Getting a deal to work during business negotiations is all about good communication skills. Sometimes deals don’t go through because of poorly picked words during negotiations. So, here are some tips on what you should avoid during business negotiations.
Assumption based statements.
Do your research extremely well concerning the party you are to negotiate with- not just the top-level generalities, but a deep dive as much as is possible.
Be an active listener. Don’t say statements about the other party, based on assumed information. Focus on saying what will get you a good negotiation; otherwise, you might end up upsetting the other party with assumed statements. If not careful, you will lose out on the deal.
Your profit margin.
Keep your profit margin a secret during a negotiation. Your prospective client should not have this information and should only know how much your company is providing.
“Let’s worry about that later”
Be ready to listen to any issue brought to the table by the prospective client. Be humble and treat the client with the utmost respect. Postponing issues create doubt in the other party and this renders you untrustworthy.
“That’s our final offer”
Using the “that’s our final offer statement” can get you boxed. You will find yourself in a situation where you have to stick to your statement or break your offer.
If you end up breaking it, it means you are unsure. If you stick to it might, you might get an unfavorable deal. Keep calm until you get all the details you require to make a decision.
Don’t rush to make a deal that will cause you to lose a possibly long term client/relationship because you over-negotiated or declined room to wiggle.
Don’t sell yourself short
Negotiations can be a long and tiring process. This can make you settle for less than your service/product is worth simply so you can end the negotiation.
You need to understand exactly what you are willing to give up and not. If you have taken time to invest and grow your business, and the negotiations aren’t going as you’d wished, it is better to decline the offer.
Having a deal isn’t necessarily better than no deal. Not making a deal is also an option. Be sure to have that clarity going in.
Avoid filling awkward silences
Silence is a great factor in getting successful business negotiations. Silence allows you and the prospective client time to think and ask qualifying questions. Don’t rush to say anything just to fill up awkward silence. It’s an important time for the negotiation.
Avoid saying ‘never’ in a negotiation. It gives the other party the idea that you already had something in mind, so it’s not even a negotiation. Be polite and treat the other party with respect as well as the negotiation itself.
“We need to decide now”
Avoid giving the prospective client(s) pressure if it isn’t necessary at the moment of discussion. It’s uncomfortable to make rushed decisions. Plan efficient time for both you and your client to make decisions that you are comfortable with.