There is no doubt that a compelling guarantee will give your firm a competitive advantage.

Think of it like this:

Two identical products, two identical services, two online book stores, two hotels. One of these businesses in each sector has a guarantee in place, one doesn’t. Which one do you choose?

One of the reasons Amazon is so attractive is that it offers an excellent returns policy. It’s the go-to place if you want to buy something online, due to its level of guarantee.

By offering such robust guarantees, Amazon assumes a greater risk should something go wrong, such as a failed product or a late delivery.

What is the balance of risk for the guarantees you have in place for your services or products?

What would happen if you were to shift this risk more towards yourself, the supplier, and away from your buyer?

When there is no guarantee in place for failure or late delivery, the risk of buying lies entirely with the sceptical or doubtful buyer.

Provide a 100% money-back satisfaction guarantee and the balance of risk shifts to you and away from the buyer.  

The more you shift the balance of risk to yourself, the more you reduce buyer doubt.