Tektonic 2026: What 1,000 Auto Repair Pros Learned in Houston—and What You Should Steal

Kris Turner

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April 17, 2026

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Read time: 3 min

Almost 1,000 shop owners, service advisors, and technicians gathered in Houston for Tektonic 2026, Tekmetric's first industry conference. Over two days at the Marriott Marquis, attendees packed breakout rooms, traded hard-earned lessons, and heard from operators, coaches, and industry leaders who have built and scaled shops of their own.

The Question That Started It All

Tekmetric CEO and Founder Sunil Patel opened Tektonic 2026 with a question he has been asking since he was writing service tickets and mopping floors at his former Houston shop, Motorwerks of Houston: "Why does it have to be so hard? Why does it have to feel like we're fighting a war on 12 fronts?"

That question, he told the room, is the reason Tekmetric exists.

Standing in front of shop owners, service advisors, and technicians who understand that question on a cellular level, Patel walked through how much harder running a repair shop has become. Vehicles are packed with software, sensors, and calibration systems that require entirely new toolsets. Customer expectations have been shaped by on-demand everything. Technician shortages continue to press on shops across the country. And OEM data restrictions are making it harder for independent shops to do the work they were built to do.

But Patel didn't stop at the challenge. He laid out four pillars he believes the industry needs to move forward: stop celebrating burnout as a badge of honor, build genuine trust with customers and teams, invest in an ecosystem of great partners and vendors, and embrace technology that serves shops rather than extracts from them.

He closed with a simple ask for everyone in the room: be curious, be open, be generous with what you know, and be present. 

"I want you to take something away from here," he said. "Something that will get you to be 1% better than you were."

That set the tone for everything that followed.

Top Takeaways

Process Consistency Wins on the Hard Days

Busy days don't create problems. They expose them. The best shops build their standard operating process before the chaos starts.

  • Call the day before. A preappointment call to review service history and flag overdue maintenance turns intake from reactive to planned and primes customers to say yes before they walk in the door.
  • Speed is your biggest sales tool. Every hour between drop-off and delivering an estimate costs roughly 10% in approval rates. Get findings to customers fast.
  • Set the next promise, not the finish line. Never promise a completion time you can't guarantee. Promise the next specific update and deliver it on time, every time.
  • The in-store customer is the highest-priority repair order in the building. Every other car can wait. The person sitting in your lobby cannot.
  • Improve one thing at a time. Pick one process to fix, measure it, and build accountability before moving to the next. Trying to fix everything at once fixes nothing.

Speed Closes More Jobs Than Salesmanship

Closing rates drop sharply with every hour that passes between drop-off and the customer call. A customer who has been waiting since 8 a.m. has had time to read every one-star review and talk themselves out of approving the work.

  • Get inspection results to customers within 30 minutes of dispatch. That's the speed zone. Everything else in the shop is secondary until that call is made.
  • In-store customers get findings in 15 minutes or less. The customer is sitting right there. Use it.
  • Relative priority is your daily compass. At any moment, the most important thing is moving the car that's furthest behind in the process. Not the loudest customer. Not the most expensive ticket. The earliest step.
  • Two daily goals. Full stop. Every technician runs at least eight billable hours. The shop hits its gross profit target. Nail both and everything else follows.

You Don't Have a Technician Shortage. You Have a Culture Problem.

The technician pipeline isn't as broken as it seems. What's broken is how many shops make it hard to stay.

  • Rethink flat rate. Hybrid pay models that combine a solid base with performance incentives align your team's goals with the shop's goals and they're far more attractive to the next generation coming into the trade.
  • Answer two questions before you do anything else. Why would a technician work here? Why would a customer come back? If you hesitate on either, start there.
  • Recognition is the highest-ROI leadership move you have. Research cited at the conference found that team members become disengaged because they don't feel seen. Fix that before you invest in anything else.
  • AI won't replace hospitality. Technology can handle administrative weight, but the trust a service advisor builds with a customer at the counter is irreplaceable. Invest in that skill set.
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P.J. Leslie, Tekmetric's head of mid-market and enterprise sales, moderates a panel during Tektonic 2026 in which multishop owners break down the real strategies behind expansion: buying shops, building shops, systemizing operations, integrating teams, protecting culture, and planning for eventual exit or partnership.

Growing to Multiple Locations Takes More Than Money

Every multishop operator on the stage agreed: you're never fully ready, and that's fine. What matters is being profitable, having the right people, and expecting the unexpected.

  • Profitable and cash-positive before you move. When you make a mistake at location two—and you will—you need a healthy location to cover it.
  • You're ready when your shop doesn't need you. Build your bench before you open the next door. The manager for location two should already be in your building today.
  • Start your exit plan on day one. Almost no one in the room at one of Tektonic’s breakout sessions had a clear exit strategy. Don't leave money on the table because you never thought through how the story ends—whether that means selling, transitioning, or building for long-term cash flow.

Leadership Is the Ceiling on Everything Else

Your shop will never outperform your leadership. What you tolerate becomes your standard. How you show up on Monday morning sets the emotional temperature for everyone around you.

  • Know your triggers before they know you. Name what sets you off. Once you can spot it, you can stop it before it damages a relationship.
  • Pause for three seconds. Before you respond to anything that's gotten under your skin, stop. Three seconds is the difference between a reaction and a response.
  • Hear less. Listen more. After someone finishes speaking, let the silence sit. People almost always have more to say and the second thing is usually the real thing.
  • Walk into hard conversations knowing how you want them to end. Start with the outcome in mind, not the grievance.
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Tekmetric Chief Product Officer Jared Haleck breaks down Tekmetric's new products at Tektonic 2026. The new products include Tekmetric digital ads, Smart DVI, and Tekmetric phones.

Product Announcements at Tektonic 2026

The closing session belonged to the Tekmetric product team. Drawing on data from more than 15,000 shops on the platform, Tekmetric President and COO Lauren Langston and Chief Product Officer Jared Haleck built the roadmap around key areas where winning shops consistently outperform the rest: car count, average repair order (ARO), driver experience, and cycle time.

Here's a look at what’s coming:

Tekmetric Digital Ads: AI-powered advertising on Google Maps and Search, built for the moment a driver has a problem and is ready to act. It connects directly to Tekmetric so you can see the gross profit behind every dollar of ad spend, not just clicks.

Smart DVI: Technicians walk the vehicle, narrate what they see, and Smart DVI builds the customer-ready inspection report automatically—findings organized, images annotated, and jobs pre-suggested for the estimate. Less time typing. More time turning wrenches.

Tekmetric Phones: Customer details, open repair orders, and communication history surface the moment an inbound call rings. No more looking it up while someone's waiting. A future capability in development will transcribe calls in real time and auto-populate appointment notes.

See You in 2027

Tektonic 2026 was Tekmetric's first industry conference, and it delivered on the promise Sunil Patel made from the stage: a room full of shop owners, service advisors, and technicians who showed up to get better.

The through-line across every session was the same. The shops that win are the ones that build systems, invest in their people, and keep getting 1% better. Not all at once. One thing at a time.

Registration for Tektonic 2027 is already open. We hope to see you there.

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👉 Ready to grow your automotive business? [Book a personalized Tekmetric Demo Here]

FAQ

More articles

Compare your shop's performance against real data from thousands of auto repair shops by state.

Benchmarking data is only useful when it changes what you do next.

If you've run your shop's numbers through the Tekmetric Shop Index and seen where you rank on ARO, car count, parts margin, and effective labor rate — good. You have a diagnosis. Now you need a plan.

This post walks through what each gap in your TSI results is actually signaling, which operational levers move the needle on each one, and how to build a focused 90-day improvement target that gives your team something concrete to work toward.

Start With the Biggest Gap

Your TSI results will show you four rankings. Resist the temptation to try to improve all four at once. The shops that make the most progress pick the metric with the largest gap and stay focused on it for a full quarter before adding another priority.

Trying to improve ARO, car count, parts margin, and effective labor rate simultaneously often means improving none of them because the operational changes required for each are different and can compete for your team's attention.

So step one is simple: look at your four rankings, find the biggest gap from the industry benchmark, and start there.

Gap: ARO Below Benchmark

If your average repair order is lagging, the most common root cause is inspection performance. Either digital vehicle inspections (DVIs) aren't being completed consistently, or they're being completed but not converted into approved work.

A few questions to answer before you act:

  • What percentage of repair orders have a completed DVI attached?
  • Of the DVIs sent to customers, what percentage include photos or video?
  • What's your close ratio on recommended work?

If DVI completion is below 90%, that's almost always the first lever. Tekmetric's Inspection Report shows completion rates by technician, making it straightforward to identify who needs coaching and who's already performing well.

"Now I can look at everybody at a glance. I can be in a different state, different city and know exactly what's going on in each location all the time."  — Leroy Ingram, Ooroo Auto Care, Tekmetric Customer

If DVI completion is strong but close ratio is low, the issue is likely in how inspections are being communicated to customers — photo and video quality, the language in findings, how quickly the estimate follows the inspection.

Shops on Tekmetric also have access to the Parts and Labor Matrix, which protects against underpricing. It can be a quiet ARO killer that doesn't show up until you look at margin data.

➡ See how your ARO compares →

Gap: Car Count Below Benchmark

A car count gap can mean two different things depending on how it breaks down: you're not bringing in enough new customers, or your existing customers aren't returning at the rate they should. Both problems need attention, but they need different solutions.

For new customers, the questions are acquisition-focused. Tekmetric's online booking gives customers a way to find you and schedule an appointment 24/7 — filling bays without your team picking up the phone. The more friction you remove from the booking process, the more new customers follow through.

For returning customers, the questions shift to communication. Are declined jobs being followed up? Are customers receiving service reminders? Tekmetric Marketing automates follow-ups on declined work and scheduled maintenance intervals — so your team stays in contact with your car count without adding manual effort.

"Seven hundred and two dollars in ad spend has generated 11 net-new customers and $12,802 in new customer revenue — an 18.3x return on ad spend before factoring in the lifetime value of those customers returning for future visits."  — Tanner Markham, Phase 2 Automotive, Tekmetric Customer

➡ See how your car count compares →

Gap: Parts Margin Below Benchmark


A parts margin gap is almost always a pricing problem — either your markup isn't keeping up with cost increases, you're applying flat markup where a tiered matrix would protect margin better, or your team is manually overriding prices inconsistently.

The fix starts with reviewing your Parts Matrix in Tekmetric. A well-structured matrix automatically applies the right markup based on part cost ranges, removing the inconsistency that comes from individual pricing decisions at the job level.

After updating the matrix, run your Parts Purchased Report to verify that retail pricing is reflecting the changes accurately. This is also a good time to cross-reference against recent vendor invoices — if costs have moved significantly in the last 6 months, your matrix thresholds may need updating.

➡ See how your parts margin compares →

Gap: Effective Labor Rate Below Benchmark


If your effective labor rate is trailing your posted rate, the most common culprits are inconsistent discounting, flat-rate job structures that cap labor recovery, or package pricing that doesn't account for actual labor time.

Start by pulling your Discount Detail Report to see where and how often discounts are being applied. If they're being applied inconsistently across your team, that's a coaching conversation — and Tekmetric's real-time reporting makes it easy to see which service writers are discounting most frequently.

The Labor Matrix is the structural fix. Similar to the parts matrix, a tiered labor matrix adjusts the billed hours or dollar amount based on configured ranges, protecting margin without changing what customers see on the invoice.

➡ See how your effective labor rate compares →

Building a 90-Day Improvement Target

Once you've identified your primary gap and the lever that addresses it, the last step is turning it into a measurable target for the next 90 days.

A good 90-day target is specific, tied to a leading indicator, and gives your team something to track week over week. For example:

  • ARO gap: "Increase DVI completion rate from 72% to 90% over 90 days, tracked weekly via Inspection Report"
  • Car count gap: "Launch declined-job follow-up automation within 30 days; track returning car count monthly for 90 days"
  • Parts margin gap: "Update Parts Matrix for all parts under $150 within two weeks; track parts margin weekly via Parts Purchased Report"
  • Labor rate gap: "Reduce average discount percentage by 15% over 90 days, tracked via Discount Detail Report"

These aren't arbitrary numbers — they're examples of the leading-indicator approach that lets you see progress before the outcome metric moves. Set yours based on where you're actually starting, not where you want to end.

Check Your Rankings Quarterly

Your TSI results are a snapshot. Set a reminder to re-run the benchmarking every quarter so you can see whether your numbers are moving relative to the industry — not just relative to your own history.

The shops that use benchmarking most effectively are the ones that treat it as a recurring discipline, not a one-time exercise.

"Thanks to Tekmetric, we've really enhanced our business and are looking to expand. We're the #1 shop, 6 years in a row in Upstate New York."  — Chris Chevalier, AAA Auto Repair, Tekmetric Customer

➡ Benchmark your shop now →

Takeaways

  • Start with your biggest gap — don't try to move all four metrics at once.
  • ARO gaps usually trace back to DVI completion rates or close ratios.
  • Car count gaps split into acquisition and retention problems — each needs a different fix.
  • Parts margin gaps are almost always a pricing matrix issue.
  • Effective labor rate gaps often come down to discounting habits and job structure.
  • A 90-day leading-indicator target turns benchmarking data into team direction.

➡ Benchmark your shop now →

Chargebacks are something that no shop owner wants to deal with.

Your business relies on big-ticket sales, and chargebacks on those sales can squeeze your margins.

When a guest goes through their bank or credit card company to get a refund, whether it’s because they were unhappy with the repair or not, it can leave shop owners in a bind where they might have to eat the cost of the labor, parts, and profit.

There are some cases where business owners can make a case against the chargeback, but it can be a lengthy process and most banks and credit card companies will side with the cardholder who’s making the complaint.

Protecting your business from chargebacks doesn’t start when the payment is processed, nor does it end with being reimbursed for a single chargeback. The best way to protect your business from chargebacks is to establish clear, open communication with your guests and adhere to a consistent and secure payment process.

Always Get Your Guests’ Consent Before Doing Work

When your service advisors take guests through the repair order, they should listen carefully to what the client wants; service advisors can never be too careful.

If that means spending some extra time to review the repair order with the guest, it’s time well spent.

A little more time spent on the front-end can save you a lot more time on the back-end. Once the RO is thoroughly reviewed, you can get either written or verbal consent for the work and the cost. It’s worth keeping in mind that it’s easier to document written consent.

Shop Tip: Use the Courtesy Inspection to Guide the Approval Process.

Using a shop management system like Tekmetric where the guest can see the courtesy inspection and click through and select the work they want and the work they want to put on hold can set clearer guidelines for both the guest and the service advisor.

Establish a Transparent Relationship with Your Guests

Providing excellent customer service is good practice for any auto repair shop, but it also goes a long way toward preventing chargebacks.

Let your guests know that you’re committed and dedicated to fixing their problem, even if that means taking their vehicle back into the shop if the guest is not 100% satisfied.

If you make it clear to your guests that they can come back to you about any concerns, they are far less likely to go to their bank or credit card company first. And it’s better to do a little extra work to ease the mind of your guest than it is to give away an entire repair order for free or go through legal hassles.

Shop Tip: Set a Clear and Easy Return Policy.

If your shop doesn’t already have one, consider establishing a clear and easy return policy and make it visible to guests via signage or with messaging on repair orders.

Simple policies such as “If you’re not satisfied, call us, and we’ll make it right” can go a long way in terms of letting guests know they should go straight to you if there’s something wrong.

Entrepreneurs play a vital role in transforming our lives by disrupting markets and revolutionizing industries. We are thrilled that Sunil Patel, Founder & CEO of Tekmetric is to be recognized as a finalist for the Entrepreneur Of The Year®. 2025 Gulf South program. As the world's most prestigious business award for entrepreneurs, now in its 40th year, Entrepreneur Of The Year is at the forefront of identifying game-changing business leaders. The program has honored the inspirational leadership of such entrepreneurs as Howard Schultz of Starbucks Corporation, Eric Yuan of Zoom, Jodi Berg of Vitamix and Kendra Scott of Kendra Scott LLC.

We're honored to have Sunil recognized among so many other ambitious business leaders in the Gulf South. Learn more about the Entrepreneur Of The Year Gulf South program and follow us along on our journey to the regional awards celebration!
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Link to full article

Learn more about the story of Tekmetric and Sunil Patel in our latest documentary.

Sunil Patel Earns Finalist in Entrepreneur Of The Year

May 13, 2025

Read time: 3 min

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