Gideon RubinAI and big data have become a great equalizer, giving small firms unprecedented capabilities to make a lasting impact on legacy companies
There is no shortage of headlines dedicated to the disruptive power of artificial intelligence (AI). Perhaps the biggest story is how AI gives small firms newfound powers to develop solutions and innovations that previously could only be achieved with huge investments.
Properly applied, AI can reshape business models, particularly those of legacy companies that once dominated their markets but are now facing pressure to evolve.
Local presence marketing is where AI is making waves by helping these organizations stay competitive.
A great example is Thryv. This business was once deeply rooted in Yellow Pages but has evolved into a Software-as-a-Service (SaaS) company by adopting automation and AI-driven strategies. Local Data Exchange (LDE) has become a key partner in this transformation, leveraging AI and data integrations to innovate and grow.
The Evolution of Foundational Legacy Companies and the Role of AI in Transforming Them
Legacy companies like Yellow Pages were once at the forefront of connecting consumers with local businesses. Then, the internet came along and provided a fast, accessible, and searchable platform for finding information. This made several traditional media businesses obsolete, forcing companies to rethink and radically adapt their business models.
AI technologies such as machine learning, natural language processing (NLP), and predictive analytics have become immensely helpful in this evolution. By leveraging AI, legacy companies have a new way to streamline operations, improve customer engagement, and make data-driven decisions, which allows them to compete with more agile, digital-first companies.
Case Study: Thryv and its AI Integration
Thryv, which was once a Yellow Pages company, has been a poster child for the challenge of remaining relevant in the digital age.
Originally a print directory business, Thryv needed rapid transformation and partnered with Local Data Exchange (LDE) to integrate AI technologies into its operations. Leveraging LDE’s AI solutions and patent US11386449B2, Thryv gained advanced tools for data management and analysis, driving the company’s evolution.
One example of this collaboration involves using AI to improve Thryv’s customer service and enhance the accuracy of local business listings. LDE’s machine learning algorithms have enabled Thryv to process vast amounts of business data more efficiently, providing accurate, up-to-date information to consumers.
The impact of this partnership has been substantial: Thryv improved service offerings, boosted customer satisfaction, and experienced notable business growth as a result. It’s also a case study of how AI can breathe new life into a legacy business by modernizing and automating resource-intensive operations.
Notable Collaborations
AI-driven companies have consistently shown their ability to help legacy firms adapt and grow. Companies like Profit Leap, Datics AI, and Anthem Software have partnered with larger firms to develop AI-based solutions that optimize business operations and customer experiences.
Profit Leap worked with law firms to develop custom AI solutions that streamline legal research, saving hours of work and allowing these firms to serve more clients. “Within months, attorneys saved five hours per week and took on more clients,” said Victor Santoro, Profit Leap CEO.
Similarly, Datics AI partnered with a fast-food chain to optimize drive-thru operations, resulting in a 35% increase in customer satisfaction and a $15 million revenue boost. Umair Majeed, Datics AI CEO, said, “By analyzing data from sensors and surveys, we developed an AI model to predict optimal staffing levels and menu options at each location.”
“AI may be hyped, but strategically applied, it accelerates growth,” said Joe Amaral, founder and COO of Anthem Software. “We partnered with an AI startup to enhance analytics for our marketing clients. By analyzing customer data, the AI firm developed an algorithm to predict the best times and messages for email campaigns. We tested the model with a client, tweaking their email strategy based on the AI’s recommendations, and found that open and click rates rose significantly in three months.”
A common theme is clear across all these collaborations: With AI, small and upstart firms can deliver targeted solutions that yield game-changing results for bigger companies.
Advantages of Working with Small Companies
It may sound cliche, but AI is beginning to level the playing field between small and large companies, especially regarding rapid iteration and experimentation.
Small firms are nimble, cost-effective, and offer specialized expertise, often allowing them to innovate and implement new technologies faster than larger firms. Partnering with these businesses allows legacy companies to tap into cutting-edge tech without the overhead of developing it in-house.
These collaborations create a more competitive market, which benefits consumers through improved products and services. The agility of smaller firms — especially those equipped with AI fluency — combined with the resources of legacy companies makes for a powerful combination that drives innovation and market growth.
Peering Into the Future
As AI continues to advance at breakneck speed, legacy companies are in for more shakeups. AI-driven personalization, predictive customer behavior, and automated customer service are quickly becoming the new normal.
In the years ahead, AI will likely play a critical role in helping legacy companies modernize their services, create better customer experiences, and stay competitive in an increasingly digital world.
The AI revolution is just starting, giving every company an opportunity to innovate on a previously unimaginable scale. Solutions providers like Local Data Exchange (LDE) are paving the way for businesses like Thryv to stay relevant and competitive. By embracing AI and forming smart partnerships, legacy companies have the chance not just to survive, but to grow and prosper in this evolving landscape.
To learn more about how Local Data Exchange can help your business innovate with AI, explore our API offerings and see how you can empower your clients with seamless local marketing solutions.
