Atlas® Van Lines’ intent has always been to drive profit to the front line where the work is done. The Agents. Now, that intention has manifested into a historic initiative that will reduce Atlas’ retention rates for the Agents of Atlas Van Lines and Atlas Logistics® and increase capacity for the organization overall— the Hauling Rebate.
Having taken effect on July 1, 2022, the Hauling Rebate reduces the commission the van line retains on every interstate shipment through a .5% (50 basis points) rebate to be paid annually each January. But why stop there? Effective July 1, 2023, that rebate will increase another .5% (an additional 50 basis points) to a total yearly rebate of 1% (100 basis points), with an annual credit being paid to the Agency owner who was the hauler of record on qualifying shipments.
“With the Hauling Rebate, we are now the most cost-effective interstate carrier in the country,” says Jack Griffin, Atlas® World Group Chairman and CEO. “We were already competitive, and now we’re paying even more for hauling, showing current and potential Agents the benefit of being affiliated with Atlas®. It’s very exciting.”
2021 was a record year for Atlas, with 2022 looking even brighter. So rather than do what their competitors might, the executive leadership made the bold move to use their good fortune to stimulate hauling—and their Agent family.
“We all said that the biggest thing we’re dealing with is generating hauling capacity to meet demand. So, let’s put money back in the Agents’ pockets to grow our capacity and make the Agents more profitable,” says Don Breivogel, Executive Vice President and CFO, Atlas World Group. “It’s total confidence in our future. We have the best Agent family and Professional Van Operators (PVOs) in the business, all of whom help us produce incredible results.”
The goal of the Hauling Rebate is to create a pool of funding for Agents to reinvest in their hauling capabilities. “We are only strong if our Agents are strong. We hope this rebate funding will be used to invest in new equipment, PVO growth such as sign-on bonuses, or even systems to create ease-of-use interactions,” says Barry Schellenberg, President and COO, Atlas Van Lines. “We want to make sure they are healthy, strong, incentivized to grow, and putting those funds to good use to help our model improve.”
When the decision was officially made at a Board of Directors meeting in Lake Geneva, Wisconsin, this past spring, Griffin says the mood was extremely optimistic. “At the end of the vote, everyone felt that history had been made with this significant amendment to our pricing structure. An Agent Board Member approached me and said, simply, ‘Promises kept.’ That has truly stuck with me.”
Schellenberg has also received positive feedback from Agents, with one telling him, “This is the best day that Atlas has seen as a network in a long, long time. Our competitors are raising retention— not us. This shows me we are healthy,” says Schellenberg. “I’m happiest that we’re doing this together. Not just headquarters. Not just the Agents. It’s a team, and we’re driving sustainable business performance that will carry us into a very bright future.”
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