"How To Negotiate Better By Knowing What Value Is" Negotiation Tip of the Week

What do you know about value?

“… I’m so sorry for your inconvenience. I can upgrade you to a better room.” Those were the words spoken by a front desk person at a 5-star hotel. He was informing a guest of what he could do as the result of the patron experiencing a restless night. The patron’s restlessness was due to his loud neighbors in other rooms on the floor. The patron had begun calling the front desk around 12-midnight to complain. Throughout the night, he called several more times – all to no avail to squelch the noise that prevented him from sleeping. He thought to himself, and this yammering is ceaseless.

When he checked out of the hotel the next morning, he told the desk manager of his experience. The manager extended apologies on behalf of the hotel, stated that the night’s stay would be removed from the guest’s bill and asked if there was anything else that he could do. The patron said no. I appreciate the gestures you’ve made. Then he said, “all I wanted was a good night’s sleep. I have an important meeting today. And I just wanted to be fresh and well-rested.” As he left the hotel, he wondered if he’d ever stay at that location again.

Do you see the difference between how the front desk person and the desk manager addressed the situation? It’s slight. But it’s also powerful. The desk manager extended apologies, and he asked the guest if there was anything else that he could do. He was seeking the guest’s perspective of value. In other words, he wanted to know what was essential to the guest. If you don’t know what someone values, you don’t know what to offer them. That means you’re making blind offers when doing so in a negotiation.

When you negotiate, there are five factors to keep in mind about value.

  1. People have a different perspective on what they value and why. Once you know their value perspective, seek to understand it.
  1. Don’t assume because someone is like you that they’ll like you. Even when people have similar values, there will be nuances that separate their opinions about value. To assume you share exact ideals as your negotiation counterpart can lead to offers and counteroffers that are not valued. In a worst-case scenario, such offers can be damaging to your negotiation efforts.
  1. When you’re unsure of a person’s value, ask what they’d least like to lose. The reply will indicate what is of most importance.
  1. To test someone about their value, ask, “if there’s one thing that I could grant you in this negotiation, what would it be?” Once again, that person’s value proposition will reside in their response.
  1. This last suggestion may fall into the red herring category. It entails discovering something you possess that’s of great value to the other negotiator. Entice that person to believe that he can acquire it but at a very high cost. The higher he’s willing to pay for the acquisition, the higher the value of possessing it will be. Be cautious when engaging this means of acquiring someone’s value perspective. If you don’t allow them to receive it after getting them to make substantial offers, they could become unwilling to grant you much after that. Then, the negotiation might hit a roadblock.

To become a better negotiator, you must always understand what is of value to your negotiation counterpart. Once you do, making better offers will be more comfortable – because you’ll know which offers possess the highest value… and everything will be right with the world.

Remember, you’re always negotiating!

Listen to Greg’s podcast at https://anchor.fm/themasternegotiator

After reading this article, what are you thinking? I’d like to know. Reach me at [email protected]

Salary Negotiation is a Sticky Subject

After you have received the job offer you might feel that the package needs improving in order for you to accept the position.

So what could you do to improve the situation?

Wherever possible, don’t try to negotiate immediately after an offer. Make sure you ask for the offer to be put in writing and then try to delay any negotiations for the longest possible time.

When you’ve got the job offer in writing you can respond by acknowledging receipt of the offer and making it clear that you will confirm your acceptance within (say) 7 days. This could be longer if necessary but better to let them know if you are going on holiday for instance.

Now you have gained yourself some time, use it constructively to investigate the average salary of people in similar positions.

You could even contact other companies in your area if they are advertising similar vacancies. Use the internet – a search will quickly throw up various websites and salary calculators you can use.

Break down the full package you have been offered and make sure you have clearly identified which areas of the package you would like to see improved.

Refrain from making strong demands, but contact the employer and say that whilst you would really like to accept the offer, you were expecting the [basic salary or holiday paid days or car benefit or insurance] to be a little better and if it could be improved you will give your immediate acceptance and agree a start date.

If you are having to relocate you could mention this in your negotiations and ask for some assistance with the costs.

You should never show an employer that you need the money as this could make you look desperate and decrease your chances of successful negotiation.

If the starting salary turns out not to be negotiable you could try asking for an early review “when you’ve proved yourself” after perhaps 3 months. Always remember that you don’t have to accept anything – you can walk away, but if you do accept you may have the opportunity to improve things later.

"Killer Insights That Will Make You A Better Negotiator" – Negotiation Tip of the Week

There are factors that determine the degree of success you’ll have in a #negotiation. Those factors are what will also make you a good #negotiator or one that’s significantly better. The following are a few of those #killer #insights and how to use them to your advantage in a negotiation. Using them will ensure that you have a #better negotiation outcome.

Negotiation Environment:

Where you negotiate can have hidden advantages for the person controlling that environment. But there are also ways to control an environment that you’re not in control of.

  1. Your environment – When you control the environment, you can control the temperature, lighting, and other creature features that would make one more comfortable while negotiating. If the negotiation becomes tense, you can increase or lower the temperature in the environment to coincide with the adjustments you want the other negotiator to make (e.g. he gets heated, you turn the room temperature up or down to make him hotter or colder).
  2. Not your environment – When you don’t have control of the environment, if things become intense, you can offer to change venues. If it’s accepted, you will gain the advantage of not being in the environment that the other negotiator controlled. Plus, he will have allowed you to take the lead simply by his acquiesces.

Negotiation Positioning:

The way you position yourself before a negotiation determines how someone perceives you – it will also play an important role in the way you’re treated. If you position yourself as a tough guy, a tough guy negotiator type may treat you harshly – that’s his form of protecting against you perceiving him as being weak. If you position yourself as being weak, the tough guy may attempt to take advantage of you, while the weak type of negotiator may become emboldened to become more aggressive.

For the best positioning, consider the negotiation style (e.g. hard, soft, meek, bully) that your opponent may use – and assess which negotiation style you should adopt to offset any advantages he might gain from negotiating in that manner.

Negotiation Strategies:

Control – You command a negotiation by the degree of control you exercise. When appropriate, you can give the impression that you’re led by the other negotiator – you might wish to do that to gain insights into where he’ll take you with his control. You might also do it to put him at ease – less powerful negotiators become fearful when they sense they’re up against a more knowledgeable negotiator – letting him lead will allay his fears of being dominated by you.

Offers – Some negotiators will insist on getting a concession for everyone they make. You don’t have to do that. Depending on the negotiator type you’re negotiating with, consider saving the chits you gain from making concessions and using them in a combined force (e.g. I’ve given you this and that and I’ve not asked for anything. Will you please give me this?) – Accumulating concessions in this manner and calling in the chits earned from them can become a very strong persuader for the other negotiator to make concessions. Just be sure not to grant too many of them before making your request. The more concessions you make without getting a return, the more likely it becomes that they will lose their full value.

No matter the type of negotiation you’re going to be in or find yourself in, using the above insights will improve your negotiation abilities. And, it will improve your negotiation outcomes. So, always be mindful of how and when you use them… and everything will be right with the world.

Remember, you’re always negotiating!

Listen to Greg’s podcast at https://anchor.fm/themasternegotiator