Negotiating is something we do daily, whether it is at work, at home, or even when shopping.
It is a skill to be developed for success in business negotiations.
Today, I share some practices to develop this skill.
Remember, rule 1. Good negotiators do not just focus on the bottom line to succeed.
Before getting into a negotiation, one needs to consider the following six factors:
- Research
Do your groundwork. Research, find all the relevant information and be adequately informed about the topic before attending the meeting.
Find out everything you can about the price range, salary, or whatever you’re negotiating. If you approach negotiation from an informed perspective, you will be able to make informed business decisions. Also, keep in mind that the bottom line (e.g., salary) isn’t always the most crucial consideration.
- Define your value
Whether you’re a professional negotiating a salary or a business owner asking for an investor, knowing the value of what you’re bringing to the table and being confident in your ability to deliver is the essential advice for a successful negotiation. Ambiguity in negotiation raises doubts about your abilities to execute the task or contract efficiently and effectively.
- Know your customer
Know your customer expectations. Recognize what they’re looking for and why they’re looking for it. Is it they seek comfort, peace of mind, expansion, or predictability? Next, position your offer to demonstrate how it delivers on their expectations. To put it another way, focusing on their needs rather than yours will address your needs.
Keeping your focus on their needs ensures your offerings come across as tailored to help them achieve their goals.
- Recognize your worth.
In dire need, we tell ourselves, “I’ll take anything I can get.” This mindset demeans what you should be getting in the first place, leading you to sacrifice your time for money that isn’t relevant to your efforts. Establish a top and bottom for your hourly value, and then use that logic in every negotiation. Settling for anything else will only cause you to miss your target.
- Find out what their biggest annoyance is.
Determine the opposing party’s weakness and then demonstrate that you are uniquely prepared to address it. Show specific examples of how you’ve dealt with a similar problem in the past. Then, convert this into how you’ll address their weakness in the first 30, 60, or 90 days.
- Communicate Your Value-Added Proposition Clearly
A salary or finance package negotiation should begin with understanding your value as an employee; next comes conveying and demonstrating it. Demonstrate how indispensable you are and how you solve problems and contribute to the bottom line. Maintain your dedication to personal authenticity, and don’t compromise your value.
- With Empathy, Look at the Other Side
Approaching negotiations with apprehension is often the most significant roadblock. Empathy for the other side is essential for successful negotiation. While navigating the discussion, an empathic person can uncover hidden components that would, otherwise, hinder a successful conclusion and exploit them to mutual benefit.
- Accepting an offer right away is not a good idea.
Whether a business deal or a salary negotiation, do not be quick to accept the offer being extended. Instead, concentrate on the return on investment (ROI) you’ll provide. When you receive an offer, ask for some time to consider it. Accept the first offer or ask for revisions based on your study.
- Don’t take things too seriously.
Negotiations can feel personal, but they are rarely so. And those who can maintain emotional distance are nearly always more effective negotiators. Negotiating a salary during the job offer reflects how the employer values the job rather than their appreciation of you. The same holds for other negotiations. The discussion is about the customer’s perception of the value of your offering in context to its business, not you. Instead, negotiate as if you were speaking on behalf of a friend.
- Above all else, aim to be fair.
Negotiations can be challenging. However, for a negotiation to be successful, it must be fair. In negotiations, fairness lends each side a sense of victory. For a fair negotiation, preparation is a must. Be open, welcoming, and confident in your ability to achieve a fair outcome.
- Consider your best alternative.
In the best of worlds, negotiation is a dance where everyone’s interests and desires are at the forefront of the conversation. When people understand one another, they are more likely to do good things for each other. When a negotiation appears to fail, considering your best alternative to a negotiated agreement (BATNA) can be beneficial.
- Engage in the Art of Intentional Listening
To negotiate successfully, you must master the skill of intentional listening. Bring what you want to the table, and be prepared by deciding how much you’re willing to give up. The next stage is to make the request and then remain silent. Allow the other person at the table to think and answer. You may not always get all you asked for, but it’ll still be an excellent deal.
- Be Prepared To Tolerate Discomfort
Because we don’t want to feel uncomfortable or make the other side uncomfortable, most of us negotiate against ourselves. The way out is to acquire the ability to tolerate discomfort. You’re not asking for enough if you’re not uncomfortable.
- Discover How Gender Affects Negotiations
An important aspect of negotiation that we should all be conscious of. Biases are the play of the subconscious. Understanding them and navigating them can prove helpful, especially for women.
Success at a negotiation doesn’t necessarily mean getting what you asked for but reaching your goal.
I hope these tips help you hone your negotiation skills. Share your thoughts and feedback and let us know what you would like to hear next from us.
