According to a report by Amazon Ads conducted by Opinium, nearly 9 in 10 small and medium-sized businesses (SMBs) say AI-powered advertising tools have enabled them to access advertising channels, audiences or formats that previously felt out of reach. The report, released on Thursday and collected between April 7, 2026, and April 23, 2026, reveals that AI is assisting businesses in overcoming traditional barriers of cost, complexity and limited resources, making sophisticated advertising accessible to smaller enterprises. As per the latest study, 87% of respondents say AI-powered advertising tools have enabled them to access channels, audiences or formats that previously felt out of reach, including streaming TV and other video formats that were previously considered difficult to reach. Kapil Sharma, Director of Amazon Ads India, noted that "We are seeing Indian SMBs approach advertising with a confidence we have not seen before. The share of Amazon advertisers using AI-powered tools in India has grown by 77% year-on-year, with SMBs generating 62% more ad creatives with those tools in Q1 2026 over last year."
Beyond expanding access, AI is delivering measurable business growth for SMBs. According to the Amazon Ads report, 75% of businesses say AI-enabled advertising has supported business growth, while 68% say it has unlocked greater creativity in their advertising through simplified tools. The study finds that 88% of SMBs say they are likely to use AI to create advertising assets, while 85% say they are likely to use AI to produce streaming ads. Creative development is another significant application, with 68% saying AI has unlocked greater creativity in their advertising. The report also indicates that AI is lowering the cost of experimentation and providing faster feedback to SMBs, allowing them to pursue growth strategies like expanding cross-border operations or launching new product lines. Sharma emphasized that "AI-powered tools are opening up channels like streaming TV that once felt reserved for big brands with big budgets. It is exciting to see SMBs writing their own growth stories."
In the Indian market specifically, Amazon Ads India reports significant adoption growth. As reported by Amazon Ads, the share of Amazon advertisers using AI-powered tools in India has grown by 77% year-on-year, with SMBs generating 62% more ad creatives with those tools in Q1 2026 (April-June quarter) over last year. According to Kapil Sharma, director of Amazon Ads India, this demonstrates the rapid adoption of AI-powered advertising tools among Indian SMBs. The study reveals that 56% of respondents who said cross-border campaigns were inaccessible three years ago now consider them more accessible, with Amazon's Seller Assistant providing AI-powered expansion guidance including product recommendations and market-demand insights. Sharma noted that "AI is also facilitating international trade for Indian sellers. According to the report, 56% of respondents who found cross-border campaigns inaccessible three years ago now say they are more accessible due to AI-powered tools."
The report reveals practical benefits across campaign delivery for SMBs using AI tools. According to the Amazon Ads findings, 65% of businesses say AI enables faster optimization of campaigns, 62% say it helps them find customers more quickly to protect budgets, and 55% say it enables them to compete with bigger brands that have larger budgets. Additionally, 59% of businesses say AI-enabled advertising activity has supported expansion into new countries, while 58% say it has given them the ability to launch new product categories. The study shows that 62% of SMBs interested in TV or streaming TV advertising say the format can help them reach new audiences, 59% say it can increase brand awareness and 48% say it can improve credibility. Among those who found streaming TV inaccessible three years ago, 48% cited cost, 39% high minimum spend requirements and 36% complexity as barriers. Sharma highlighted that "59% of businesses said AI has supported their expansion into new countries."
Looking ahead, Indian SMBs have a positive outlook on AI's role in their advertising strategies. As reported by Amazon Ads, 92% of Indian SMBs expect AI to become a bigger part of how they reach their business goals through advertising, indicating that AI is viewed as crucial for future competitiveness in the advertising landscape. The study indicates that 92% of Indian SMBs surveyed say AI will be important to their future competitiveness, with anticipated applications extending beyond execution to 64% identifying content generation, 58% strategic planning and 53% competitor analysis. Despite rising adoption, AI is not replacing human decision-making among most SMB advertisers, with business owners remaining the final decision-makers for 40% of respondents using AI to support advertising, while AI tools with human review account for 32% and marketing leads account for 19%. The research surveyed 300 B2C marketing decision-makers from SMEs in India as part of a larger global study involving 4,100 respondents across 14 countries, with only 2% of SMBs reportedly using fully automated decision-making without human review. Sharma emphasized that "We are focused on innovating on their behalf to offer self-service solutions built to help businesses of all sizes."
