Posts Tagged ‘rules’

Sales Negotiators Know The 6 Words That Let Them Fight The Law – And Win!

Friday, August 19th, 2011
Image Credit Just Because There's A Regulation Doesn't Mean You Can't Win

Just Because There's A Regulation Doesn't Mean You Can't Win

Talk about running into a brick wall! Sometimes when we are in the middle of a negotiation, especially with a state or federal official, we come face to face with a regulation that prevents us from getting what we want. Is it time to give up? Nope, you just need to know the magic 6 words that you need to say…

Excuse Me But…

I can almost hear you saying “tell me, tell me – what are the 6 words of power?” Not so fast.

First, let’s set the stage. Just image that you’re in a negotiation and you’ve just been told that there is a regulation that will prevent you from doing what you want to do. What’s a sales negotiator to do?

What you need to do is to change the way that that the other side of the table thinks about that regulation. Right now they view it as though it’s written in stone – there’s no way to change it. This is where the power of the 6 magic words comes in.

You need to look the other side of the table right in their eyes and say “… but it doesn’t apply in this situation…” What these words do is call into question whether or not the regulation applies in this case. You aren’t saying that the regulation is wrong – because you can’t. Rather you’re doing an end run and saying that there’s no need to discuss the regulation because it has nothing to do with what is being negotiated.

What happens next is that both parties will crack open the regulation and read it carefully. The good news here is that it is always possible to read something the way that you want to read it. You should always be able to find a condition or exception that will allow you to ignore the regulation.

Why Regulations Are Just A Starting Point

All of this is actually part of a much larger tactic. What those of us who don’t create laws and regulations seem to forget is that these things are never nice and neat. Instead they are the result of a lot of compromises and because of this there may be many different ways to look at them.

Your job as a negotiator is to make sure that you get the other side of the table to look at any regulation the way that you want them to look at it. Generally this means that you want them not to doubt the validity of the regulation, but rather you want them to doubt the applying of the regulation to the current situation that is being negotiated.

What All Of This Means For You

Inexperienced sales negotiators can feel like they’ve reached the end of the road when they encounter a regulation that blocks their way. Seasoned sales negotiators know that this isn’t as bad as it may seem at first.

The first thing that you need to do is to use a sales negotiator’s 6 words of power: “… it doesn’t apply in this situation…”. Just by uttering these words you can transform something that appeared to be fixed into something that can be changed. This is the start of a bigger realization – all regulations are really just a set of compromises. What they mean and if they apply can be negotiated.

A good sales negotiator never lets a little thing like a regulation get in the way of striking a good deal. Instead, you need to see regulations as just another step in your journey to finding a solution that meets the needs of both sides of the table.

- Dr. Jim Anderson
Blue Elephant Consulting –
Your Source For Real World Negotiating Skills™

Question For You: How long do you think you should wait before challenging the validity of a regulation?

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What We’ll Be Talking About Next Time

Is it possible that a person who is not present at a negotiation could be the one person who controls how the negotiation turns out? The answer, somewhat surprisingly, turns out to be an unequivocal yes! If you want to make this negotiating technique work for you (and learn how to defend against it), we’re going to have to have a talk…

Power Questions That Every Sales Negotiator Must Ask

Friday, July 30th, 2010
Image Credit You've Got To Check Your Power Before You Start To Negotiate

You've Got To Check Your Power Before You Start To Negotiate

We all know that power is an important part of any sales negotiation – who ever has the most power is in the best position to get more of what they want out of the negotiations. However, do you know how to check your power before you enter into a negotiation? I know the questions that you need to ask yourself before you start and I’m going to tell you what they are…

Can We Talk About Rules?

Nobody enters into a negotiation without having some rules (or regulations) that restrict what they can or cannot do. This impacts both sides of the table and it means that you have two pieces of homework that you need to be before starting a negotiation.

The first thing that you have to find out is what rules you will be operating under. You might think that you know what your restrictions are, but it’s always a good idea to check with the folks that you’ll be negotiating for and make sure that you know all of rules.

Secondly, you’ll want to spend some time and try to find out just exactly what the rules that the other side of the table will have to live with. There are always some restrictions on what they can and cannot do. If you can uncover what these are simply by doing some homework, then you’ll start the negotiations with more power than the other side has.

What Is Your Level Of Commitment?

There is a fable about a pig and a chicken and their various levels of involvement in creating a breakfast meal: the chicken is partially committed (egg); however, the pig is fully committed (bacon). The same question needs to be asked about the two sides of a negotiation: just how committed are you?

Ultimately the answer to this question often comes down to how much of an impact the outcome of the negotiation is going to have on you. If you are going to lose your job if you don’t get a good deal, then you will be fully committed to making the negotiations successful. However, if this deal is just a “nice to have” deal for your company, then you’re not going to be all that motivated to reach a deal.

Risky Business

Making commitments and compromises as a part of a sales negotiation involves taking on some level of risk. This can be a big deal for both sides of the table.

Before you start a negotiation, you need to determine just exactly what your level of risk tolerance is going to be. Put another way, how much are you willing to lose?

The same question needs to be asked about the other side of the table. What is their current situation? Just how far are they going to be willing to go in order to make a deal happen?

What All Of This Means For You

The source of a good outcome in a sales negotiation is making sure that you have enough power on your side when you enter into the negotiation. In order to do that, you’ve got some questions that need to be answered.

Finding out what rules are governing both side of the table will be key to understanding how the negotiation is going to turn out. Doing some homework and finding out levels of commitment and risk tolerance will also provide you with more power.

Take the time to check on your sources of power before you start your next sales negotiation and you’ll ensure that you don’t run out of power half-way through the negotiation…!

- Dr. Jim Anderson
Blue Elephant Consulting –
Your Source For Real World Negotiating Skills™

Question For You: What should you do if the other side is willing to take on more risk than you are?

Click here to get automatic updates when The Accidental Negotiator Blog is updated.

What We’ll Be Talking About Next Time

Raise you hand if you have tunnel vision! Is your hand up sales negotiator? Even if your hand isn’t up, I’m willing to bet that it should be. When we are preparing for our next sales negotiation it is all too easy to get caught up in the moment and forget about, hmm – what do they call it, oh yeah: the big picture.