provide instant customer support. For instance, a small e-commerce store could use a chatbot to handle product inquiries, recommend items, and process orders.
• Predictive Analytics: Predictive analytics help businesses anticipate market trends, optimise inventory, and make informed decisions. Tools such as Google Analytics 4 and Tableau analyse customer data to forecast sales and optimise marketing strategies. A local retail store might use predictive analytics to determine which products to stock during peak seasons.

Benefits: AI reduces manual workloads and enhances customer engagement by offering personalised solutions. Predictive analytics enable businesses to make informed decisions, minimising risk and maximising profitability.

2. Cloud Computing

Cloud computing has transformed the way small businesses operate, offering cost-effective and scalable solutions for data storage, collaboration, and software use.

Applications:

• Data Storage: Services like Amazon Web Services (AWS) and Google Drive allow businesses to securely store and access data from anywhere. For example, a small design agency could store its projects in the cloud for seamless collaboration.
• Collaboration Tools: Platforms such as Microsoft Teams and Slack enable teams to work together in real-time. A marketing firm could use Slack for instant communication and Microsoft Teams to share files and schedule meetings.
• SaaS Solutions: Software like QuickBooks Online for accounting and Asana for project management streamlines business operations. A startup could manage its financial records and project deadlines efficiently using these tools.

Benefits: Cloud computing reduces infrastructure costs, enhances team productivity, and provides flexibility for remote work, making it ideal for small businesses looking to expand or adapt.

3. Cybersecurity Solutions

Cyber threats continue to rise, making robust cybersecurity measures essential for small businesses that handle sensitive customer and financial data.

Applications 

• Firewalls and Endpoint Protection: Software like Norton Small Business and Bitdefender GravityZone secures devices against malware and phishing attacks. A local healthcare clinic could use these tools to protect patient records.
• Two-Factor Authentication (2FA): Platforms like Authy and Duo Security add an extra layer of login protection. For example, a small law firm could implement 2FA to secure client files.
• Employee Training: Tools like KnowBe4 offer cybersecurity awareness training for employees. A consulting firm could use this to educate staff on recognising phishing emails and creating strong passwords.

Benefits: Investing in cybersecurity minimises the risk of data breaches, protects customer trust, and ensures compliance with data protection regulations like GDPR.

4. Digital Payment Solutions

Cashless transactions are increasingly preferred by consumers, making digital payment systems a necessity for small businesses.

Applications: 

• Mobile Wallets and Contactless Payments: Devices like Square Reader and apps like Apple Pay or Google Pay enable businesses to accept fast and secure payments. A food truck could use a Square Reader to accept contactless payments on the go.
• Online Payment Gateways: Platforms such as Stripe and PayPal facilitate online transactions. A subscription box service could use Stripe to handle recurring payments seamlessly.
• Buy Now, Pay Later (BNPL) Options: Solutions like Afterpay and Klarna allow customers to split payments into instalments. A boutique clothing store might integrate BNPL to attract budget-conscious shoppers.

Benefits: Digital payment solutions improve cash flow, reduce transaction times, and cater to customers’ preferences, enhancing overall satisfaction and sales.

5. Internet of Things (IoT)

IoT devices connect physical objects to the internet, allowing small businesses to monitor, automate, and optimise their operations.

Applications 

• Inventory Management: IoT sensors from providers like Zebra Technologies track stock levels in real-time. For instance, a small grocery store could use these sensors to ensure shelves are always stocked.
• Energy Optimisation: Smart devices like Nest Thermostats and Philips Hue Lights reduce energy consumption. A café might use these tools to automate lighting and temperature settings, lowering utility costs.
• Personalised Marketing: Retailers can use IoT beacons, such as Estimote, to send location-based offers to customers. A small bookshop could notify nearby customers about discounts on new arrivals.

Benefits: IoT enhances operational efficiency, reduces costs, and provides valuable data for improving customer experiences and business strategies.

6. Customer Relationship Management (CRM) Software

CRM software allows small businesses to manage customer interactions, track sales, and improve service delivery efficiently.

Applications

• Centralised Customer Data: Tools like HubSpot CRM and Zoho CRM store customer information and interaction history. A small real estate agency could use CRM to track client preferences and follow up with tailored property recommendations.
• Marketing Automation: CRMs like Salesforce integrate with email platforms to run targeted campaigns. For example, a local gym could send personalised membership renewal reminders.
• Sales Pipeline Management: CRMs provide visual dashboards to track leads and conversions. A consultancy firm could use this feature to monitor potential clients through the sales process.

Benefits: CRM software improves customer retention, enhances team collaboration, and streamlines workflows, ensuring small businesses maintain strong relationships with their customers.

7. Automation and Robotics

Automation and robotics help small businesses reduce manual work, improve accuracy, and save time on routine tasks.

Applications: 

• Workflow Automation: Platforms like Zapier and Trello automate tasks such as sending invoices or scheduling social media posts. A marketing agency could use Zapier to automatically upload content from spreadsheets to scheduling tools.
• Robotic Process Automation (RPA): RPA solutions like UiPath handle repetitive tasks like data entry. A small logistics company could use RPA to automate shipment tracking updates.
• Chat Automation: Tools like ManyChat automate customer inquiries on social media platforms. For example, a beauty salon could use ManyChat to confirm appointments and answer FAQs.

Benefits: Automation reduces human error, increases productivity, and allows businesses to focus on strategic activities like growth and innovation.

Key considerations for technology adoption

Small businesses should evaluate the following factors before adopting new technologies:

1. Scalability: Ensure the technology can accommodate future growth. For example, cloud services like AWS offer flexible plans that scale with business needs.
2. Integration: Verify compatibility with existing systems. A CRM like HubSpot integrates seamlessly with marketing tools, avoiding duplication of efforts.
3. Employee training: Invest in training to maximise technology benefits. Cybersecurity platforms often include tutorials for implementing best practices.
4. Cost-Effectiveness: Evaluate ROI by considering upfront costs and potential long-term savings. Automation tools, for instance, reduce payroll expenses by minimising manual tasks.

Final thoughts 

In 2025, adopting the right technologies will enable small businesses to stay competitive, efficient, and resilient. Artificial Intelligence, cloud computing, cybersecurity, digital payment solutions, IoT, CRM software, and automation tools offer opportunities to enhance operations, improve customer satisfaction, and reduce costs. By thoughtfully implementing these innovations, small businesses can build a solid foundation for long-term growth in an increasingly digital world. Real-world examples highlight how these technologies can be applied effectively, making them essential investments for future success.