01/23/2025
Prepare Your Business for Potential Industry Changes in 2025!
As is customary, dealers, distributors, and online resellers typically receive updated product price guides from vendors at the start of each year. However, if you haven’t received yours yet, you’re not alone—and there’s a likely reason for the delay.
Manufacturers are closely watching developments regarding potential new trade tariffs on China. With trade negotiations underway, these tariffs could significantly impact pricing and availability across industries, including AV and construction.
It’s clear that trade tariffs are a critical component of U.S. strategies to level the global trade playing field. While many support these efforts, the implications for businesses in these sectors cannot be overlooked. Tariffs are likely to contribute to price increases, product shortages, or both.
How Is Your Business Preparing for These Changes?
Here are a few steps to consider:
Stock up on key products: Ensure you have sufficient inventory of your top-selling items to avoid disruptions.
Evaluate investments carefully: Consider whether it’s the right time to delay major expenditures.
Prepare your clients: Communicate proactively about the potential for price adjustments or product delays. Include these contingencies in your proposals to protect your margins.
Some companies, like Crestron, have taken proactive steps to mitigate these challenges. Learning from the supply chain disruptions of the COVID-19 pandemic, Crestron has ensured adequate stock to keep products available for customers. Notably, as of April 2024, they’ve even reduced prices on select items to support client budgets.
Advice
Stay ahead by preparing now. Research your supply chain, review your pricing strategy, and communicate openly with your clients. By taking these steps, you can navigate the uncertainties ahead while minimizing potential disruptions to your business.
