The automotive aftermarket is racing towards a digital future, with artificial intelligence and advanced analytics promising to revolutionize how car parts are sourced, repaired and distributed, observed an industry analyst.
The future of automotive parts and repair is not just coming — it’s already here, attendees of the recent MEMA Aftermarket Suppliers Vision Conference in Chicago heard.
In a presentation discussing MEMA’s 2025 Landmark Study results, Joe Dertouzos, partner and North America aftermarket sector co-lead with McKinsey & Company, highlighted the critical challenges and transformative potential facing the automotive aftermarket’s digital landscape.
The industry is at a pivotal moment, he explained, confronting complex obstacles while simultaneously exploring unprecedented opportunities for innovation.
“The aftermarket is the perfect sandbox for digital,” Dertouzos noted. With an abundance of data from vehicle inventories, consumer demographics and comprehensive catalogues, the industry is uniquely positioned to leverage technological advancements.
The presentation highlighted three fundamental areas of digital transformation: Strategy, capabilities and strategic partnerships. Dertouzos stressed that successful implementation requires more than just technological investment.
“It’s not just about attracting the best data scientist,” he explained. “It’s about training everyone in the organization to understand and embrace new technologies.”
Key challenges include attracting digital talent and standardizing complex data ecosystems. The study reported that 95 per cent of executives are planning digital initiatives within the next two years, with a primary focus on operational efficiency and enhanced customer interactions.
He showed examples of the potential impact, including automated logistics, AI-driven pricing strategies and generative design technologies. One showed how digital initiatives could improve margin performance by up to 10 percentage points.
“The numbers are huge,” Dertouzos noted. “This is the real difference between leaders and laggards in the industry.”
Image credit: Depositphotos.com
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