Tariffs continue to disrupt supply chains, pressure margins, and complicate pricing for distributors—many of whom have little control over supplier-driven cost increases.
According to a recent Baird-MDM survey, distributors anticipate tariff-related cost increases and express concern over margin compression and supply chain planning.
To stay competitive and protect profitability, here are three practical, pressure-tested strategies:
1️⃣ Anticipate and plan for volatility
Use scenario planning, demand forecasting, and supplier diversification to prepare for trade policy shifts.
2️⃣ Implement strategic pricing agility
Make product-specific, data-driven adjustments rather than broad price increases—supported by strong internal collaboration.
3️⃣ Maintain continuous flexibility
Evaluate when to absorb costs, pass them on, or offer alternatives to protect customer relationships and stay competitive.
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#DistributionStrategy #SupplyChainResilience #tariffs #IndustrialDistribution #RivetMRO #TuesdayTidbit
