In the last year, e-commerce brands have faced a new layer of unpredictability: rapidly shifting tariff rates ranging from 10% to 145%, depending on the product category and country of origin. For businesses that rely heavily on overseas manufacturing, especially in Asia, these abrupt changes have created operational bottlenecks and financial strain.
But for some brands, the shock has given way to strategy.
Freezing, Then Pivoting
When a 46% tariff was suddenly imposed on furniture imports from Vietnam, direct-to-consumer furniture brand Coddle had no choice but to pause production.
The brand’s CEO, Ana Arun, knew action was needed—fast. “In a crisis, you don’t do things over the phone,” she said. “You go there in person and figure out what to do next.”
Coddle’s leadership traveled to Vietnam to assess the situation on the ground, meet with suppliers, and determine the best course of action. With the tariff temporarily reduced to 10% for a 90-day window, the brand resumed production on only its top-selling items. It paused the development of new products and carefully managed its inventory due to rising costs and storage constraints.
This sort of tactical, short-term reaction is becoming increasingly common. For Coddle, the experience highlighted the importance of acting quickly and directly when trade policy threatens the business model.
Diversifying Supply Chains Ahead of Time
Other brands began diversifying their sourcing long before the latest wave of tariffs. Duradero, a growing work boot company, was one of them.
Duradero now works with suppliers in Mexico, Vietnam, and the Dominican Republic. That decision, made months before the recent tariff hikes, allowed the brand to avoid over-reliance on any one region. It also enabled them to launch 36 new SKUs in 120 days, a process that, in Mexico alone, would have taken more than a year.
“Having options gave us confidence,” said a Duradero spokesperson. “When others froze orders, we kept building.”
That flexibility has allowed the brand to remain aggressive in the market, even as uncertainty makes competitors more cautious.
Creating Value Without Raising Prices
Duradero also found a way to increase customer loyalty without relying on low prices alone. Their “Twice the Life” guarantee offers a free resole and reconditioning for every pair of boots sold. It’s a cost-effective service that boosts perceived value, without triggering higher tariff costs.
Coddle, meanwhile, has leaned into the practicality of its multifunctional furniture. Convertible sofas and loungers meet evolving consumer needs in smaller, multi-use living spaces. The brand has emphasized quality and versatility in its messaging to reassure customers who may be overly cautious about large purchases during inflationary periods.
Managing Pricing and Consumer Trust
As tariffs drive up costs, e-commerce brands must decide how much of that burden to pass on to customers. Some, like Coddle, are transparent about the risks ahead. Others are opting for messaging like “no price hikes—for now” to maintain trust without locking themselves into long-term commitments.
Duradero is also weighing price changes carefully. “You have to consider your customer’s mindset,” said the spokesperson. “If you build value into the product, the price conversation becomes easier.”
Both brands actively communicate with their customers, offering clarity around pricing and delivery expectations as they navigate the tariff environment.
Strategic Action in a Changing Landscape
In a volatile trade climate, brands that stay nimble and prioritize value are best positioned to weather the disruption. Strategic supply chain moves, smart pricing, and clear customer communication are helping brands turn disruption into opportunity and build lasting resilience for the future.
