Case Study: Implementing Tariff Mitigation Plans
How is your business staying ahead when tariffs and cost volatility disrupt the market?
Leveraged industry experts, competitor analysis, and tailored pricing program to mitigate impact from supply chain disruptions.
The Challenge
A consumer products manufacturer was facing a 25% tariff on certain materials and related products. To mitigate the impact, the company needed a multi-pronged approach to strategically address changes in operations, costs, and pricing, including adjusting packaging, switching materials, discontinuing certain products, and shifting outsourced production. These operational changes resulted in ~6% cost increases, alongside rising ocean freight rates. These factors collectively demanded strategic pricing adjustments to maintain profitability.
The Solution
INSIGHT developed robust market intelligence through industry expert interviews, competitor data, and bill of lading data to anticipate market reactions to tariffs and identify competitive threats for targeted products and brands. We then established a weekly pricing tracker to monitor competitor movements ongoing. Additionally, we developed segmentation to model new pricing with cost pass-throughs based on strategic goals and crafted a dealer communication plan to effectively roll out the new pricing structure and timeline.
