Become A Master Negotiator

Summary: Adjusting goals when it appears the original goals are unobtainable.

Sometimes you may be unable to accomplish your negotiation goals. In those instances, it may be best to quickly switch goals. For example, if you are buying a house and the seller wants a price that is unacceptable to you, you may first try the tactic of YIKES! You’ve Got to Be Kidding! If that doesn’t work, you may try to support your offer with Facts and Statistics. But if both these tactics are unsuccessful and you realize your original goal is unobtainable, you may need to change your goal.

Example

An individual buys a two-thousand-dollar couch from a furniture warehouse. When the couch is delivered, the buyer finds out that its springs make exceedingly annoying squeaks whenever anyone sits down. The initial goal of the buyer is to get the furniture warehouse to replace the couch with a new one. But when the buyer calls, the manager states that the company is going out of business, so all sales are final. All the tactics the buyer has initially planned to use (e.g., stressing the value of a long-term relationship, threatening to report the company to the Better Business Bureau) will be useless since the seller has no commitment to the relationship. So the buyer decides to switch her position and asks, “If you will not replace the couch, will you at least come to my home and see if there is anything you can do to fix the squeaks?” The seller agrees. After examining the problem, the manager puts the buyer in contact with the manufacturer, who agrees to send out a service technician to fix the problem or replace the couch.

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Summary: Adding an extra or add-on to make a deal work.

At times you may need to add a little something extra to make a deal work. For example, a salesperson may decrease the price of a product, add a warranty or training at no additional charge, or agree to extend a sale price to make a deal more enticing. This tactic of offering an extra or add-on is called Sweetening the Deal.

Example

A customer tells a carpet saleswoman, “Your carpet is a dollar per yard more expensive than your competitor’s.” The seller Sweetens the Deal by saying, “I will carpet each of your closets for free if you will sign the contract today.”

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Summary: Making a final, specific demand to force a counterpart to make a decision.

From time to time it may be in your best interest to “draw a line in the sand,” or create a rule that allows you to hold your counterpart accountable. One tactic you can use is to tell your counterpart the actions you will take if your conditions are not met.

Example

A client calls a consulting firm and asks to tentatively reserve a date for a seminar to be presented at her company in approximately six months. Three months prior to the date in question, the consulting firm calls the client and asks her to confirm the reserved date or the firm will have to offer it to another client who has requested the same day. The client is told that a confirmation is needed within twenty-four hours, which makes the deadline her Ultimatum.

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Summary: Getting something in return for everything that is given up.

A good rule to remember in negotiation is to get something in return every time you give up something.

Example

A home buyer states, “I will buy your house for $480,000, but for that price, you will have to throw in your washer and dryer.” The seller responds, “If I do that, you will have to close escrow in thirty days,” or, “You will have to pay $482,000.”

If the seller does not get a trade-off every time she makes a concession, her counterpart will most likely ask for more concessions. Then, if the seller suddenly says, “Wait a moment. I already gave you the washer and dryer, and now you are asking for more concessions,” the buyer can respond, “Why are you bringing up the washer and dryer? We already agreed to that.”

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