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Three Negotiation Techniques

Add the following three negotiation techniques your arsenal.

Win-Win Solutions

When negotiating, always look for win-win solutions, and present them as such. When I was selling real estate, it was common for sellers to think that buyers wanted the lowest price they could get. The sellers often wanted the highest price, but buyers usually wanted an easy transaction, lower costs and lower payments. A seller that gives these things can get a higher price and both sides will win.

If you need to get the garage cleaned, and your son wants a new watch, you have the makings of a win-win negotiation. You might tell him, "Look, you want that watch, and I want a clean garage. Let's both get what we want okay? Clean it up today and we'll get your watch. How's that sound?"

The key to good win-win solutions in your negotiations is to find non-conflicting needs or wants. Notice how some conservation groups negotiate to stop private land development. They want the land left wild, and the owners want to get some value out of the land and still be able to use the house, ranch, etc. So the groups buy a "conservation easement," preventing development, but leaving the title with the current owners. Both sides win.

Exclude Competition

If you could exclude competition in any negotiation, you'll have a better chance of getting what you want, right? How do you do that? Start by never mentioning competition to the other side. It's possible they don't know all their options, and it's not your job to enlighten them.
At the negotiating table, be ready to confront the competition head-on, when the other side brings it up.

In the carpet cleaning business for example, an owner could politely dismiss the competition when it is brought up. He could say something like, "They're okay, if price is all that's important to you. Of course, they can't clean as deep with their machines. If you want the deepest cleaning and at a temperature that kills dust mites and other things in the carpet, you have to have a machine like ours, and fully trained technicians."

Extreme Initial Positions

Everyone knows this technique, but most are afraid to use it. A real estate investor I was talking to the other day told me,"If you aren't embarrassed by your offer, it isn't low enough." He's made millions in real estate, so I think he's worth listening to.

Many years ago I sold a car. A nice guy, after crawling under and inside the car, offered me half of what I was asking. I said no, and he left his phone number, in case I changed my mind. As he drove away, I wondered what was wrong with the car, and I was suddenly hoping I could get just a bit more than that half-price offer. My expectations had been altered quickly. Fortunately another person gave me the full asking price before I decided to pick up that phone.

There are dozens of good negotiation techniques that you can profitably use. Why not start by practicing these three?


About the Author: Copyright Steve Gillman. For more Negotiation Techniques, and other useful insider information, visit: http://www.99reports.com/negotiation-skills.html




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