Consumer Psychology & AI Revolution: How Small Businesses Can Thrive | Simply Be Found Huddle
In today's rapidly evolving business landscape, understanding consumer behavior and embracing artificial intelligence (AI) are no longer optional—they're essential for survival. In a recent episode of the Simply Be Found Huddle podcast, hosts Dean and Rob welcomed Shahar Boyayan, a consumer behavior and AI expert with over 30 years of experience helping businesses adapt to changing market dynamics.
Understanding Today's Consumer Behavior
Shahar emphasizes that to succeed in business, entrepreneurs must focus on understanding their customers at a deep level. "As entrepreneurs, we tend to be very involved with day-to-day tasks, but we forget that we need to understand who we are selling to on a very deep level," she explains.
This understanding becomes even more critical during times of significant change, like what we're experiencing now with AI technology. When there's no historical data to guide decisions—as happened during COVID—businesses must rely on fundamental consumer behavior principles.
The Lasting Impact of COVID-19
The pandemic dramatically altered consumer behavior, and Shahar points out a crucial insight: "Once behavior changes, it does not go back." Many businesses made the mistake of waiting for things to return to "normal," but that normal no longer exists.
Some key behavioral shifts that have persisted post-COVID:
Increased comfort with home-based activities: People became accustomed to controlling their environments through technology—clapping to turn on lights, speaking to virtual assistants, and shopping online.
Greater social isolation: "We started isolating ourselves more and more. We got comfortable online," Shahar notes. This has led to concerning statistics: one in five Americans report feeling extremely lonely, and only one in three believe they have a real friend.
The rise of AI companions: Social media platforms are now introducing AI friends, creating new psychological dynamics that could further impact human connections.
Polarization and personalization: "I already block people that don't agree with me. I educate my feed to feed me what I want to see," Shahar explains. This creates echo chambers and reduces our ability to handle difficult conversations or opposing viewpoints.
Small Business Marketing in a Polarized World
For small businesses wondering how to navigate this polarized landscape, Shahar offers counterintuitive advice: "As a business, I need to be as raw as possible. I need to let people know what I'm about, what I care about, what I want to preserve."
This transparency may create friction, but it attracts the right customers. While consumers want everything catered to them, they are paradoxically attracted to businesses with clear, authentic values.
Understanding Generational Differences
With five generations actively consuming today, businesses need to recognize how each group behaves differently:
Younger generations (Gen Z and Alpha) are more socially conscious and will buy from businesses that stand for causes they care about. They're less brand-loyal than previous generations.
Baby Boomers were trained to be loyal to brands and have different purchasing motivations.
Shahar emphasizes: "I need to understand first who I am going to sell to. I need to narrow that down because as business owners, we want to sell to everybody, but that's not what happens day-to-day."
Embracing AI in Your Business Strategy
The conversation shifted to how AI can help businesses meet these changing consumer expectations. Rob described the "tree concept" of digital marketing:
Listings engine: All networks where your business information appears
Tree trunk: Your website
Branches: Social media, PPC ads, email campaigns, blogs, etc.
Shahar strongly agrees with this approach and adds that while the multiple channels may seem overwhelming, AI can help automate much of this work. "I have AI, and I can automate a lot of these things so I don't have to do it myself," she explains.
AI as Your Thinking Partner
Beyond automation, Shahar finds AI invaluable as a brainstorming partner. "Usually, we entrepreneurs don't have people around us that understand how our mind works... The AI is perfect for that, and the more you use it, the more it's going to get used to how you think."
She recommends using AI tools like Claude or ChatGPT to explore ideas, while recognizing that different social platforms require different communication approaches.
The Hidden Opportunity in Data Collection
A significant missed opportunity Shahar observes is businesses failing to collect customer data. She shared a personal experience of visiting the same restaurant daily for six months, yet not once being asked for her name, contact information, or preferences.
"You don't know my network, you don't know how many people I can refer to this place," she laments. This fundamental oversight—not gathering data about loyal consumers—prevents businesses from building stronger relationships and generating referrals.
Overcoming Resistance to AI
Many small business owners and employees fear AI will replace them. Shahar acknowledges this reality: "Unfortunately, a big majority will be replaced because there is no need for them." However, she sees this as an opportunity for people to move into more meaningful roles.
"We're not displacing people; we're going to allow you to be a better human being, a better employee because you've got to be more in a cognitive role," Rob adds.
Shahar emphasizes that business owners must take control of implementation decisions rather than letting resistant staff members derail progress. "As a business owner, you have to have control over your business, so it's not optional," she states.
The Future of AI in Customer Interaction
One surprising finding Shahar shares is that 83% of Americans today actually prefer talking to AI voice assistants—provided they get directly to the point. "We are very tired of small talk," she explains, noting that people increasingly prefer efficient AI interactions over scripted human exchanges that feel insincere.
Her AI agency has found success implementing conversational AI for various businesses, including sensitive contexts like funeral homes, with surprisingly positive results. The key is ensuring the AI is well-trained and that critical decisions remain with humans.
Key Takeaways for Small Businesses
Be authentic and transparent about your values—this will attract the right customers, even in a polarized environment.
Understand the generational differences in your customer base and tailor your approach accordingly.
Use AI as a thinking partner to brainstorm ideas and automate repetitive tasks.
Collect customer data systematically to build stronger relationships and enable personalization.
Implement AI strategically to handle routine interactions while keeping human touch for complex decisions.
Adapt to change constantly—"Change is the only constant, and we tend to hate change," Shahar notes, but businesses that embrace it will thrive.
Taking Action with PropTalkie
If you're ready to implement these insights into your business strategy, PropTalkie can help. Their AI agency specializes in creating customized AI solutions that enhance customer interactions while preserving your authentic business voice.
As Shahar emphasizes, "If you don't start trying and adopting [AI], you will be left behind." The amount of information businesses can access and leverage through AI is transformative for those willing to embrace change.
Visit PropTalkie.com to download free resources, including Shahar's report on "Five Ways to Become Irresistible to a Market" and the "AI-Driven Consumer Report" with practical advice on adapting your business to these changes.
This article was based on an interview with Shahar Boyayan on Simply Be Found Huddle, a podcast dedicated to exploring inspiring stories and insights from industry leaders.
