A look at Negotiation for Sales People and Buyers from both sides of the table

1. High Value Negotiation
The Buyer Vs: The Seller

2. You have 2$ on the table to share. You have
5 Minutes to negotiate your share with your
partner. There is a prize for the best deal.

3. Competitive Negotiation
Seller prices high
Buyer offers low
Battle - Agreement
Co-operative Negotiation
Seller lays cards on the table
Buyer lays cards on the table
Compare notes - Agreement

4. Co-operative Negotiation
Ignores the human need to win.
Can be misunderstood as weakness
Leaves the negotiator open and
may lose the advantage.

5. Competitive Negotiation
Will often lead to conflict.
Will occasionally lead to brinkmanship.
Results depend on the strength of the negotiator,
not the merits of the issues.
Not likely to achieve Win-Win.
Will often result in Lose-Lose.
You are never certain if you achieved the results
you could have achieved.

6. Abu Dhabi
Zero Sum Game

7. The Camel Story
William Ury
17 Camels
3 Brothers split the Camels
Half to one, One Third to another and a
Ninth to the Third

8. Buyers
Vs:
Sellers

9. 5 Basic Questions
Who wins in a negotiation?
Where does the power come from?
Is there an alternative to Positional
Bargaining?
How do I get the opponent to listen to my
point of view?
How do I make sure we both get more
than we bargained for?

10. Understanding Win-Win
We learn how to win as children
Winning is not a fact it is a feeling
Win - Win or No Deal
Two wish lists
Who wins in a
negotiation?

11. Negotiation Power
Information
No Deal Alternative - NDA
Goals and Targets
Where does the
Power come from?

12. Defining Success
What are we trying to Achieve / Avoid?
What is complete Victory / Partial Victory?
What are the Short / Long Term Considerations?
What is Non-Negotiable / Why?
How can we be Creative?
Is this a one-time negotiation or on-going?

13. Negotiation Power
Information
No Deal Alternative - NDA
Goals and Targets
Preparation

14. Preparation
Where will the Negotiation be held?
Who will be on your side?
Who will be on theirs?
What will the shape of the table be?
Will there be time restraints?
Who chooses the timing?

15. Positional Bargaining
Often damages relationships
Cuts off option exploration.
Promotes rigid adherence to positions
Obscures a focus on interests
Produces compromise when better
solutions may be available
Alternative to
Positional Bargaining

16. How do I get them to
Listen to me?
Speak First - Loudest - Longest
or
Speak Last - Softest - Shortest

17. Assertive Listening
Prepare
Listen and Prompt
Their point of view
Empathize
Confirm

18. Alternative to Positional
Bargaining
Separate the people from the
problem.
Focus on interests, not positions.
Generate a variety of possibilities

19. Selling at your Higher price
Value
Benefits
Price
=
Benefits = 4, Price = 4, Value = 1
Benefits = 6, Price = 4, Value = 1.5
Benefits = 8, Price = 5, Value = 1.6

20. Delivery
Price
Relationship
Quality

21. Delivery
Price
Relationship
Quality

22. Delivery
Price
Relationship
Quality

23. Delivery
Price
Relationship
Quality

24. Delivery
Price
Relationship
Quality

25. Delivery
Price
Relationship
Quality

26. From the Buyers
Point of View
A Good Selling Price
A Large Order
Regular Payments
Referrals
Bulk Deliveries
Testimonial letters
Early Orders

27. Getting more from the
Negotiation
To get more out of the negotiation,
bring more to the table

28. Preparing for a Negotiation
Your Target Point (TP)
Your Walking Away Point (WAP)
Your opponents TP & WAP
Planned Opening Position
High Value / Low Value Items

29. Preparing for a Negotiation
What are you willing to trade?
Information you want / give
Strategy / Agenda
Shared Interests

30. Negotiation Challenges
All buying decisions are
made emotionally
Winning is an Emotion

31. Reactions to Negative
Responses
We want to Strike Back
or Give in
or Break off Negotiations

32. Dealing with Negative Emotions
Use their name
Let them vent
Don’t interrupt
The Agreement Frame
See their point of view
Focus on what you agree
Care

33. Negotiation Tricks
The buyer says your product is no good.
The buyer says "That's it", or "Take it or
leave it".
The buyer agrees to a price and then adds
on extras.
The buyer uses the "bulk discount" tactic.
The buyer keeps you waiting.

34. Other Techniques
Try starting with a ridiculously low (or high)
bid
Never give anything away, always trade it
What is the most important two letter word
in any negotiation?
What is the best way to upset a good
negotiator?

35. Other Techniques
Be flexible
Before the negotiation raise your own
aspirations and lower your opponent's
Usually both sides share a mutual
interest in reaching an agreement.
Separate the people from the problem

36. Other Techniques
Never Lie!!!
It helps to have somebody outside of
the negotiation to whom you have to
refer. "Caucus".
Bluffing. As a rule, avoid it!
Take time to decide.

37. Other Techniques
You will not win all the issues
For difficult negotiations, try the "Good guy,
Bad guy" routine
Be persistent
Never tell them what you wouldn't do
Amateurs talk too much, professionals use
silence

38. Other Techniques
Avoid sitting opposite your opponent at a
square table
Once you've got an agreement, LEAVE
When there is a deadlock try changing the
people
Sometimes it is useful to get agreement in
principle first and then go back to hammer
out the details

39. Other Techniques
Always look for an opportunity to give
concessions but….
Don't concede too quickly
Find out who makes the decision and
negotiate with him
Always be positive

40. High Value Negotiation
The Buyer Vs: The Seller
www.powerseries.co.za