Technology can provide more efficient customer service and lower costs but customers still prefer the personal touch, an e-commerce firm says.
Convergence managing director Mark Presnell said retailers were fearful and bewildered by the rise of AI and increasing competition by tech-driven global online retailers such as Amazon and Temu.
Small businesses could not keep up with giant retailers in the use of emerging technologies, but they did not need to.
"We are definitely facing a great divide at the moment a lot of people that are going down the technology path, possibly not really looking at how their customers are perceiving that," he said.
"I think the opportunity really right now especially for the smaller retailers is to focus on that person-to-person human touch, understanding their client's preferences by really speaking with them. You know, we don't need to look at ourselves as being subservient to AI or to machines.
Presnell said technology was only useful if it improved business functions, and legacy technology can do that too.
He said small businesses should focus on ensuring staff are well trained to use the systems already in place, rather than invest in technologies that will add little value to building customer relationships.
"I think it's a real opportunity for us to focus more on human-to-human interactions and to make sure that we build relationships with customers, rather than putting technology front and centre."