At the end of a negotiation, it is extremely important that both parties feel that they have done their best and have won the negotiation.
How do you Arrive at the Price?
The level of satisfaction after a negotiation can depend more on HOW you got the price than the price itself. How would you feel if you sold a car and the first person to see it bought it for the full price? Wouldn’t you feel that you undervalued the car and should have asked for more? On the contrary, if it sits on the market for a month without a bite and someone offers you less than you listed it for, you’d probably feel that was a fairer offer. If anything comes too easily, people are skeptical or dissatisfied.
Don’t be Afraid to Say “No”
When you’re negotiating with a buyer, always say “No” one more time before you say “Yes”. Surprisingly, many times after the first “No” someone will say, “I just had to ask.”
Making Concessions
Make the buyer feel that he is really working for a concession. If the person is asking for a lower price, say, “I’ll go sharpen my pencil and see what I can do for you.” Don’t cave in and drop your price when the prospect first asks. Most people are just checking that you’re giving them the best possible price.
Try to offer added value, rather than dropping your price, since that will help keep your price integrity in future negotiations. You could provide free shipping or training. Prepare a list of things in advance that you’re prepared to offer.
Test of a Good Negotiation
√ Both parties win
√ Both parties feel it was worthwhile
√ Self-respect of both parties is intact
√ Both individuals feel they achieved the majority of their objectives
√ No-one wants to back out of the agreement
√ Each person will enjoy dealing with the other again