| Everyone uses negotiation tactics to get what | | | | Tactic #5: The Red Herring |
| they want, whether they're haggling over the | | | | This technique comes from fox hunting |
| price of an item in a garage sale or discussing | | | | competitions, where one team drags a dead fish |
| potential salary with a future employer. Most of | | | | across the fox's path to distract the other team's |
| the time, when you enter a negotiating situation | | | | dogs. At the bargaining table, a red herring means |
| you can expect the other party to use certain | | | | one side brings up a minor point to distract the |
| maneuvers to tip the scales in their favor. For | | | | other side from the main issue. Effective and |
| example, you can expect a potential employer to | | | | ethical negotiators generally agree that this tactic |
| offer you less money than they are actually willing | | | | is the sleaziest of them all. |
| to pay to give themselves negotiating room. And | | | | When your negotiation process is bogged down |
| a buyer will usually act surprised at your stated | | | | with a minor problem, and your counterpart insists |
| price, no matter how reasonable it may be, to | | | | on settling it before they'll even talk about more |
| pressure you into lowering it. | | | | important issues, then you are probably dealing |
| Everyone uses these tactics, but that doesn't | | | | with a red herring. In this case, use extreme |
| mean that negotiations can't be fair. Some tactics | | | | caution, and suggest setting the issue aside |
| are acceptable, while others are downright sleazy. | | | | temporarily to work out other details. |
| Tactics are part of the process, and you can use | | | | Tactic #6: The Trial Balloon |
| them and still maintain your negotiations on an | | | | Trial balloons are questions designed to assess |
| honest level. In other words, the use of tactics | | | | your negotiating counterpart's position without |
| doesn't necessarily mean tricking or manipulating | | | | giving any clues about your plans. For example, |
| people. | | | | you may ask your counterpart, "Would you |
| Some tactics are simply tools to expedite the | | | | consider trying our services on a temporary |
| negotiation process; others are used to take | | | | basis?" or "Have you considered our other service |
| advantage of the other person. To be successful | | | | plans?" Essentially, these types of questions put |
| in sales and business, you must be able to | | | | the ball in your counterpart's court, and the nice |
| differentiate between the fair and unfair | | | | part about them is they aren't really offers. They |
| negotiation tactics so you can use the good ones | | | | allow you to gain information without making a |
| to your advantage and deflect the questionable | | | | commitment. |
| ones. Consider the following ten negotiation tactics | | | | When you're on the receiving end of a trial balloon |
| and the methods you can use to deflect them: | | | | question, you may feel compelled to answer it |
| Tactic #1: The Wince | | | | thoroughly. To maintain your edge, resist this |
| The wince can be explained as any overt | | | | temptation and counter with another question. For |
| negative reaction to someone's offer. For | | | | example, if someone asks, "Would you consider |
| example, you might act stunned or surprised | | | | financing the house yourself?" respond, "Well, if I |
| when your negotiating counterpart names their | | | | did, what would your offer be?" |
| terms. This tactic tells your counterpart that you | | | | Tactic #7: Low-Balling |
| know your limits, which isn't under-handed or | | | | Low-balling is the opposite of the trial balloon. |
| dishonest. And wincing at the right time can | | | | Instead of tempting you to make the first offer, |
| potentially save you thousands of dollars. Keep in | | | | your counterpart will open the process with a |
| mind that when deals are negotiable, your | | | | fantastic offer. Then after you agree, they start |
| counterpart will start high. | | | | hitting you with additional necessities. |
| Of course, you won't always be the wincer. Many | | | | For example, say you see an ad for a product |
| times, especially in the sales profession, you'll be | | | | priced lower than other stores. But then after you |
| on the receiving end of the wince. In this case, | | | | agree to buy, the sales representative uncovers |
| you can counter with the next tactic. | | | | the hidden costs, such as shipping or installation. In |
| Tactic #2: Silence | | | | the end you probably pay more than you would |
| In the negotiation process, silence can be your | | | | have at another store listing a higher price on the |
| strongest tool. If you don't like what your | | | | product. To avoid falling victim to this tactic, ask |
| counterpart has said, or if you've made an offer | | | | your counterpart about additional costs before |
| and you're waiting for a response, just sit back | | | | agreeing to any deal. |
| and wait. Most people feel uncomfortable when | | | | Tactic #8: The Bait-and-Switch |
| conversation ceases, and they start talking | | | | Similar to low-balling, the bait-and-switch tactic |
| automatically to fill the void. Almost without fail, | | | | should be avoided. Your counterpart may try to |
| your counterpart will start whittling away his or | | | | attract your interests with one great offer, but |
| her position when you use this tactic. | | | | then hook you with another mediocre one. This |
| So what if you find yourself negotiating with a | | | | tactic will almost always burn you, unless you can |
| person who understands the importance of | | | | recognize it. If your counterpart were really able |
| silence as well as you? Rather than wasting time | | | | to offer a genuinely good deal, they wouldn't have |
| in silence, restate your offer. Don't make | | | | to resort to bait-and-switch. |
| suggestions; just repeat your terms. This | | | | Tactic #9: Outrageous Behavior |
| maneuver forces the other person to respond, | | | | Outrageous behavior can be categorized as any |
| and more often than not, they respond with a | | | | form of socially unacceptable conduct intended to |
| concession. | | | | force the other side to make a move, such as |
| Tactic #3: The Good Guy/Bad Guy Routine | | | | throwing a fit of anger or bursting into tears. As |
| This sleazy tactic is often used in movies, where | | | | most people feel uncomfortable in these |
| two detectives are interrogating a person who's | | | | situations, they may reduce their negotiating |
| just been arrested. One detective seems | | | | terms just to avoid them. |
| unreasonable and inflexible, while the other tries to | | | | However, the most effective response to |
| make it look like he or she is on the suspect's | | | | outrageous behavior is none at all. Just wait for |
| side. This tactic is designed to get you to make | | | | the fit to die down before reacting, because |
| concessions without the other side making any in | | | | emotional negotiations can result in disaster. |
| return. | | | | Tactic #10: The Written Word |
| If you find yourself in a good guy/bad guy | | | | When terms of a deal are written out, they often |
| situation, the best response is to ignore it. | | | | seem non-negotiable. For example, when was the |
| Recognize this game for what it is, but don't play | | | | last time you negotiated a lease, or a loan, or |
| along and don't allow the good guy to influence | | | | even a service contract that was typed up in |
| your decision. The best technique is to let your | | | | advance in an official-looking document? You |
| counterparts play their game, while you watch | | | | probably assumed these deals were |
| out for your own interests. | | | | non-negotiable, and for some reason most people |
| Tactic #4: Limited Authority | | | | make the same mistake of accepting terms that |
| This tactic is a variation on the good guy/bad guy | | | | appear in writing. |
| routine, but instead of two people working over | | | | The best defense against this tactic is simply to |
| you, the one person you're dealing with tells you | | | | question everything, whether it appears in writing |
| that he or she must approve any deals with an | | | | or not. You'll inevitably run into some standard, |
| unseen higher authority. Sometimes, this higher | | | | non-negotiable documents, but it never hurts to |
| authority exists, but other times your counterpart | | | | ask questions. You may be surprised how many |
| will create this figure to gain an edge in the | | | | contracts actually are negotiable when challenged. |
| negotiation process. | | | | Better Negotiations in the Future |
| So just because your counterpart tells you, "It's | | | | People have used these ten negotiation tactics for |
| out of my hands," don't automatically assume the | | | | years, but that doesn't mean they are always fair. |
| person is being honest. In this type of situation, | | | | So before you rush into your next negotiation |
| two options exist: one, ask to deal directly with | | | | situation, make yourself aware of these tactics |
| this so-called higher authority; or two, test the | | | | and how they affect the process. When you learn |
| limits of your counterpart. You may find that | | | | the uses and defenses of these negotiation |
| although the other person has used this tactic to | | | | techniques, you can reach more mutually beneficial |
| force you into backing down, if you keep at him | | | | agreements and win more sales on better terms. |
| or her, you may get what you want. | | | | |