The only thing certain about tariffs right now is uncertainty.
One day, there’s news of increased import duties on key goods. The next, trade negotiations hint at a possible reprieve—but no real clarity. Meanwhile, brands are caught in the middle, waiting, watching, and recalculating costs as supply chains tighten and prices fluctuate.
For many, this uncertainty isn’t just frustrating, it’s a direct hit to inventory planning, profit margins, and customer expectations. Retailers are left asking:
- How can we avoid getting squeezed by rising costs?
- What happens if shipments are delayed—or worse, don’t arrive at all?
- How do we keep customers engaged when stock is unpredictable?
We don’t have control over global trade policies, but we do have control over how we respond.
Right now, many brands are reassessing their strategies in real-time, looking for ways to soften the impact of tariffs and keep their businesses running smoothly. Some are getting creative with inventory management, while others are looking at alternative revenue streams to offset rising costs.
Some areas brands are exploring include resale, returns, and off-price strategies—not as a perfect solution, but as a way to add flexibility, reduce dependency on new imports, and make the most of the inventory already available. With 86% of Americans expecting price hikes from higher tariffs and 46% planning to shop secondhand to offset costs, these strategies are becoming even more valuable. While no single approach can erase the uncertainty, they help brands stay agile and adapt to shifting conditions in a way that supports both their bottom line and their customers.
Here’s what that looks like in practice.
1. Using Resale Programs to Build a Tariff-Free Supply Chain
P2P resale and trade-in programs are changing the game. Rather than relying on imports, brands are turning their own customers into a steady inventory source through branded resale. With the secondhand market projected to grow 20% annually, it's a clear opportunity to build a more flexible, cost-effective supply chain.
Here’s how it works:
- Customers trade in or resell their gently used items → creating a continuous supply of resale inventory.
- Brands facilitate resale directly or through peer-to-peer transactions, generating high-margin revenue without the traditional costs of acquiring new inventory.
- Customers earn store credit or direct payouts, which they can use to buy new products—driving incremental sales on the brand’s main site.
This creates a win-win scenario:
- Customers get value from their used products, whether through cash or credit.
- Brands establish a self-sustaining inventory loop, independent of tariffs and supply chain disruptions.
- New sales are driven via trade-in credit and P2P resale engagement, improving cash flow and customer loyalty.
This isn’t just a workaround—it’s a smart, sustainable supply chain strategy that ensures brands are no longer at the mercy of global trade policies.
2. Off-Price & Returns: Hidden Opportunities for Tariff-Free Inventory
Many brands are already sitting on an untapped goldmine of inventory—they just haven’t fully leveraged it yet.
Excess & Returned Goods → Resale
Tariffs are driving up costs, but brands are turning excess stock and returns into revenue through resale. The secondhand market is expected to reach $77 billion by 2025, making resale a smart way to protect margins and keep inventory moving.
- Returned products: Instead of liquidating returns at a loss, brands can resell them in a structured resale program.
- Overstocked inventory: Off-price channels, like a branded resale marketplace, allow brands to move excess inventory at a higher profit margin than sending to discount retailers.
By selling these products through a resale program, brands:
- Avoid tariff-related price hikes on new goods.
- Increase margins on products that would otherwise be discounted or wasted.
- Give customers a lower-cost option without damaging full-price sales.
Off-price doesn’t have to mean off-brand—when done right, it becomes a smart margin play that strengthens customer loyalty.
3. Increasing Margins Without Raising Prices
Tariffs force brands into a tough position: either absorb higher costs (cutting into margins) or pass them on to customers (risking lower sales).
Branded resale provides an alternative: maintain margins without raising prices.
Since resale inventory is acquired at little to no cost (via trade-ins) or through low-cost buybacks, the profit margin per unit is significantly higher. Considering that 62% of Gen Z and Millennials prefer buying from sustainable brands, offering resale options sits at the cross-section of meeting customer demand and enhancing profitibility.
It also means brands can stay price-competitive, even when competitors are hiking prices to account for rising costs.
4. Driving More Sales Through Smart Marketing Plays
Resale isn’t just about avoiding tariffs—it’s an opportunity to drive more traffic, conversions, and engagement. 42% of consumers bought secondhand last year, showing just how quickly resale is becoming a go-to shopping choice.
Here’s how brands are making resale work for them:
- Website Placement: Featuring resale inventory next to seasonal collections so it gets in front of more shoppers. One retailer successfully boosted resale awareness by placing pre-owned inventory next to their winter collection, making it a natural choice for customers browsing cold-weather styles.
- Email & SMS Campaigns: Driving awareness of resale as an alternative to tariff-delayed inventory. Messaging like “Ready-to-Ship Favorites Without the Wait” encourages immediate purchases.
- Retargeting Ads: Using paid media to bring past customers back with resale offers and trade-in incentives.
By integrating resale into their main product mix, brands turn it into a front-and-center shopping option rather than a niche offering.
5. Circumventing Shipping Delays & Limited Stock
One of the biggest challenges with tariffs is the disruption they cause in global supply chains. Inventory that was once readily available is now stuck in customs, delayed at ports, or too expensive to stock in large quantities.
With branded resale, however, brands can tap into pre-owned inventory that is already in the U.S.—avoiding tariffs altogether. This means no long wait times, no unexpected duties, and no scrambling to explain backorders to frustrated customers.
For example, one brand used resale inventory to fill stock gaps caused by tariff-driven delays. By positioning resale inventory alongside new seasonal collections on their website, they ensured shoppers had alternatives when certain products were out of stock. This not only helped maintain sales but also introduced resale to new customers who may not have otherwise considered it.
6. Staying Competitive in an Unpredictable Market
Not every brand has a resale strategy in place—yet. That means companies who move fast on resale now gain a strategic advantage over competitors still struggling with stockouts and price hikes.
Customers expect instant availability and affordability. Brands that embrace resale as a core part of their business model can meet those expectations while shielding themselves from market volatility.
The Bottom Line: Tariffs Don’t Have to Disrupt Your Business
Retailers don’t have to take tariff disruptions lying down. By leveraging branded resale, launching trade-in programs, optimizing off-price strategies, and rerouting returns into resale, brands can:
✅ Keep inventory flowing despite stock shortages.
✅ Avoid import duties and rising supply chain costs.
✅ Boost margins by acquiring inventory at little to no cost.
✅ Drive engagement and conversions with resale-focused marketing.
At the end of the day, tariffs are just another challenge in the ever-evolving world of retail. The brands that adapt quickly—by turning resale into a strategic advantage—will be the ones that win.
Need Help Navigating Resale?
If you’re looking to build a resale program that works for your brand, we can help. Reach out to learn more about how resale can minimize the impact of tariffs, boost your margins, and keep your customers engaged—no matter what disruptions come next.
The only thing certain about tariffs right now is uncertainty.
