In every business, negotiation is important because it can help you seal the deal. This crucial skill can be achieved only through experience, and that means you’ll have to learn it the hard way. First of all, you need to make sure that you are aware of what the word “negotiation” really means.
To begin with, you need to forget that you can’t negotiate unless you lower the price, as lower prices don’t always guarantee for a more profitable deal. Instead, try building value to the offer you’re presenting. The best way of developing your negotiation skill is by taking a look at the following set of golden rules.
Always be the one who starts the negotiation
The person who takes control over the negotiation from the beginning is usually the one who controls its end too. You shouldn’t allow the other party to start the negotiation, as this is a sign that you give up the control of the situation easily. For example, if you ask the other participant about his project budget, you basically invite him to start the negotiation, as you’ll spend most of your time trying to chase his number instead of looking for the best solution.
Try to negotiate in writing
Many salespeople discuss the terms of their agreement, without writing them down in order to make up a written agreement. However, the whole point of a negotiation is to reach to an agreement which should be formal and written, not a part of a pleasant conversation. From the first moment you make a proposal you should start creating a document in front of your client. This document should include the terms of the agreement. If you spend your time negotiating without creating this document, you add some unnecessary time to a potential transaction. Instead, when the other participant sees that you ask for the signature once he has made a decision, he won’t have the time to change his mind.
Keep your calm
A good negotiator know that he should stay cool and provide solutions and leadership, while watching the other participants write desperately in their agendas and showing useless emotions. There is no use in crying or getting angry during a negotiation. Instead, you can benefit from the other participant’s behavior and stay cool, making use of your logic in order to reach to a good agreement.
It’s always good to create a stronger connection between you and the other participants before going to a negotiation. This rapport will give birth to better deals, so there’s no reason why you shouldn’t take advantage of it. Appreciate your competition, make them feel safe and don’t show any weaknesses. A good negotiator has faith in his techniques, so don’t forget to be confident if you want to have the appreciation on your potential customers.
You should always make your opposition see you as their colleague. Once you find a common ground, it will be easier to build your negotiation. Besides, you can always ask for their opinion. This is one of the best methods that you can use whenever you want to turn your opponents into advocates. Don’t forget to keep your calm, look confident and you’ll have a lot to gain.
Nobody likes receiving commands and ultimatums, so avoid telling the other participants that they have to choices: either takes the deal or leave. Instead, you are advised to let them feel that the decision belongs to them and that they are free to make it whenever they think it’s the right time.
Belittling the other participants is not a good choice, as it will only make them back up and become reluctant to your offer. In these situations, it’s better not to say anything than annoying them. Bear in mind that the outcome of the negotiation doesn’t depend only on you.
Make sure that every participant has fulfilled his role in the whole process of negotiation. Besides, always remember to talk about the things involved in the negotiation process rather than about its outcome. Try to identify the other participant’s preferences and present your offer in an attractive way, mentioning all its benefits.