Paws, Prices, and Protection: How Pet Businesses Can Beat Tariff Troubles
As trade policies evolve in 2025, pet businesses are facing a growing risk: tariffs that can increase costs, erode profits, disrupt supply chains leaving empty shelves. Are you ready to protect your pet business -whether it’s a retail business or a service-based business from these challenges?
By now you know that tariffs are taxes on imported goods, and they’re being used more frequently than ever. This means higher prices for the products you all rely on to run your business. Even if you don’t import directly, your suppliers likely do, so price hikes can – and will - trickle down to you.
Sadly, in most cases, smaller pet businesses can be especially vulnerable. They may not have the financial cushion to absorb sudden cost increases or the negotiating power to find better deals. If your business is forced to raise prices, customers might turn to online retailers or big-box stores, making it harder to compete and maintain loyalty. So, what can you do today? Here I offer 3 steps that are proactive as you navigate the tariffs:
Review and Diversify Your Supply Chain
Start by mapping out where your products come from (start with your best sellers or most used items.) By understanding how many units you sell/need these key tariffed products produce, you can decide how quickly you need to find other potential suppliers. Remember, not all tariffs are created equal—some countries and products are tariffed higher than others. Once you know your jeopardy, you can look for alternative suppliers for products produced in non-tariff country. Diversifying your suppliers can reduce your risk of price spikes and shortages, giving you more stability and control.
Stay Informed and Advocate for Your Business
Tariffs and trade policies can change quickly. Stay up to date by following industry news and of course, getting newsletters like this one with business support providers who are specifically looking at this issue every day- for all their clients and are happy to share the details with you! If you have gathered information yourself that may be helpful to others in the same position as your business, remember to share your experiences—your voice can help shape policies that affect your business- Keep in mind that we’re all in this together!
Adjust Pricing while using targeted Marketing to keep customers closer strategically
If/when you have done the above and can’t find alternate providers, and therefore, must raise your costs, make sure to review your pricing and profit margins. You may need to adjust prices but do so thoughtfully. Be transparent with your customers about why prices are changing—many pet owners will appreciate your honesty and continue to support you.
You can also lessen the effects felt by your customers via the new tariffs by offering more value-added services, like grooming packages or increasing offers via your loyalty rewards, to differentiate your store and give customers more reasons to shop with you.
Now is the time to act. Take a close look at your inventory, explore new supplier options, stay abreast of the latest news, and of course, communicate clearly and often with your customers. For ongoing news, information, and support, the entire PIN community is here to help! We want to be a valuable resource for keeping your business ahead of the curve. Your proactive steps today will help you weather any trade policy changes tomorrow.
