How brands are referencing tariffs in their ads

With President Donald Trump’s long-promised tariff increases taking effect this week, marketers are scrambling with how best to communicate price increases, or lack thereof, to customers. The taxes on goods from outside the U.S. include 25% tariffs on Mexican and Canadian imports, as well as 20% tariffs on items from China; however, Trump temporarily suspended the tariffs on some Canadian and Mexican products yesterday, according to news reports. Trump also said U.S. automakers have a one-month reprieve. The nations have also announced retaliatory tariffs for U.S. goods. Some brands have already started to incorporate tariff-related language into ads, even as certain exemptions continue to take place. There is a lot of uncertainty. For instance, a so-called de minimis exemption remains in place for now, which means the tariffs are not applied on U.S. imports under $800, according to Supply Chain Dive. Still, some brands selling products for less than $800 are feeling the need to include tariff messaging in their marketing. For instance, earlier this week, Canadian phone case maker Pela Case advertised “Tariff Free Shopping” in digital ads on Facebook. Tariffs are paid not by exporters but by importers. In an effort to support its claim, Pela Case is offering a “tariff cash back offer” that involves giving consumers a $15 store credit discount code for future purchases. The brand is also offering free shipping to U.S. buyers of products sold for above $55. Also: A Canadian ad agency uses tariff news to promote itself Another Canadian brand, lip product maker Éclair Lips, is also talking about tariffs in its messaging. Amid some customer confusion, the brand, which is based out of a facility in Moncton, New Brunswick, is seeking to educate. The brand explained in an Instagram post that goods under $800 can cross the border duty-free and that its customers do not need “to worry about extra fees at customs.” However, Éclair Lips added that the future is uncertain. “That said, there’s been talk of changing this rule, and while nothing has happened yet, it’s something we’re keeping a close eye on,” the brand wrote. With taxes on materials such as steel and aluminum, some U.S. companies are offering promotions as well. “New Tariffs Coming! Get 10% OFF Now,” read a recent Facebook ad from Budget Blinds of North San Antonio. Experts said it’s a smart strategy to use the current talk of tariffs to grow awareness and spur buying. “Tariffs provide a reason for consumers to purchase now as opposed to holding off until a later date—a significant objective for companies,” wrote Chris Hydock, professor of marketing at Tulane University, in an email. “Research in social influence stresses that any reason provided for an action can increase consumers’ willingness to comply, or more specifically buy a product,” he added. Consumers have implied that they will decrease spending if prices rise as a result of the new taxes, according to a survey from CivicScience. The firm found that 46% of consumers said they would cut back on spending on clothing, shoes and apparel; 66% of consumers said they would delay at least one major purchase. Indeed, since tariffs are eliciting emotional responses from shoppers, brands should try to tap into that, according to Josh Rosen, president of Hotspex Media, a provider of digital ad services. “Advertising is effective when it speaks to people’s emotional states, and right now tariffs are making people frustrated,” he said, adding that 55% of Canadians say they’re angry about them. “Advertisers who can turn negative emotions into a positive one are making a smart move,” he wrote in an email. Sign up for Ad Age newsletters From influencer marketing to agencies, get the latest news and analysis delivered to your inbox Click here

How brands are referencing tariffs in their ads

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