Tariffs, supplier costs to result in higher prices for consumers
Amid the uncertain economic landscape, a large portion of businesses are planning to pass increased costs due to tariffs onto consumers.
Most (90%) business leaders report that "macroeconomic" factors have impacted their pricing levels during the past 12 months, according to a new survey of 400 senior business executives from Zilliant, a pricing lifecycle management firm. Forty-four percent described the impact as “significant” or “severe.”
[READ MORE: Trump pauses most reciprocal tariffs, raises China levy]
The same number (44%) of those surveyed plan to pass increased costs as a direct result of recent tariff changes onto customers. Forty-five percent of respondents identified tariff-related expenses – including the tariffs themselves and rising supplier costs – as their primary pricing challenges in 2025, while 42% of companies have shifted suppliers or sourcing regions to respond to tariff changes, indicating a significant reshaping of supply chains.
While tariffs are top-of-mind, the majority (33%) of respondents cited competitive pricing pressures as their primary pricing challenge in 2025. Looking ahead 12-24 months, both "competitive price wars" and "tariff and trade uncertainty" tied as the biggest concerns at 27% each.
Despite the uncertainty surrounding tariffs, nearly nine-in-10 (87%) executives remain optimistic about maintaining profitability amid current economic conditions. Technological solutions have leaders thinking positively – 83% of respondents say they are currently using AI-driven pricing technology to adapt to economic volatility.
“What we're seeing is a significant shift in how companies approach pricing strategy as respondents understand how tariffs will be a blanket concern for their industry and will be monitoring how competitors react,” said Stephan Liozu, chief value officer at Zilliant. “Rather than making across-the-board price increases, forward-thinking organizations are implementing targeted pricing strategies that balance profitability with competitive positioning.”
Zilliant’s survey was conducted by Censuswide among 200 U.S. CEOs and a combined 200 chief revenue officers and chief commercial officers in businesses with over $250 million in revenue between March 31 and April 2, 2025.
