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Don t be Afraid of Risk

Don't be Afraid of Risk

Negotiation is risky; the only thing that is more risky is not to negotiate. You may well get it wrong, wholly or in part.

When you are negotiating, be more willing to take risks and be seen to be willing; it implies confidence and will often pay off. Your counterpart will intuitively sense confidence in your approach and it will add to your authority.

Be quick to point out to your counterpart some of the risks they may be taking if they deal with another company. If you are the buyer, point out to your supplier some of the riskier elements of other potential buyers , stressing the risk-free environment that you may well be offering: your financial security, your commitment to expansion, your supplier payment record terms, etc.

If you are the seller, point out the security or guarantee of the MDSA you offer. Show them that the absence of these attributes from other suppliers renders them vulnerable to risk. Try to quantify that risk with facts, figures, amounts and savings. Use a guarantee to eliminate the fear of risk. Deal effectively with risks your counterpart perceives, even if those risks don't really exist.

Don't Succumb to Dangerous Phrases

Our counterpart may well have a stockpile of dangerous phrases, which include the following:

'You scratch my back and I'll scratch yours.' Loosely interpreted, it means, 'If you give something away to me, I will give you something less valuable in return.'
'Just two or three minor things to clear up.' The interpretation would be, 'I am just about to ask you for something outrageous .'
'What I am about to suggest will be to your advantage', meaning, 'My next concession is practically worthless to you.'
'I think we are almost there', which translated means, 'I think I've got you and I would like to sign up rather quickly please .'

These phrases and others like them tend to appear just before agreement, and can easily throw us off course. Beware of them and be ready for them. A simple catch-all reply can be 'I'm not sure about that, but if you... then we...'

Don't be Afraid to Make Your Counterpart Work Hard

The harder they work, the greater their satisfaction. How they got the deal they got is important. In this context, when about to say 'Yes', ask yourself what else you could achieve before agreeing. Don't rush into concluding , even if it is near. Develop a habit of waiting just before agreement is expressed and ask for a little more.

When you have finished you might say, 'You are a difficult person to persuade.' It verbalises respect and appreciation .

Chapter 15: Three Specific Techniques

Specific Tips for Negotiating Print and Promotion

Just about everyone in business - owner-manager, buyer and seller - gets involved in negotiating print and promotion. These tips may well help to reduce your costs and improve your end results.

When looking at negotiable variables or concessions , ask what if:

I prepare all the copy for the publication on your behalf ?
I supply all the text on disk or in electronic format?
I collect the finished product (instead of a delivery charge)?
I provide all photography?
I buy the paper separately and supply to the printer?
I provide all the page planning and structure of the publication?
I could place this level of business regularly?
I can introduce you personally to four other individuals who all place print at this kind of volume?