Survey: Here's how consumers, small businesses are preparing for tariffs
Consumers are making moves to prepare for potential future tariff-related price hikes, while small business owners are also bracing for impact.
Over a third (36%) of Americans have made a recent purchase specifically to avoid price hikes, while 20% have made a larger or more impulsive purchase than usual out of fear of future price increases, reveals a new survey from CouponFollow. One-in-10 consumers are buying big-ticket items sooner than they planned in order to avoid price increases, including vacations (25%), new appliances/electronics (23%) and new cars/vehicles (20%) on hold.
More than four-in-five (84%) consumers worry that tariffs will drive up the cost of everyday goods, and a nearly identical share (83%) don't believe businesses only raise prices when it's necessary due to tariffs. Groceries (79%), household goods (46%), gas and energy (42%) and electronics (36%) are the categories that consumers surveyed by CouponFollow expect to become the most expensive due to tariffs.
[READ MORE: Survey: Six-in-10 consumers planning budget cuts in coming months]
On the business side, 37% of small business owners say they don't feel prepared to explain price increases to their customers, while two-thirds (66%) expect tariffs to affect their operations in the next 12 months, and 94% anticipate a negative impact. Just over half (51%) of small business owners say their customers have become more price-sensitive in the past six months.
More than six-in-10 (64%) small business owners have yet to make any changes in response to tariff concerns, but others have taken steps, including stocking up on inventory early (20%), adjusting pricing ahead of increases (14%) and communicating pricing changes to customers.
More than half (55%) of small business owners say that tariffs on imported goods will be harmful for businesses and consumers, while 22% said that it depends on the industry. Nearly one-in-five (18%) said that tariffs are a necessary tool to protect American industries, while 7% are unsure or have no strong opinion.
“Americans are rushing to make purchases before prices spike,” said CouponFollow. “From consumers stocking up on essentials to small businesses adjusting pricing strategies, the fear of cost increases is driving a wave of economic urgency.”
CouponFollow surveyed 800 consumers and 200 small business owners across the United States for the report, which can be found here.
