Become A Master Negotiator

Summary: Feigning ignorance to test a counterpart’s honesty and the accuracy of his information.

Playing Stupid sometimes pays off. You may ask a question even when you already know the answer in order to verify the accuracy of your counterpart’s information or to test his honesty. This tactic works because people tend to want to help you more when they think you are handicapped by a lack of skills, knowledge, or information. In other words, there are times when playing dumb is smart.

Example

Last year we were in the market for a new refrigerator for our office. Wanting to make a good investment, we did a lot of research. After visiting three stores, we began to realize that we knew more about the models than the salespeople waiting on us did . But because acting too knowledgeable would probably intimidate the salespeople and cause them to keep their guard up, we began Playing Stupid, saying that we just weren’t sure what type of refrigerator we needed for the office. We didn’t volunteer the fact that we had already shopped at several other stores.

Finally, when the sixth salesperson had concluded his presentation, we narrowed our focus down to the model we were interested in and told the salesperson that if he sold us that refrigerator for $950, we would make the purchase right then and there, without even price shopping. This was $70 off his asking price and $135 off the lowest price we had found at the other stores.

Counter

In the scenario above, the salesman responded, “I can’t give this refrigerator to you for $950, but I can let you have it for $980.” It was still a great deal, so we agreed.

Remember to keep your guard up in every negotiation. Realize that any information you yield may be used against you. Helping a stupid person is a good thing, but it is devastating to help a smart person dig a grave for you!

Have you used or encountered this tactic in your negotiations? If so, how’d it go?

Summary: Asking questions to clarify a counterpart’s position on issues.

Some authors on negotiation encourage readers to ask only questions to which they already know the answers. Although we agree that you may not want to ask questions in some situations, we support asking questions when you don’t understand your counterpart’s position. Asking for clarification or more information from your counterpart can be very helpful in creating a win-win outcome.

Example

An organization sends out a memo informing customers that checks will no longer be accepted for payment to accounts. All future payments must be made by debit card. One customer, using the Help Me Understand tactic, calls the organization to ask why the policy is being implemented. The accounts receivable manager informs the customer that by eliminating the “float” period while checks are in the mail, the organization hopes to minimize the money it needs to borrow to maintain adequate cash flow, thereby saving over $50,000 annually.

Counter

This clarification allows the customer to come up with an option, using the If…Then tactic. The customer asks the accounts receivable manager, “If I mail my payment five days before the due date, then will you accept my check?” Since the outcome for the organization would be the same as debit transaction on the due date, the accounts receivable manager agrees to accept the customer’s check.

Have you used or encountered this tactic in your negotiations? If so, how’d it go?

Summary: Asking a counterpart for help.

Mother Teresa was world-renowned for recruiting the help of others to achieve her mission. People found it difficult to refuse Mother Teresa. Why? One reason was that she had an unwavering passion for the causes to which she devoted her time. A second reason was the way she set up a request. She would look a person in the eye with genuine sincerity and state, “I have a problem, and I need your help.”

Looking your counterpart in the eye and saying, “I have a problem, and I need your help,” can be very effective because this tactic touches the part of human nature that wants to be strong and help others. You are asking your counterpart to be as noble and giving as Mother Teresa. Only a very cold person finds it easy to respond, “I can’t help you.”

Example

An employee walks into his boss’s office and admits, “I have some problems and I need your help. I have recently gone through a divorce, my rent has just increased, and my oldest child is now going to college. I really like working for you and this company. Is there anything you can do to help me earn a higher income here so I don’t need to go looking for a higher-paying job?”

Counter

Of course, the manager could simply say “no.” Another option would be to issue the tactic of the Conditional No, stating, “I cannot give you a raise today, but I will consider it in three months when we start the next fiscal year.” Third, utilizing the tactic of There is More Than One Way to Skin a Cat, the manager might suggest, “Although I cannot give you a raise in your current position, we could talk about other positions in the company that pay more money.” Fourth, the manager may want to employ the tactic of, I’ll Think About It and Get Back to You Later to buy some time. No matter which counter the manager chooses, he should empathize with the employee, who is in a difficult situation.

Have you used or encountered this tactic in your negotiations? If so, how’d it go?

Summary: Getting a counterpart to spend time on a negotiation to strengthen her commitment to it.

Getting a counterpart to invest time in a negotiation gives you leverage. The more time people put into any endeavor, the more committed they become to the outcome, even when the outcome is not in their best interests.

Example

I recently bought a TV I had spent about two hours at the store listening to the options and benefits of the various TV’s being sold and was ready to buy. But when the store clerk was entering the sale into the computer, she discovered that the desired model was no longer available. Rather than start all over again, I quickly made a second choice. After two hours, there was no way I was going home without a new TV!

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Summary: Warning that there will be an unpleasant outcome if a satisfactory deal cannot be reached.

The Threat is one of the most pervasive tactics utilized by counterparts who cannot achieve their goals or resolve their differences through normal one-on-one communication.

Example

A manager suspends an employee for one week for insubordination. The employee responds, “You had better think twice about what you are doing to me. When I leave here, I’m going to file a grievance with the union.” Or, “I’m calling my attorney.”

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Summary: Before you make concessions based on what a counterpart tells you, it is good practice to verify anything you are not sure about.

Example

You are purchasing a new refrigerator, and the saleswoman is trying to sell you an extended warranty, since this would mean a nice commission for her. She tells you that the extended warranty would cover all repairs for an additional year. You ask to see the warranty. After reading the section on coverage, you point out that all repairs would be covered only if you paid an additional $150 on top of the $300 extended warranty.

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Summary: Presenting a problem to a counterpart and challenging him to come up with creative options for a resolution.

This tactic is effective for encouraging your counterpart to come up with creative ways to achieve your goal. You present a challenge that your counterpart needs to help you overcome.

Example

An insurance company’s office supply manager tells a vendor, “I really enjoy working with you and I think your equipment and service are exactly what we need. The problem is, we have a budget of only $150,000 and you have quoted nearly $165,000. What can you do to help us stay within the budget?”

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Summary: Offering a “trial” of a product or service to get the counterpart emotionally committed to the deal.

The power behind The Puppy Dog tactic lies in letting your counterpart use the object she is negotiating for before the deal is finalized. The name is derived from the tactic pet store owners use when they tell you to go ahead and hold the puppies and play with them while you consider buying one. I once ended up with a $400 Old English Sheepdog because of this very tactic. With Sir Bentley licking me on the face, $400 seemed quite reasonable!

Example

Michael wants to buy a used boat, but he and the owner are stuck on the price. The owner suggests that Michael take the boat to a nearby island for the weekend. The owner is convinced that at the end of the weekend, Michael will feel the boat is worth the full asking price. When Michael returns from a great weekend, he continues to try to get the owner to sell the boat for a lower price. But the owner says he is confident he can find another buyer who will pay the full price. The owner is a smart man. He knows that after a great weekend, Michael has already bought the boat in his mind. In fact, he would probably be willing to pay even more money if the owner raised the price.

Counter

The tactic of The Puppy Dog is so powerful that the only effective counter is These Boots Are Made for Walking. If Michael wants to continue negotiating the price, he should remove himself from the picture and let a third party negotiate for him. Once his emotions have been committed and the boat owner knows it, Michael is in a very vulnerable position.

Have you used or encountered this tactic in your negotiations? If so, how’d it go?

Summary: Sometimes you need to toss your counterpart a rope or build a bridge that provides a path to a win-win negotiation.

Example

Squeaky Clean, a window washing company, is trying to get a large corporation as a customer. After a year of talking with the manager of the Facilities Department, the corporation still has not even asked for a bid from the window washing company. Finally, the owner of Squeaky Clean calls the Facilities Manager and says, “We really want to work with your company. Not only do we do a phenomenal job of keeping your windows clean, our price will be competitive. Because we want to work with you so badly, you pick the dirtiest side of your building, and to show you the quality of our work, we will clean all the windows on that side for free. With no money at risk, would you be willing to let us do this so that we can demonstrate our quality and commitment to your satisfaction?”

Counter

If the Facilities Manager does not want to switch window cleaning companies, the best counter in this situation would be a simple refusal of the offer. The manager could also use a Conditional No, saying he is unable to give Squeaky Clean the opportunity to showcase their work right now, but will request a bid from them in the next fiscal year.

Have you used or encountered this tactic in your negotiations? If so, how’d it go?

Summary: Offering less than a counterpart is asking for, hoping to make her go away.

This tactic is designed for all the really nice people in the world who find it just too difficult to look their counterparts in the eyes and say, “No, I am not going to do that!”

Example

You have a neighbor who makes it a weekly habit to come over to your house to borrow food. This week your neighbor shows up and asks to borrow a dozen eggs. Since you think it seems mean to refuse your neighbor’s requests, you usually comply with them. But today you employ the tactic of Conditional ‘No’ instead. You say, “I don’t have a dozen eggs. I have only four eggs that I can give you now. Would you like four eggs?” Eventually, if you get good enough with the tactic of Conditional ‘No’, you may even see yourself progressing to the following exaggeration of this tactic: When your neighbor asks to borrow a dozen eggs, you respond, “I do not have a dozen eggs. But, as long as you are here on my doorstep, I wanted to ask if I could borrow a gallon of milk from you.”

Counter

The easiest counter for the neighbor would be to accept the four eggs graciously and be grateful you are so generous! A second possible counter would be These Boots Are Made for Walking. The neighbor could respond by saying, “Four eggs will not be enough for me to make breakfast for my entire family, so I’ll have to go to the store.” A really nice neighbor would also counter by Asking the Closed-Ended Question, “When I am at the store, can I buy you a dozen eggs?”

Have you used or encountered this tactic in your negotiations? If so, how’d it go?