Business PlanningHome PageFlexible SpendingAvoid HarassmentCorporate CompensatiProfit AuditBusiness TravelAccounts ReceivableEmployee Comp.Business PatentCulling CustomersEmployee Bens = 40%Business Add-OnsKeeping EmployeesIncreasing ProfitIntellectual Prop.Business GiftsBilling ComplaintsC Corporation ProfitBankruptcy-Answer?Direct Mail AdsBusiness NetworkingNew EmployeesLeasing EquipmentCollecting Bad DebtsTrack Your CustomersThank YouLLC is BestIncreasingProfits Header1.jpg

Business Negotiating
 
 
 
                

  Use the Right Tools

A good salesperson is usually able to get to the negotiating table. Once there, however, it takes a great salesperson to close the deal. The difference often comes down to an ability to negotiate skillfully.

Here are nine negotiating tools to help salespeople improve their closing percentages:

1. The preparation tool. Remember the scoutsí motto. Get your facts straight before you start. If you have to keep delaying the process so you can find more information, youíre probably making a bad impression. Never walk in cold.

    "Everybody has a price. But many negotiators go wrong when they attach dollar signs to that price. They believe if they can just agree on how much cash should be passed across the table, all parties will be happy.
    This logic . . . ignores the non-economic elements of a deal, the psychological needs that buyers and sellers bring to the table."

ó Mark H. McCormack,
"What They Still Don't Teach
You at Harvard Business School"

2. The bottom line tool. Before you sit at the negotiating table, know what you want and what youíll settle for. Set upper and lower limits. Ask questions to find out what your customers need. Then, read between the lines, make realistic proposals and keep your options open. Needs change as more information and new ideas surface.

3. The expectation tool. Aim high. Lofty expectations generally produce lofty results, so ask for more than you expect to get. This lets the other side understand your needs and gives you an opportunity to make a counteroffer after a proposal is made. Rather than criticize the prospectís proposals, make new offers. Brainstorming alternatives can sometimes produce an agreement that no one considered.

4. The harmony tool. We all prefer to work with people we like, so even if you donít care for a customer, get over it. Donít let personal feelings cloud judgment. Show respect and build trust. If you create a good rapport, information is more willingly shared and defenses are dropped.

5. The filtering tool. Donít let discussions get sidetracked by minor issues. Put them on the back burner and focus first on the big differences. You can get back to the small stuff later. When you do, you may find it no longer matters.

6. The patience tool. Often, the person with the most time wins. Salespeople are frequently urged to act quickly. But if you feel rushed, the other side may be able to outwait you and get a better deal. Give yourself time to step back, weigh the issues and make an informed proposal.

7. The note-taking tool. Youíve seen the police shows on TV where each witness remembers the crime differently. The same thing can happen with a potentially great sales deal. To avoid mistaken assumptions about the terms of an agreement, write them down so everyone understands them precisely.

As a law professor of negotiation, as well as more than 30 years' experience negotiating against the IRS, State Tax officials, and business matters, I have a different perspective on negotiating. Call me at (856) 665-2121.

Virtualex.com Ronald J. Cappuccio, J.D., LL.M.(Tax) 1800 Chapel Avenue West Suite 128 Cherry Hill, NJ 08002 Phone:(856) 665-2121      Fax: (856) 665-9005 Email: ron@taxesq.com
 
 
Business Planning | Home Page | Flexible Spending Accounts | Avoiding Harassment Claims | Corporate Compensation | Profitability Audit | Business Taravel | Accounts Receivable | Employee Hiring and Compensation | Business Method Patent | Culling Customers | Employee Benefits = 40% | Business Add-Ons | Keeping Employees | Increasing Profit | Intellectual Property | Business Gift Giving | Billing Complaints | C Corporation Profit | Bankruprcy May Be The Answer | Direct Mail Advertising | Business Networking | New Employee Training | Leasing Equipment | Collection Bad Dets | Track Your Best Customers | Thank You | LLC is Best! | IncreasingProfits