The Scoop: Amazon clarifies tariff pricing report after Bezos’ ‘good guy’ call with Trump

Also: Starbucks CEO addresses poorer-than-expected earnings call; Coca-Cola outlines playbook for countering misinformation.

Amazon came out forcefully this week to deny reports that it planned to display tariff-related import charges alongside product prices  a feature the company says it never approved and has no plans to implement on any of its platforms.

 

 

Punchbowl News, a Capitol Hill-focused outlet, reported that Amazon considered showing how much of a product’s price stemmed from import tariffs, potentially spotlighting the consumer cost of President Donald Trump’s latest trade moves.

White House Press Secretary Karoline Leavitt called the reports a “hostile and political act.” “It’s another reason Americans should buy American,” she said during a morning news briefing.

In a statement, Amazon said the team behind Haul, its discount platform, floated the “idea of listing import charges on certain products,” but emphasized clearly and unequivocally that “This was never approved and is not going to happen.” The company also said no one discussed the idea for the main retail site.

Shortly after the news broke, Trump noted that he spoke directly with Amazon founder Jeff Bezos, saying that Bezos had “solved the problem very quickly. Good guy.”

Amazon, however, chose to release its statement anyway – both to the media and on its website – to attempt to shut the door on any perceptions of bowing to political pressures. 

Why it matters: Amazon found itself in a political tight spot – trying not to provoke the White House, while also appearing to stand firm in the face of political pressure.

That’s what made its follow-up statement to CNN and other outlets so crucial, even after Trump declared the matter resolved.

Following the call, Trump made a point of praising Bezos as “very nice,” “terrific” and a “good guy.” He also made a point of stating that Bezos has “resolved” the issue, which to some may have made it appear as though Amazon changed plans following the one-on-one conversation.

If Trump’s version of events had been the only one on the record, Amazon would’ve appeared to have bowed to presidential pressure – an image potentially damaging given Bezos’ ties to Trump, including a $1 million inauguration donation, his attendance at the event and the Washington Post’s shift to write daily opinion editorials “in support and defense of two pillars: personal liberties and free markets.” 

Beyond just the appearance of taking political sides, it could appear to investors that Amazon was now making business operations decisions based on what the White House told them to do, potentially affecting the company’s bottom line.

When it comes to PR, sometimes a statement isn’t just about the words on the page. It’s about adding or shaping important context around the words other people have already said.

Editor’s Top Reads

  • Starbucks missed earnings expectations and reported its fifth straight quarter of same-store sales declines, but relatively new CEO Brian Niccol used Tuesday’s earnings call to highlight that the company’s “Back to Starbucks” turnaround is gaining traction. “Our financial results don’t yet reflect our progress,” he said, adding, “At this stage in our turnaround, [earnings per share] shouldn’t be used as a measure of our success.” His messaging leaned into a big-picture narrative, citing investments in labor, in-store experience and operational fixes like faster service. Lines like, “we’re testing and learning at speed” and “we have real momentum” aimed to soften the sting. Starbucks also flagged macroeconomic pressures in a regulatory filing ahead. “Improving transaction comp in a tough consumer environment at our scale is a testament to the power of our brand and partners getting ‘Back to Starbucks.’ We are on track and if anything, I see more opportunity than I imagined,” Niccol added. Starbucks shares fell 6% in extended trading on Tuesday, according to CNBC, but the brand began a slow recovery on Wednesday, rising by +0.95 (1.13%) during early hours. This serves as a reminder that communications truly is a long game, and Niccol and his team will need to continue demonstrating, through both words and actions, that the company is truly getting “Back to Starbucks.”
  • Coca-Cola is working to recover from a dip in sales among Hispanic consumers after a viral video falsely claimed the company had contacted immigration authorities to remove undocumented workers – a charge the company called “unequivocally false,” the Wall Street Journal reported. CFO John Murphy said the video contributed to a “weakening with Hispanic consumers” late in the quarter alongside broader affordability challenges. But the company didn’t stop there. CEO James Quincey followed a classic playbook, moving quickly to reassure investors by saying the video is “largely in the rearview mirror.” “It wasn’t the first piece of misinformation or disinformation or anything else nefarious about the Coca-Cola brand, and I am sure it won’t be the last,” Quincey added. “But we are very focused on recovering from it.” To rebuild trust and drive volume, Quincey said Coca-Cola is “focusing on local economic impact and being affordable through promotional pricing,” he said The PR team can’t always stop what spreads online – but a strong communications strategy helps shape what comes next.
  • Penske Media has made a major leadership shift at SXSW, parting ways with longtime president Hugh Forrest and 10 senior staffers as the festival faces financial pressure and prepares for 2025 without its largest venue. In a statement to the New York Times, Penske said the board appointed EVP Jennifer Connelly as “director in charge” and noted, “When Hugh was told he wasn’t going to get the CEO role at SXSW, and would be reporting to her, Hugh made the decision to leave.” Forrest pushed back, telling the Times, “Leaving SXSW was definitely not my decision,” and that he had poured his “heart and soul” into the event for more than 35 years. Leadership changes shift how people feel about an organization, so how you communicate them matters. Penske declined further comment and didn’t post any announcement on its websites. Instead, it appears to have opted to issue a statement to only select media outlets. For instance, the Austin American-Statesman noted that Penske didn’t respond to request for comment. This puts all the power of the narrative in the hands of the media, who have no obligation to include the full statement. If you opt to not control the message, someone else will.

Casey Weldon is a reporter for PR Daily. Follow him on LinkedIn.

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