He told a press conference in Dunedin yesterday that it could be applied for major decisions.
Smith said All Blacks No 8 Jerome Kaino would have been awarded a try in the Wellington test last Saturday if the referee had been able to use more technology.
The video showed that Australian referee Stuart Dickinson was wrong in his ruling that Kaino was offside when Daniel Carter kicked the ball.
But Smith wants strict provisions added so that there are not undue delays in play.
"There is a place to apply technology in these instances but I wouldn't like it to be like the NFL [National Football League in the US] where there are commercial breaks between video decisions," Smith said.
Smith was pleased with the All Blacks' performance in the first test against the Springboks, but there were areas in which improvement was needed.
"We weren't complete by any means," he said.
"We lacked clinical precision at the finish in some areas and lacked accuracy in others.
"It was an intense physical game in which you sometimes lose the clinical nature of your play.
"It is just a matter of the players making the right decisions under pressure, executing well and still being physical at the same time."
Smith emphasised that it was necessary to front physically against the Springboks.
"You can't take a backward step but you have to execute the skills at the same time," he said.
"Our challenge is to perform the two together and be smart with the way we face the challenges."
Smith praised the tough approach adopted by first five-eighth Daniel Carter.
"He often acts like another loose forward," he said.
"Dan has brought another dimension to the game.
"He is like Leon MacDonald and comes from pretty tough stock.
As soon as these guys try to be less physical, they have trouble."
Smith rates Springboks first five-eighth Butch James.
"We've got a huge regard for Butch.
"He's a World Cup winner and has been a good competitor against us for a few years," he said.
"He is a clever kicker and has a clever pass."
The All Black coaching staff did not worry too much about Springboks selections.
"You can't do anything about it," Smith said.
"We don't change our own game significantly because of the opposition.
We would only do that if there was an extreme superstar or an extremely weak player in the other team.
"But you seldom get that at this level.
"They are all good players.
"We look at what we can do ourselves."
Smith did not underrate the efforts of the Springboks in the Wellington test.
"They threw a lot at us and played more expansively than they have done for the last four years," he said.
"But the more you throw the ball around, the more you are prone to error."
The All Blacks staff will be represented by coach Graham Henry, forward coach Steve Hansen and scrum specialist Mike Cron at a meeting with the South African coaches and referee Matt Goddard today.
"We want to understand what is required, make sure there is consistency and then get on with it," Smith said.
