The Tariffs Effect: 5 Steps to Turning Disruption into an Opportunity to Strengthen Customer Relationships

Tariffs are a moving target. What’s been proposed—and what’s already in motion—is causing unprecedented disruption across a broad range of industries.

While this uncertainty poses real challenges for both businesses and consumers, it also presents a unique opportunity: the chance to strengthen customer trust.

When companies step up to help customers navigate uncertain times, they’re making long-term investments in relationships. The brands that solve real problems during moments of disruption often earn deeper, more lasting loyalty. Forward-looking leaders should view this moment not as a threat but as a window for building stronger, more resilient customer connections. After all, consumers remember the brands that show up when it matters most.

Not all businesses will feel the effects of tariffs equally. Providers of essential goods and services, in particular, may benefit from a “halo effect” if they seize this moment. While every situation is unique, here are several strategies leaders can use to maintain and grow trust in the weeks and months ahead:

1. Acknowledge Challenges Without Shifting Blame

When service disruptions occur, the worst response is silence—or finger-pointing. Strong leaders confront challenges head-on, starting with clear communication. Whether it’s pricing changes, delayed shipments, or product availability issues, companies should let customers know what’s happening and demonstrate that they’re doing everything possible to minimize the impact.

Just as importantly, organizations must take responsibility for their decisions. Deflecting blame rarely reassures customers—it erodes confidence.

2. Listen and Communicate Transparently and Proactively

Even with the best intentions, tariff-related changes may result in a less-than-ideal customer experience. The best way to mitigate fallout is to be honest, empathetic, and timely in your communication. Encourage feedback from customers, listen to your customer and suppliers everywhere, and explain what’s changing, why it’s happening, and how customers and suppliers may be affected.

This kind of upfront dialogue—even when the news is difficult—can preserve trust. Acknowledging shared frustrations and showing that you’re listening can go a long way in reinforcing customer loyalty.

3. Look Beyond the Supply Chain and Lagging Customer Feedback—Focus on Customer Signals in Real Time

While most companies now have robust supply chain intelligence and solicited customer feedback, customer sentiment often lags far behind. Brands are still collecting, analyzing, and acting on customer experience data days or weeks after the fact—leaving them disconnected from real-time concerns.

What businesses need now are immediate, predictive insights into how customers are reacting to change. For instance, spotlighting more affordable alternatives, adjusting messaging to reflect customer sentiment, or addressing anxiety about price hikes—all of this depends on knowing how your audience is feeling right now.

That’s only possible when you tap into real-time signals across touchpoints: contact centers, social media, reviews, forums, website visits, app sessions, transaction histories, and loyalty programs. AI-powered analytics can transform this unstructured data into actionable insights—surfacing key themes, identifying friction points (such as out-of-stock issues or pricing concerns), and revealing root causes behind complaints.

4. Always Close the Loop

Analysis is only half the battle. Brands must act on what they’ve learned—both at scale and one-on-one. That means identifying who’s affected, responding with empathy, and following up with clarity.

When product changes or price hikes disrupt expectations, they don’t just impact purchasing—they disrupt people’s lives. Brands that acknowledge this, respond accordingly, and follow up meaningfully can strengthen customer intimacy during moments of strain.

Even under normal conditions, closing the feedback loop is a best practice. Right now, it’s essential.

5. If You Can, Go Above and Beyond

Companies with access to capital, infrastructure, and inventory have a responsibility—and an opportunity—to lead. Those with warehousing capacity can buffer against supply shocks. Those with surplus can support smaller partners. And those with funding can diversify sourcing to reduce dependency on any single market or supplier.

This is a moment to rethink how your company fits into the broader ecosystem—not just as a seller of goods or services, but as a stabilizing force. Helping customers is critical, but helping other businesses can foster entirely new networks of trust and collaboration.

Final Thoughts

During periods of economic volatility, agility and awareness are essential. Businesses need to stay closely attuned to evolving customer behavior, supply chain realities, and market conditions—and be ready to pivot accordingly.

Whether the proposed tariffs become permanent or not, one thing is certain: flexibility is now a core capability. Fortunately, the technology already exists to help organizations adapt—rethinking operations, policies, and customer experiences in ways that can strengthen relationships under pressure. 

In doing so, companies won’t just weather the storm. They’ll earn lasting customer trust—and emerge even stronger on the other side.

Sid Banerjee is chief strategy officer at Medallia. He has nearly 30 years of experience building companies and solutions focused on customer experience, business intelligence, and AI-powered technologies. He was the Founder, CEO, Chairman, and Chief Strategy Officer at Clarabridge, and most recently served as Chief XM Strategy Officer at Qualtrics. He has held leadership roles at MicroStrategy, Claraview, Ernst & Young, and Sprint. He holds a BS/MS in Electrical Engineering from MIT.