Our daily and professional lives are filled with negotiations. But, what sets a successful negotiator apart from the rest is knowing how to employ the right strategies. While there are several tips and techniques for negotiating, the key to getting what you want is knowing how to ask for it. Anyone can walk into a negotiation throwing out numbers and making requests, but having an offer you can justify will increase your chances of landing the deal. Here are a few ways to justify what you are asking for when negotiating.
- Sell the Benefits
Let’s say you are negotiating your benefits and salary package at a new job. If you walk in and simply state your desired salary, there’s a good chance you will get denied. On the other hand, if you come prepared to explain what value you bring to the table and you are able to support your claims with evidence, the hiring manager is far more likely to consider your request. Why? Because you are selling yourself well and you are justifying your worth. Likewise, a professional training course might be really expensive but that’s because it yields better results. If you have value to bring to the table, then other people will be willing to pay for it.
- Explain the Costs (to you)
Another way to justify an offer is by explaining the costs that you will have to incur. For example, say you are being offered a job to come and speak at a training seminar and you quote a higher price because the location of the seminar is two hours away. When the customer questions your expensive rate, you need to explain that it will take you several hours to prepare the seminar along with four hours of travel time, which means much of your cost will be spent on food and gas. If the other party understands why you are asking for what you want, they might be willing to agree to it.
- Find Your Customer’s Pain Points
Similar to selling your benefits, you want to find out exactly what your customer is needing so you can step in and show how you can deliver and why they should choose you. For example, customers who are only seeking the cheapest option, might not realize that there is more to your product than price alone. Perhaps you can offer higher quality, guaranteed delivery times, longer warranties, or free shipping. Prepare a list of specific ways that you can solve your customer’s pain points.
- Distinguish Yourself from Competitors
It’s very common for customers to visit other companies and online sites in search of a better deal. You can tackle this by shifting the buyer’s focus from price to the advantages of buying from you. Perhaps your customer service is top-notch and you can personally assist them with their needs. You might be able to guarantee specific delivery times. You might even work with a local vendor so you can resolve issues quickly and easily. Whatever the perks are, be sure and make your customer aware so they understand what sets you apart from the competition.
- Know Your Pricing Strategy
It’s much easier to defend your price if you’re confident in your pricing strategy. Make sure you have done plenty of research and planning when setting your pricing. Be clear about your costs versus your profit and how much the market will pay for your product or service. Be prepared to explain this to your customers.