Unlocking the Value of AI and ML to Transform the OEM Aftermarket
Across the board, manufacturers in industries such as automotive, agriculture, construction, industrial equipment, and mining sectors are focused on capturing a slice of the service market. Compared to sales, services offer three key benefits – growth opportunities, higher margins, and greater customer satisfaction.
Research suggests that while services account for an average of just 30% of revenue, the margins are more than double compared to the sales of parts. Estimates and forecasts vary by industry, of course, but the central theme is the same. And that’s attracting greater competition – a trend that is likely to accelerate. As technology continues to advance exponentially, the digitization of data has created mountains of information that can be analyzed and used to make better business decisions.
The human brain does not have the capacity to evaluate and interpret terabytes of information. However, computer software with artificial intelligence (AI) and machine learning (ML) capabilities does – within seconds. Being able to do this at scale is a significant step toward turning quantitative and qualitative data into actionable insights to improve your service business.