April 28, 2025
Retail Dive recently published an article featuring Greg Stoller, Master Lecturer of Strategy and Innovation, discussing how retailers are facing significant pricing challenges due to the latest round of tariffs, which are creating uncertainty around costs and squeezing consumer budgets.
To stay competitive, large retailers are absorbing some of the cost increases, while smaller businesses are rethinking assortments and scaling back promotions. As retailers look for ways to protect margins without alienating customers, technology, particularly AI-powered pricing tools, is becoming essential for making smart, data-driven decisions.
One strategy, Stoller notes, is tamping down other costs, like marketing, an option most viable at larger companies like Walmart.
Clear communication with both suppliers and customers is also crucial. Some retailers are even exploring transparent pricing labels to show how tariffs affect final costs, helping maintain trust during this volatile period.
