Costs are moving again. Fuel. Freight. Materials.
Not dramatically, but enough to feel it.
And enough to bring up the question every business owner knows:
Do we pass it on… or absorb it?
On paper, it looks like a pricing decision. In reality, it rarely feels that simple.
Because neither option sits clean.
If you pass it on:
You risk pushback.
You wonder how customers will respond.
You don't want to be seen as taking advantage.
If you absorb it:
Margins tighten.
Pressure builds quietly.
You carry more of it than you should.
So most businesses do what feels safest.
They hold.
Adjust slightly.
Wait and see.
And for a while, that works. Until it doesn't.
The Real Risk Isn't the Cost Increase
The risk right now isn't the cost increase itself. It's being passive while it plays out.
Because in times like this, small decisions compound.
A price held here.
A margin squeezed there.
A customer left unchanged.
Each one reasonable.
But together? They start to close your options.
A Better Way to Think About It
Every pressure point is also a chance to reset something that isn't quite working.
Not aggressively. Not opportunistically. But fairly, for you and for your customers.
That starts with clarity.
Not guesswork.
Do you know:
Where your margins actually sit across your products and services?
Which ones are quietly underperforming?
Which customers or jobs carry less than they should?
Not in theory.
In real numbers.
The Number Most Business Owners Aren't Watching Closely Enough
Gross Profit. Revenue minus Cost of Goods Sold. In dollars… and as a percentage.
Simple. But often not visible.
When you can see it clearly, you don't have to guess. You can:
Adjust where the gap is real.
Hold where things are working.
Have better, more confident conversations with customers.
And do it in a way that feels fair. Not reactive. Not defensive. Just clear, considered decisions.
Get Ahead of It Now
If costs continue to move this year, and they likely will, this won't come up once. It will come up repeatedly.
It's worth getting ahead of it now. Not just deciding what you'll do next, but building the clarity that makes the decision easier every time it comes up.
If you want to talk it through, we're always happy to
→ bspadvisory.co.nz/contact-us
Best regards,
Rob Dorey
Co-founder/Director
BSP Advisory Group
