The Dual Nature of AI Implementation in Small Businesses: Insights from a Recent Survey

A recent survey conducted by NN Life Insurance, targeting over 5,600 small business leaders across Japan, indicates that the adoption of generative AI is on the rise, while also highlighting existing disparities in its implementation. The findings reveal that while a notable number of businesses are now utilizing AI technologies, a significant portion remains hesitant, reflecting a pronounced division in the current landscape of AI integration.

Survey Highlights

The survey, carried out between May 1 and May 7, 2026, sampled 5,673 small business leaders from companies with fewer than 300 employees. Key points from the findings include:
1. Growing Utilization: Approximately 44.2% of small business leaders reported using generative AI regularly, with even 42.7% of those aged over 60 engaging with the technology.
2. Hesitation in Adoption: Around 39.3% of respondents indicated they were not utilizing AI and were not considering implementation in the near future. This signifies a considerable gap in AI adoption among small businesses.
3. Need for Relevance: The primary reason cited by 42.2% of those not currently using AI was a lack of perceived necessity within their business operations.
4. Emerging Applications: The most common uses of generative AI among those who have adopted it include document creation (39.7%) and information gathering (28.4%).

Detailed Findings

Growing Utilization of Generative AI

Among the surveyed small business leaders, 44.2% affirmed they regularly use generative AI tools. Notably, even within the older demographic, 42.7% are actively engaging with AI technologies in their daily operations. The most popular service identified was ChatGPT, utilized by 67.6% of respondents, followed closely by Gemini at 59.3%.

Disparities in Adoption

A significant portion of the small business leaders (39.3%) admitted they are neither implementing nor considering AI in their operations. It’s also pertinent to note that 4.5% have explicitly banned its use in their businesses. These statistics highlight the lag in full-scale adoption and the varying stages of integration across different organizations.

Lack of Perceived Necessity

For those not using AI technologies, the predominant reason cited (42.2%) was a lack of perceived need for such tools at this time. This mentality reflects a broader conservatism felt within many sectors, leading to hesitance in adopting new technologies perceived as potentially transformative.

However, positive signs are emerging from the businesses utilizing AI; over 51.4% of business leaders stated they intend to expand their AI usage within the next year. This transition indicates a movement from initial trials to broader adoption and integration of generative AI technologies.

Notable Applications of Generative AI

Among the users, document and email creation (53.4%) and information gathering or research (49.6%) are the primary applications of generative AI in daily operations. When asked about future expectations regarding AI integration, respondents again pointed to document creation (28.4%) as the most anticipated application, followed by research (23.6%).

Insights from NN Life's Chief Strategy Officer

In light of these findings, Yoshihiko Nishioka, Chief Strategy Officer of NN Life, emphasized that while generative AI usage has reached a significant 44.2% among small businesses, there remains a clear gap in its adoption and engagement. The existence of a substantial group of business leaders—over 40%—who have yet to consider AI highlights the need for ongoing education and support within the community.

As generative AI continues to become a cornerstone for future productivity improvements, NN Life recognizes the importance of helping businesses both adopt and utilize these technological advancements effectively. Continuous surveys and community engagement are crucial for providing small business leaders with actionable insights.

Conclusion

The survey underscores the dual nature of AI implementation in Japan's small business sector. While many are embracing the new technology, a significant number remain hesitant, reflecting a clear need for targeted strategies to bridge the gap between the early adopters and those who are still on the fence about its application. As companies like NN Life continue to gather insights, the path towards comprehensive AI integration will undoubtedly become clearer, and small businesses will be better positioned to leverage the power of generative AI for their growth and efficiency.