Tariffs, Canadian boycott have Birch Bay retailer questioning her business’ future

By Alyse Smith Updated April 28, 2025 7:56 AM

READ full story here: https://www.bellinghamherald.com/news/local/article305078241.html

A local small business owner says she has lost 50% of her customer base as tourism from Canadian residents has dropped. Revenue is plummeting, and she is pleading for locals and Canadians alike to support small businesses despite political differences. Suzanne Smith, owner of Betty Be Good Boutique, located in Birch Bay Square shopping center off of I-5, opened her boutique in 2012 with the community in mind. Suzanne Smith, owner of Betty Be Good Boutique in Birch Bay. 

The shop began as a pop-up shop until Smith opened her brick-and-mortar boutique in 2013, and throughout the years it has had other pop-up locations in Lynden and Bellingham. But the bright, fashionable boutique is about more than just clothes. The shop gets its name from Smith’s mother, Betty, but also from its mission to “be good” and to do good in the community. Smith donates 2% of her gross total sales to support two human trafficking victim organizations — Engedi Refuge in Lynden and Deborah’s Gate across the border in Canada.

“That’s been passion project of mine for a very long time, like most of my life, and I wanted a way to bring that into my company. And so when we were able to do that, it just felt like this was the right thing, like this business had its great mission,” Smith said in an interview with The Herald. “We’ve also been involved in the community with fundraisers and awareness, and I feel like it’s sort of almost springboarded a greater awareness for the topic, because it’s an incredible place where people can actually have community and conversation. And you’d be surprised how often it actually comes up. Like in the change room on the sales floor, we’re talking about it, and it’s been a real joy to be able to share those great projects with other people,” Smith said.

But for Smith, the recent trade war between the United States and Canada has not only decreased her revenue and amount of donations, but has hit her even closer to home, as Smith is Canadian. About 60% of the boutique’s customer base is Canadian, but Smith estimates there has been an 80% drop in Canadian shoppers since January, and she does not expect they’ll be returning anytime soon.

“I don’t count on seeing any Canadians, to be quite frank. I think they’re on a total boycott of American businesses and U.S.-made goods,” Smith said. “I understand, so I’m conflicted. But you know, Washington is a very friendly, blue state. It’s very warm to Canadians. We want to keep relations friendly.” Smith says some of her Canadian friends and neighbors are also conflicted between wanting to support her shop and supporting a boycott of U.S. businesses.

“People are very conflicted about, you know, obviously they don’t want to see my business suffer, but they feel like they can’t make an exception,” Smith said. “And I’ve even had someone be as harsh as to say, you know, ‘I’m a casualty of war.’ And I’m like, we’re people, we’re not in a war. We’re not in a war with anyone. We’re just trying to live our lives and trying to make a living.”

“The biggest thing that Canadians have taken exception to is the idea of becoming a 51st state. They just want their citizenship, they just want their country, and they don’t want someone to claim that they’re going to take the border. So, that one comment probably hurt our trade more than even the tariffs,” Smith said. But to her Canadian customers, Smith asks that they would still support small businesses in America like her own.

“To the Canadians, like, I understand why, but please remember that, you know, we’re all just people, and this is politics. This is men in tall towers having arguments that don’t concern us, right? Washington is a friendly place to you, and it’s not unsafe at all. We miss you. Come back. That’s my message, please.”

In November, Smith decided to close a pop-up location she had in Lynden and let go of multiple employees in preparation for an economic shift she suspected was coming. “I knew, like in November, I knew what I had to do, but I didn’t expect I was going to see it from two angles. I thought that I would have an increased cost of goods, yeah, and I would have to adapt the business model for that. But I didn’t think that my revenue would go down. I did not see that as a possibility, because I didn’t see the trade war between Canada and the U.S. happening,” Smith said.

Smith says many of the products she carries have increased in price about 20% since January and have made her question whether Betty Be Good be able to remain as a $75-and-under boutique. Betty Be Good Boutique in Birch Bay. “But if we see the 145% increase, jeans are gonna be $200. And I can’t even sell jeans in good conscience for $200. I know there are lots of people who buy jeans for $200. That’s great, but that’s not me, and that’s not my customer base. I do not feel that that is reasonable for any normal person to have to pay that, so I don’t know what’s gonna happen.” She says only about 15% of the boutique’s products are made in the United States.

As the shop is experiencing higher costs to stock the store, a 50% loss of revenue and a 50% drop in foot traffic and customers, Smith says she may have to close her shop. “If nothing changes with my business, I’ll have six months to be really clear. I don’t think that if the tariff kicks in at 145% and my Canadian customer doesn’t come back, I don’t think there’s a way forward. I think if I close, it’ll be real financial hardship, and I wouldn’t have the money to build another store. I’m gonna fight. I’m not letting this happen without going down fighting.”

Smith also called on Whatcom County residents to help save local businesses during this time. “For the locals, if you want small business, then you’re gonna have to show us with your buying power, because in the future, Amazon will be your only source. And I found some lovely things on Amazon, but let’s be frank — your quality, your experience of shopping, it’s all gone if you don’t have small business,” Smith said.

Betty Be Good is open from 10 a.m. to 5 p.m. Monday through Saturday at 8125 Birch Bay Square St., Suite #201 in Birch Bay.

This story was originally published April 28, 2025 at 5:00 AM.