The Prelude to Negotiation – 5 Simple Steps to help you make more money

January 11 2 Comments Category: Expert Advice - Sales

Expert AdviceThis is a major area where I am asked to help consultants improve. Negotiating fees. The vast majority of the fees (perm) and charge rates (contract and temporary) are negotiable by consultants. Clients know this from experience and reputation. Many consultants tell me that they worry that if they don’t give some form of discount they will lose the business. This is definitely not true all the time. A Skilled consultant should be able to sort the negotiators from the “don’t ask don’t get brigade” Yet few do so properly.

What makes a good negotiator?

There are skills and tricks that can make someone a better negotiator though they are not as essential as the following. For some reason, I like to think of negotiation as being a cocktail. What’s in Recruitment Dad’s negotiation cocktail?

•3 Parts Self Belief

• 2 Parts Empathy

• 2 Parts Listening

• 1 Part Flexibility

• 1 Part Focus

• Splash of Preparation

• A Twist of Bravery

Serve cool with plenty of credibility

As you can see, although a bit of fun, negotiation is all about soft skills and mind set. Believe in your product, your self and your prices and you will find it both easier and fun.

With this mindset in place sorting out who really wants to negotiate is easy. Follow these 5 steps that I call The Prelude to Negotiation.

Step 1: If asked for a discount say “NO”

Step 2: Demonstrate your price = value

Step 3: Say “NO” again, nicely (“that Mr Customer is why the price is X”)

Step 4: If they persist: Ask them why they think you should rather than telling them again why you shouldn’t. Take the opportunity to ask questions and gather information to be able to answer the questions in step 5.

Step5: Decision time.

Do I need to negotiate?

Do I want to negotiate?

What do I need to do to secure this business?

Then either negotiate OR walk away

I think that many a needless negotiation has taken place because too often a rash sales person has gone from step 1 to step 5 missing out 2,3 and 4. Even, dare I say, there are those who have missed numbers1,2,3 and 4 and begun at 5!

“What about the actual negotiation? How do we do that?” I hear you ask, I will save how to do that properly for another blog posting in the near future. Have fun with this one for now!

Liked this post? Then you may also like these:

Influence and Persuasion – How to get people to happily do what you want

Real Closing Techniques

Belief and Power – How to utilise both to your advantage

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2 Responses

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  1. Great site. A lot of useful information here. I’m sending it to some friends!

    ultrasound technician 21 April 2010 at 2:32 am Permalink
  2. Quite nice.. 1 shd always remember the WIIFM Part of it to make it more effective..
    Let me know, How about being on the other side & negotiating say salary for a candidate when you are the hiring manager.. it would be interesting to note..

    piyusha 4 July 2012 at 8:14 am Permalink

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