Auto repair is one of the least digitised industries in America. AI is changing the economics of why.
TL;DR
280,000 US auto repair shops are largely undigitised. AI receptionists, predictive scheduling, and PE rollups are converging on a $3.4B software market.
North America has more than 280,000 independent auto repair shops. Most run on workflows a 1990s small business owner would recognise: phone-based scheduling, paper repair orders, manual parts ordering. The global auto repair software market is projected to grow from $3.4 billion in 2026 to $8.6 billion by 2033, a 14.2% CAGR, according to Persistence Market Research. Software is growing at two to three times the rate of the underlying automotive aftermarket.
The category has resisted digitisation for two decades, and the resistance was rational. Previous shop management software required the owner to enter the data. The system gave back reports. Most owners declined the trade. AI inverts that equation. Calls get transcribed. Inspections get categorised from photos. Estimates draft themselves from VIN lookups. Follow-ups send without...
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