One Simple Negotiation Skills Method That Will Immediately Deliver Improved Negotiation Outcomes


There is one simple negotiation skills method that can be utilized by anyone to immediately and positively impact their negotiation results. This method is to constantly (yes always) overstate your expectations at the negotiation table.

Henry Kissinger, the famous American Secretary of State said: Effectiveness at the conference table depends upon overstating one's demands, a famous quote referred to in both negotiation training and sales training courses. There are several grounds why it is important for you to start with high aspirations when you participate in negotiations:

1. Research has proven that high aspirations will consistently outperform low aspirations. Many refer to the fact that if you want to hit the moon, you must aim for the stars. You will be astonished by the effectiveness of something so uncomplicated. Many of my customers are very pleased when they realise that they can realise more from their deals by simply requesting more!

2. Having high aspirations will permit you to 'anchor' the negotiation around your objectives. It is much better 'anchoring' negotiations around your aspirational level rather than your absolute minimum acceptable level. Having high aspirations convey confidence and acts to emphasize the quality of your proposals.

3. Perhaps most importantly, having high aspirations will present you with the opportunity to be accommodating in your negotiations. Research tells us that most people equate their accomplishments at the negotiation table with their opportunity to achieve allowances from their counterparty. The reality is that your counterparty will have no motivation to be accommodating or to make concessions to you if you are not willing and able to make allowances to them.

Therefore, if you do not permit yourself some 'room to move' then you risk coming across to the other side as someone who is stubborn and unprepared to make allowances. Please note that I am NOT suggesting that you open your negotiations with extreme and unworkable demands. Your opening offer must show a level that is realistic and that you are able to rationalise using a solid, factual argument. It can be high risk using extreme requirements and offers as the other side may well decide not to negotiate with you at all.

I once worked with a large multi-national organisation who used a tactic of 'the price we demand is the only price we sell at'. As they are a well recognised and old company in the USA, most of their clients have come to know them as the type of business that has a traditional approach to business and have learned to live with this approach. However, when using this approach in Poland, the company realised that they were being perceived as being uncompromising by the other side because they would never budge on their prices.

In Polish business culture this method was not acceptable and they found it exceedingly difficult to conclude transactions in the Polish market place. The simple solution was for them to ask for a little more than their standard prices so that they could allow clients the opportunity to negotiate with them and to gain some allowances from them. This method proved to be very successful for them.

Of course, bear in mind that 9 out of 10 times your counterparty's first offer will be an aspirational goal, not their minimum expected outcome. This means that you should never agree to any first proposal that is made - you should always negotiate!

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