Why credits? Why $100?

It was February 1986 when Atlantic launched its first service guarantee throughout New England. Our promise: "Guaranteed next day delivery when you order in stock fasteners by 3 p.m., or we send you a $50 credit." Two years earlier, customer research had revealed a key desire for quick delivery. We made up our minds we could fulfill that need and others. So we reengineered our internal systems, including doubling our warehouse.

Systems in place, we next tested United Parcel Service, which delivers 98% of our orders. We shipped to 91 locations, a sample of the thousands it services next day by ground from our plant. Only one reported a late delivery.

Then came an unadvertised, one-month dry run for our shipping department. Except for a few orders, all that should have shipped the same day, for next day delivery, went.

At last we were ready for the launch. And what better way to dramatize our claim than by offering a money-back guarantee. We chose $50 because in 1986 that's what it cost on average for a company to correct an error. We decided on credits, rather than cash, to promote return business.

 

Next day delivery was an instant success. Soon after we added error-free shipping and billing. Later we revised our original guarantee to encompass all of the U.S. and added four more guarantees. Each, like the first, was carefully researched and tested before introduction.

By late 1997 industry studies were showing that the average cost of correcting an error had risen to $100, so we upped the credit amount to $100 in January '98. By then, Atlantic had been offering guarantees for 12 years and had only issued 476 credits.

Overall we've been quite satisfied with our performance, especially since the number of credits we issue each year tends to drop even as business increases.

Of course, we won't be ecstatic until we have a zero-credit year and all customers are completely satisfied.

What about you? Are you ready for world-class service, backed by six, $100 service guarantees?

We welcome your business. So please try us today.

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