2025 SMB Trends: Why ASEAN Businesses Are Investing in AI and Automation

Small and medium businesses (SMBs) are the backbone of ASEAN’s economy, driving innovation, job creation, and economic growth.

Despite global uncertainty, SMBs in the region are proving remarkably resilient — 81% of leaders say they’re optimistic about the future. But what’s fueling this confidence?

The answer lies in AI and integrated technology solutions. SMBs that are embracing AI are already reaping the benefits by streamlining operations, delivering personalised customer experiences, and accelerating revenue growth.

Now, with the rise of agentic AI platforms, businesses have an even greater opportunity to automate tasks, make smarter decisions, and compete at scale.

In the sixth edition of our Small & Medium Business Trends report, Salesforce surveyed 3,350 SMB leaders from businesses with 200 or fewer employees to uncover how technology is shaping their future.

In this report, you’ll discover:

• How SMBs are ramping up their tech investments to level the playing field against larger competitors
• What separates high-growth SMBs from others in their approach to data and technology
• AI’s impact on productivity and revenue, and plans SMBs have for its expansion

1. Tech investments are accelerating growth

Our report shows that high-growth ASEAN SMBs are focusing on three key areas: 

1. The use of AI-driven insights to better understand their customers‌ — ‌anticipating needs and personalising experiences in ways that build loyalty 
2. Automating processes with agentic AI to reduce manual workloads and repetitive tasks, freeing up teams to focus on more strategic tasks
3. Integrating systems to make operations run more smoothly, cutting down on inefficiencies that typically slow SMBs down

The report also revealed that SMBs across ASEAN are doubling down on technology, with 76% increasing their investment in digital tools and only 5% cutting back on their spend. Singapore-based SMBs, in particular, are leading the way‌ — ‌quickly adopting cloud solutions and automation to work smarter, not harder. 

This became clear in Singapore’s Prime Minister and Finance Minister Lawrence Wong’s 2025 Budget speech, as he revealed that Singapore wants to encourage SMBs to invest in technology and adopt off-the-shelf solutions, such as AI-powered analytics.

“Beyond a certain stage, enterprises will need AI solutions [that] are tailored to their needs and integrated into their business processes and systems,” he said.

To help enterprises leverage AI more effectively in their transformation journey, Singapore is setting aside around SG$150 million for a new Enterprise Compute Initiative, which will enable eligible businesses to work with cloud service providers to access AI tools and compute power. 

While it’s important for SMBs to embrace technology, having a huge tech stack isn’t necessarily better. The average SMB uses seven different business applications, which can feel overwhelming without sufficient resources and technical expertise. In our SMB Trends report, over half of SMB leaders reported frequent data inconsistencies across their various tools.

Take HEPMIL Media Group, for example. By investing in smarter tech, they’re streamlining operations and future-proofing their business by embracing AI-driven innovation.

“As the creator economy continues its rapid growth, with an increasing number of creators entering the space and the complexity of business operations generating a significant volume of administrative tasks, the adoption of Agentforce looks promising in scaling up to meet these evolving business needs. AI-driven solutions have the potential to transform traditionally high-touch human interactions into a hybrid human-AI collaboration. By reimagining workforce dynamics and leveraging AI technologies like Agentforce, we are paving the way for a more labour-efficient, innovative, and sustainable approach to managing growth and complexity.“ — Mushi Luke, CIO, HEPMIL Media Group.

The takeaway? SMBs that embrace digital tools today aren’t just optimising how they work‌ — ‌they’re setting themselves up for long-term success. In a fast-moving market, technology isn’t just an advantage; it’s a necessity for growth.

2. AI adoption: ASEAN SMBs are leading the way

AI is no longer just for large enterprises. SMBs across ASEAN are embracing it and seeing real impact. With a reported 75% investing in AI, those that do are 1.8x more likely to experience growth‌ — ‌and the results speak for themselves: 90% of AI-powered SMBs report improved efficiency, while 85% say their investment delivers a strong return.

Global demand for AI is expected to raise the market to US$757.58 billion in 2025 and climb at a compound annual growth rate of 19.2% to reach US$2.68 trillion by 2034.

Unsurprisingly, Asia-Pacific is projected to be the fastest growing AI region which will be fuelled by increasing adoption across sectors like automotive, healthcare, and retail. For many ASEAN businesses and sectors, AI is becoming an essential tool rather than a luxury‌ — ‌one that’s unlocking a new world of possibilities. 

78% of SMB leaders at companies with AI say that the technology will be a game changer for their company to help optimise marketing campaigns, generate content, and personalise customer experiences. And our report shows they’re looking to double down: Three in four SMBs plan to increase their AI investment over the next year, and only 4% plan to decrease it.

Agentforce gives SMBs an opportunity to increase this investment, particularly if they’re interested in new technologies like agentic AI. Agentforce works as a proactive, autonomous AI application that answers questions, takes actions and improves productivity; and it can be equipped with any necessary business knowledge to execute tasks according to its specific role. 

Predictive insights are also helping SMBs personalise customer experiences, boosting engagement, sales, and customer satisfaction. On the operational side, AI is streamlining workflows by automating repetitive tasks, reducing costs, and improving accuracy.

Take Xendit, an Indonesian fintech SMB for example. By integrating AI into their business, they’ve been able to work smarter and create better experiences for their customers.

“At Xendit, our AI-powered customer service system resolves 67% of support tickets, so our team can focus on the complex cases that need a human touch. In our KYC process, AI helps cut down manual work and strengthens fraud prevention, making onboarding faster and more reliable for our customers.

“We’re also bringing AI into sales and revenue operations to boost productivity. Before anything else, we focused on getting the basics right—making sure our team fully adopted Salesforce, keeping our pipeline clean, and improving forecasting accuracy. Once we had that solid foundation, we introduced AI tools like Salesforce with Gemini to surface key insights, prioritise the right opportunities, and simplify daily workflows. By taking a thoughtful, step-by-step approach, we’re making sure AI truly supports our teams, helping them work more efficiently and effectively.” — Darrick Chan, VP of Marketing & Revenue Operations, Xendit

The same goes for K. W. Metal Work PLC, an agricultural machinery SMB based in Thailand:

“At K. W. Metal Work PLC, we’ve begun structuring our data to integrate AI into our operations. Our goal is to implement AI-driven agents within the next three years to enhance customer interactions. One of our key challenges is the seasonality of agricultural demand, which creates fluctuations in customer needs. By leveraging AI, we aim to provide more responsive and efficient support, ensuring that our customers receive timely assistance regardless of the season.

“Additionally, we’ve started using AI to filter and analyse customer feedback on social media by assessing sentiment and identifying key trends. This allows us to better understand customer pain points and respond proactively, making our data screening process more efficient and insightful.” — Ukrit Vanagosoom, Deputy Managing Director, K. W. Metal Work PLC

AI is no longer a future aspiration‌ — ‌it’s a present-day game-changer. For SMBs looking to stay competitive, investing in AI isn’t just about keeping up; it’s about getting ahead.

Businesses that embrace agentic AI today are positioning themselves for long-term success in an increasingly digital world.

3. ASEAN SMBs face challenges in scaling tech adoption

We found in our report that for many SMB leaders, the speed of technological change feels overwhelming — nearly half (47%) say they’re struggling to keep up. At the same time, disconnected tools are creating pain points, with 53% reporting data inconsistencies that slow down decision-making and operations. While high-growth SMBs in ASEAN are prioritising integrated solutions, others find themselves stuck with outdated systems that make it harder to compete.

One of their biggest concerns? Security. With cyber threats on the rise, 76% of SMBs are increasing investment in data management, ensuring their information isn’t only accessible but also protected. In ASEAN, there’s a particular focus on AI security and compliance, as businesses look to harness new technology without exposing themselves to unnecessary risks.

The good news is that overcoming these challenges is possible. While rapid change can feel overwhelming, the right approach (focusing on integration, security, and smarter tech choices) can turn digital transformation from a burden into a competitive advantage. Platforms like our Salesforce Starter Suite can help your SMB quickly organise data, manage customer relationships, and gain valuable insights into your business. It’s a simple yet powerful CRM suite that’s easy to set up in a matter of minutes with social sign-on and built-in guidance, built for growing businesses.

4. ASEAN SMBs are poised for success

It’s clear from our findings that ASEAN SMBs are well-positioned to lead the charge toward innovation and growth. The path forward is becoming increasingly clear: SMBs that embrace agentic AI, streamline their tech, and prioritise secure data will drive the region’s future economy.

The key takeaways are simple but powerful. 

• Investing in AI isn’t just about staying relevant‌ — ‌it’s about creating meaningful automation that enhances customer engagement and boosts efficiency. 
• Integrating tech solutions helps eliminate silos, making operations smoother and more scalable. 
• Focusing on security and data management builds the trust that keeps customers coming back. With 66% of SMBs increasing their investment in data management and 84% of leaders emphasising the importance of complete and accurate data, it’s clear that strong data practices are becoming a cornerstone of business success.

At Salesforce, we’re committed to helping SMBs in ASEAN harness AI to unlock new opportunities, streamline operations, and thrive in today’s fast-changing market. We can help you innovate, scale, and grow your business now — and in the future.