Tariffs, Margins, and the Real Cost of a Roll: What Small Biz Owners Need to Know
If you’ve been hearing more about tariffs lately, you’re not alone—and if you’ve felt the ripple effects in your margins, you’re definitely not the only one. While most headlines focus on big importers, the reality is: small businesses feel the hit first.
At Shippy Tape, we’re a tiny team that designs, imports, and ships colorful packing tape. When tariffs change, it’s not just a policy update—it’s a margin shake-up. And in a product-based business where every cent counts, cents really do compound.
Why This Matters (Even If You Don’t Import Products)
Even if you don’t directly import your goods, chances are your suppliers do. Which means costs may rise downstream—whether it’s for materials, packaging, or shipping. If your business relies on affordable inputs or steady inventory, a tariff hike can quietly eat away at profitability before you even realize it.
What We’re Thinking About (And You Should, Too)
We were recently inspired by Suze Dowling, Co-Founder of Pattern and an all-around ecommerce brain we trust. In a recent newsletter, she urged founders to audit their business in the face of tariff updates—not panic, but sharpen.
“In a high-volume business,” she wrote, “cents compound into margin, and margin compounds into optionality.” That stuck with us. Because at the end of the day, better margins mean more freedom: to grow, to pay yourself, to survive a rough quarter, or to test a bold idea.
Ideas to Help Weather Cost Pressure
You don’t need to overhaul your whole business, but it is a good time to ask yourself:
- Are your products built too fancy? (Customers may not notice that upgraded component you’re paying extra for.)
- Can you renegotiate fulfillment or 3PL fees? Even small changes can unlock double-digit savings.
- Are your HTS codes current? A reclassification from your customs broker could save 3–5% in duties—worth the ask.
- Are you paying for extras that don’t convert? Inserts, mailers, or print finishes might be nice to have—but are they necessary?
None of these are glamorous. But they’re practical. And in seasons of pressure, practicality is what keeps a brand resilient.
Our Take at Shippy Tape
We’re not immune. We’ve seen freight costs fluctuate wildly. Tariff classifications change. Materials spike. So we’re revisiting every cost line. We’re auditing what’s essential and what’s just… tradition. We’re even testing alternate packaging styles to optimize dimensional weight charges.
And we’re being transparent: if price changes are coming, we’ll communicate them early and clearly—because we’re small business owners just like you, and we know how much clarity matters.
Keep Rolling, But Stay Smart
The goal isn’t perfection. It’s adaptability. So whether you’re a one-person Etsy shop or running your own warehouse, now’s a great moment to zoom in on margin. Tariffs may come and go—but your ability to assess, adjust, and keep rolling? That’s what lasts.
Stay scrappy. Stay curious. And if you ever want to talk shop—margin, shipping, or just why cute tape still matters—we’re here for it.
Inspired by Suze Dowling’s newsletter on navigating margin pressure. Follow her at LinkedIn or check out her company, Pattern Brands.
