Topic of the Month:
People consistently make the same mistakes when negotiating. Recognizing and overcoming these mistakes is a big part of preparing for any negotiation.
Here are the Top 10 Negotiation Mistakes
– and How to Stop Making Them
1. Negotiating with the Wrong People: Does the person you're negotiating with have the authority to close the deal? If not, you could be wasting valuable time and effort.
2. Poorly Managing Information: It's crucial to have a way to gather, manage and organize crucial information and have it available quickly and easily.
3. Not Managing Others’ Expectations: You need to let the other side know early on in the negotiation what you can and can't do for them. Make sure the other side doesn't get upset because they were expecting to discuss something you're not authorized to discuss.
4. Not Setting High Enough Goals and Targets: Don't let limitations in your own thinking tip the balance in the negotiation before it's even happened!
5. Focusing on Price: Don't get hung up on price. Price is not the most important issue if you are truly solving their problems.
6. Not Uncovering the Other Side's Real Needs: People seldom reveal their actual needs when you first talk to them. You need to ask specific questions to uncover exactly what those needs are.
7. Getting Emotional: If you take the negotiation personally, or let the other side jangle your nerves, your emotions will cloud your judgment. Don't put the focus on you.
8. No Closing or Concession Strategy: If you plan your concessions ahead of time, you can create concessions that seem like they have value for the other side, but cost you little.
9. Not Reinforcing Value: Talk about the benefits the other side will receive from your product or service. Focus on the problems you are solving for them.
10. Over-committing Resources: Make sure you have the authorization to commit the resources of other areas of your organization.
Get More Information on Negotiating Successfully:
Want to become a better negotiator? Watch Alan Ovson's quick video series on overcoming these top ten negotiation mistakes now!