negotiation

How to Negotiate a Sale by Understanding Your Customer’s Needs

How to Negotiate a Sale by Understanding Your Customer’s Needs

Negotiating a sale is always tough, whether you are doing it for the first or the thousandth time. However, every negotiation offers an opportunity to learn something new, and with practice, you can train yourself to rise to and accept the challenge with relish. This guide will help you to understand the wants and needs of the customer and help develop your negotiating strategy allowing you to take control of the process. You will then be able to recognise when to set a high price and when to make concessions so you can reach a mutually beneficial conclusion. How can I understand what the customer wants? The more you know about a customer, the better negotiating position you will put yourself in. Aim to understand a number of things. Their wants. What exactly are they asking for? Do they w... »

The Art of Negotiation: Why it Pays to Haggle in Business

The Art of Negotiation: Why it Pays to Haggle in Business

Haggling can seem like a petty and embarrassing practice to many business people, but it certainly pays. Learning how to negotiate well can help save your business thousands on purchases, and stop you cutting too much from your sales prices. This guide will help you establish a strong negotiating position by using proven negotiating tactics so you can buy low and sell high. What should my objectives be when negotiating? Every negotiation is conducted with the aim of achieving at least one of the following four objectives. 1. Price  You will have both a price you are aiming to secure, and a lowest possible price you are willing to settle for. The buyer will be trying to achieve the lowest price possible. 2. Timing  You will be trying to negotiate a deal to secure business in a quiet period.... »

How to Keep Your Purchasing Costs Down

How to Keep Your Purchasing Costs Down

The process of purchasing from suppliers will be a huge part of almost any business – representing one of your most significant costs. Any reduction in purchasing costs can have an extremely positive knock-on effect on other areas of your business – developing a lean, smart approach will almost certainly be more effective than focusing on profits. This article looks at how you can develop an effective purchasing strategy. We cover how to use a product specification to work out exactly what you need, how to choose, negotiate and build relationships with suppliers, how to keep stock costs down, and more. What should be my overall approach to purchasing? To ensure you purchase smartly, you need to put a number of things at the core of your business’ activity. In particular, it is essential yo... »

Deal or No Deal: UK SMEs Shun Negotiations

A third of small business owners and managers do not see themselves as naturally strong negotiators, according to a survey of 1,000 small businesses by T-Mobile. In determining the factors holding them back from negotiating, the survey identified lack of time, a belief that negotiating won’t make any difference and other business priorities as key reasons. One in ten (10%) of those surveyed only try to negotiate when they are having cash flow problems. Over a third of small business leaders expect suppliers to quote an unreasonably high first price and 71% of small business leaders believe suppliers often offer better deals to large enterprises. However, many are not negotiating with their suppliers to try and secure the best deals. Indeed, 63% of those surveyed have walked away from... »