We connect pre-qualified collision repairers with car owners, insurers and fleet management companies in communities across North America & the globe, regardless of brand affiliation. All while delivering value-added services to our subscribers - through our proprietary online marketplace.
Current Status
Our marketplace went live in August 2019 and since then we have over 100 subscribers spread across Canada and United States.
Market
Canada market value: $6B
USA: $50B
Global: $304B
Over 35,000 body shops in Canada & USA with 70% of them being independent and in need of a solution that will give them national exposure, introduce them to insurance, fleet and other commercial programs.
Problem or Opportunity
There are over 35,000 auto collision/autobody shops in Canada in the USA combined. 70% of those shops are independently owned and are not part of a network, franchise, chain or banner. Many of the independent shops are located in territories that have already been sold by franchises, membership groups and corporate consolidators. Insurance companies, fleet companies, car owners, ride-share and car-share drivers need an easy way and scalable way to access the entire collision repair marketplace in one location. CrashBay is essentially the "Booking.com" for the collision repair industry. We solve the capacity bottle neck that currently exists because most consumers are directed to national banner groups.
Solution (product or service)
We provide a one-stop shop solution for all collision repair and Autobody needs. We pre-qualify shop subscribers and we offer a brand agnostic marketplace that levels the playing field for independent shops by allowing them to compete with large national chains.
Competitors
National franchises, banners, networks, multi-store operators (MSO's) and small independent operators.
Nobody is offering a solution like CrashBay that can service both the Independent operator as well as the networks and chains.
Advantages or differentiators
We are brand agnostic, subscription-based, affordable and provide ultimate choice to the consumer/fleet/insurer through our qualified open marketplace.
1. Monthly recurring revenue via minimum subscription
2. Incremental revenue via appointments
3. Accretive revenue via services
4. Our expected EBITDA margins ~50%-60% similar to software companies
5. Aftermarket industry CAGR 3.5%
6. Industry average repair cost growing by 4.9% YoY
7. Shop-level EBITDA margins ~ 10%
8. High variance in store to store profitability creates value-enhancing opportunities (to offer our a-la-carte services)
Money will be spent on
Expansion, brand development, marketing, website infrastructure enhancements, potentially mobile application and talent.
No direct ownership or contract authority over the shops, however we mitigate this through our rigorous pre-qualification standards as well as our right to terminate shops for breach of our standards.
