Nogotiation Blog

Insights on Business and Sales Negotiation

Join us for insights on how to negotiate a winning balance, where where both sides understand and appreciate the value they receive. As a result, you are more likely to forge a long-lasting relationship that yields more and better opportunities in the future. This idea underpins K&R Negotiations’ Win Wisely™ approach and underlines the importance of using leverage wisely.

A Pyrrhic Negotiation Victory Versus Customer Relationship-Building

Many individuals view negotiations as an adversarial, zero-sum process in which manipulation, gamesmanship and intimidation are effective and worthwhile tactics. Perhaps you have even heard one of your counterparts brag about “drawing blood” or beating the other party. This philosophy is illustrated by the classic movie Glengarry Glen Ross, where the sales manager (played by Alec Baldwin) beats his sales reps relentlessly to do anything they can to close deals. Manipulation, intimidation and lies are encouraged. During Baldwin’s tirade, he yells at Jack Lemmon’s character: “Put. That coffee. Down. Coffee’s for closers only.” The theme of the movie is that the legitimate needs of the prospective customer are not to be considered … just do what’s necessary to close the deal. While…
Executive support customer negotiations

How C-Level Executives Can Be Powerful Negotiation Assets

Several years ago, I wrote an article for Chief Executive magazine titled “Negotiation Lessons: When CEO Meddling Degrades the Deal.” This was one of my more important articles for CEOs and other C-level executives because deals involving C-levels usually have a major impact on business results. And currently, since many companies are conducting negotiations remotely, you’re even more likely than before to get involved in those key deals if you are a C-level executive working from home. In the “Lessons” article, I made the point that it can be difficult to walk away from a deal, especially when your team has invested significant time, energy, resources and dollars toward achieving a particular objective. Once this investment takes place, you are emotionally invested, even if the…
remote business negotitation

Prospering In Your Business Negotiations Despite Global Crises

B2B enterprises depend on collaborating with other businesses for survival and growth. This often requires face-to-face (F2F) meetings with other professionals. What do you do when the ability to travel is constrained and F2F sales or negotiation meetings are canceled? You have only two choices: Stop business, or conduct activities using current communication technologies. Since most of us will not cease doing business, we opt for the latter, whether we do so through online meetings, video and teleconferences, or collaboration platforms. Some may even use email and texting. Negotiations by means other than F2F can be less costly and time-consuming. You can avoid travel and negotiate from your home or office with access to data and your staff's expertise to address items on the agenda.…
Negotiation Danger Zone

Keep Your Cool And Avoid The Negotiation Danger Zone

Negotiations can be exasperating. You believe you are offering the other side a great deal, and they seem offended. You want to create a win-win outcome, and they treat you like the enemy. You thought they were ready after weeks of discussions and now they seem totally cavalier. And now you are frustrated. On some deals, when adversarial tension builds, even if the deal eventually gets done, there can be lingering emotional consequences that will impact the outcome. This scenario is the “negotiation danger zone,” and it often leads to two types of problems. The first is that an agreement that should be completed for compelling business reasons fails to close because of emotional tensions, or it closes under one-sided terms. The second is that the manner in which the negotiation is conducted…
sales psychology

Discounting, Sales Psychology And Behavioral Economics

Not long ago, I spoke with an IT service provider (our client), who related an impactful discussion with a telco customer’s procurement director. The company offered a $5,300 discount as an incentive to begin the implementation of a customer relationship management (CRM) system for $53,000. Here is a summary of the dialogue: Vendor: It’s a smart decision for you to move from managing your customer data with spreadsheets to an automated CRM system. To get started sooner, we are prepared to give you a 10% discount. Buyer: Can you explain that please? Vendor: Our understanding is that starting phase one ASAP is critical because your people are managing hundreds of customer relationships with a spreadsheet-based system, and your sales per customer need to improve relative to the industry. Buyer:…
craft sales pitch

How To Craft A Pitch That Stands Out

I frequently encounter situations with clients who are trying to expand their business into new territories and verticals. The case with one of our B2B clients was particularly dire. Their growth with existing customers was flat, and their sales force had a low win rate with new prospects. In fact, they bid on 200+ new opportunities the previous year, investing millions in requests for proposal (RFP) responses, without any positive results. So, I asked the question: How do you decide whether to respond to an RFP, and how do you craft a pitch that stands out? Adapt And Motivate A New Customer To Consider Your Offer Why would you, as a customer, choose a new vendor with whom you have no experience? There are several factors that would make us, as customers, open to a new vendor relationship.…

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Creating Value-Based Leverage

In this short video, learn why negotiation is really the art of finding agreement.

Mladen Kresic introduces the concept of value-based negotiations leverage and why it is a powerful tool for moving conversations to an agreement.

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