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Exotic sports car business ships in the fast lane

Technician applies Fabspeed branding to an aftermarket auto part

Say you own a Ferrari, Lamborghini or Maserati, and you want more power or a more exciting exhaust note? When your car is worth six figures, you're not going to take it to your local muffler shop. You need experts who know the ins and outs of high-end cars. Cue Fabspeed Motorsport.

The Philadelphia-area company specializes in upgrades of high-performance intakes, exhausts and on-board computers for exotic sports cars. They know how to optimize an exhaust system from its manifold to its tailpipe. The payoff: Upgrades from Fabspeed allow a vehicle to "breathe" easier, often giving it 10 to 30 percent more power.

With a worldwide customer base of affluent individuals waiting to get even more pulse-pounding excitement out of their time behind the wheel, Fabspeed needs its valuable shipments to be fast and secure.

The importance of shipping speed

Fabspeed ships products domestically and internationally from its 30,000-square-foot manufacturing and showroom facility in Fort Washington, Pa. "Our customers have the income to get what they want when they want it," says David Wollman, marketing manager at Fabspeed. "A big part of our business is being able to supply that customer with a premium product in a short period of time. Faster transit times – even if it is just a day – mean a lot to us and has allowed us to close more sales."

UPS recently improved UPS® Ground transit times from the Philadelphia area. So, customers now can ship ground packages to 57 percent of U.S. businesses within two days, including those in Boston, Chicago, Detroit, Miami and Milwaukee, and to more than 70 percent of U.S. businesses within three days, including those in Dallas, Denver, Houston, New Orleans and Minneapolis. "For a company like Fabspeed, that can make a huge cost difference because they serve a time-sensitive and demanding market," says Thomas Daynorowicz, director of enterprise accounts for UPS.

Worldwide needs

UPS has helped Fabspeed on international deliveries as well. "A lot of what we ship are large packages of high-value products, so getting them through customs and dealing with tariffs and landed costs can get dicey and confusing for customers," says Wollman. "Being able to communicate to them what the landed cost will be takes a lot of the guesswork out of it for them."

On the inbound supply side, Fabspeed imports components used to manufacture its products, such as catalytic converters from Germany, muffler valves from the United Kingdom and muffler packing materials from Asia. "We were operating in the dark for years because our suppliers would just use their regular carrier. We would not know where our supplies were or when they would arrive," Wollman says.

"Since we started having our vendors ship via UPS, we have a much better picture of what's coming in and when it will arrive," he says. UPS tracking numbers and improved end-to-end visibility make it easier to calculate lead times so the company can let its customers know when they will be getting completed products. When Fabspeed uses its account number for inbound vendor shipments, doing so triggers higher overall volume discounts.

Insuring high-value parts

Fabspeed had been individually insuring each outbound shipment for its replacement value. Daynorowicz connected Fabspeed with UPS Capital® to arrange a blanket cargo insurance policy that covers both inbound and outbound shipping. Wollman says that the policy "saved us a lot of money, upwards of $10,000 per year" and that, overall, the savings on domestic and international shipping is estimated to be about $52,000 since switching to UPS.

Plus, he says, "it allows (Fabspeed) to be more aggressive about selling to customers in the Middle East and elsewhere."

Growth where it counts

Wollman has seen the benefits of Fabspeed and UPS working together. "Our growth has gone through the roof – I'm talking 30 to 85 percent in some months, and that's why it's valuable to have someone like UPS supporting us and watching us," he says. "As you know, sometimes if you grow too fast you can go right in the tank. It's nice to connect with UPS. It feels like they are partnering with us and have our back."

About UPS Ground service and enhancements, click here. To see time-in-transit enhancements for your location, visit ups.com/maps and enter your ZIP Code.

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