After launching an online marketplace for consumers to search and compare automotive repair rates in 2013, Cambridge-based Openbay is making a big play to sell software directly to car repair shops — and it's getting some help from a major ecommerce company.
Openbay, which counts Andreessen Horowitz and Google Ventures as investors, announced on Wednesday that it has partnered with eBay Motors. The partnership will allow auto repair shops to easily search and compare prices for car parts from eBay Motors' inventory on Openbay's enterprise software platform.
Rob Infantino, Openbay's CEO and founder, told BostInno that revenue from his company's subscription-based software for auto repair shops has been growing at a compounded rate of 40 percent month-over-month since it launched in February. The software integrates into the repair shop's website, allowing customers to directly request estimates and schedule appointments.
With the new eBay Motors partnership, Infantino said the goal is to provide auto repair shops with an easier way to find better prices for car parts, which can have the dual effect of increasing their margins while also lowering repair costs for consumers.
"It’s a win for our customers because they get their car serviced the same day and the shops get more profit."
Infantino said it can also speed up the overall repair process, which can sometimes get slowed down by part deliveries that take days to arrive while a car sits in the bay. A recent survey by Openbay found that roughly 50 percent of customers at 180 independent repair shops request service more than two days in advance; the company also found this to be true for 72 percent of services booked through its online marketplace. To Infantino, this means there's an opportunity for shops to order parts ahead of time to complete jobs faster.
"It’s a win for our customers because they get their car serviced the same day and the shops get more profit," Infantino said.
Asked why repair shops wouldn't just go directly to eBay Motors' website instead of accessing its inventory through Openbay, Infantino said it's all about simplifying the process of searching for parts and comparing prices on a platform that provides other helpful features, such as automated quote service and scheduling.
Infantino said he plans to start raising the company's Series A financing round in the next year to invest more in marketing, sales and product development. It's been more than four years since the company raised its seed round from investors, which included GV, Andreessen Horowitz, Boston Seed Capital and Stage 1 Ventures.
While Infantino declined to discuss overall revenue, he said he expects the company to become profitable by the end of the first quarter of 2018.
