Sales Negotiations follows a belief system which is built around 7 immutable laws. It is important for all of us to understand these laws in letter and spirit and enforce them mercilessly in all our sales negotiation opportunities.
1. Never begin negotiation unless you know that you are the buyers top choice.
Let us not waste a negotiation opportunity by beginning the negotiation process even before it is due. Premature negotiation attempt leads to a price tussle only and this is never beneficial to the seller sales training.
2. Know the financial benefit that your solution provides.
First of all always sell solutions(not products). Document the financial benefits of your solution by using VED Analysis. (Vital, Essential, Desirable) sales consultant
3. Anticipate getting squeezed on price.
Customers have a risk and they buy to mitigate this risk. Do not reduce the price. Reduce the risk of the customer with your solution. Once this is done, you have reached the T.I.N.A. (There is No Alternative) point.
4. Take Positions based on Customers Interests.
The interests of the customer is a specific deal should decide the position that you or your solution should take. If the customer is interested in a light laptop and you are trying to negotiate the latest technology laptop with him, your negotiation will never happen.
5. Expand the pie by adding non-monetary trade ups.
Monetize every intangible offering that you make to the customer. Many times, we take them for granted.
6. Never give without getting.
Prepare a negotiation exchange kit and train your sales teams to never give anything without taking anything in return sales strategy.
7. Know your walk-away price /point in a negotiation.
Negotiation is good only when it happens on your minimum acceptable terms. You need not negotiate otherwise. Negotiation does not mandate you to go ahead anyhow. There is a good negotiation , a bad negotiation and a no negotiation. All options are open to a negotiator.