Sales Negotiation Skills -- Concession

Negotiation is a process of continuous concession between the two sides and finally the exchange of value.

Concession requires both timing and basic skills. Perhaps a small concession will involve the whole strategic layout. It is not advisable to make haste concessions and to yield to the ground.

Some negotiators continue to repeat unprincipled concessions, do not know the real purpose of concession, and the final result is often forcing themselves into a desperate situation, while opponents are watching it.

Apart from the lack of understanding of the negotiations, these negotiators also have their own personality reasons. They are unwilling to hurt their face and bad mood for a trivial matter, which will affect future pactions.

This understanding of negotiation is very common in the industry, but it is extremely dangerous.

Negotiation is negotiation. You can talk to each other and become a friend of the enemy, but at the negotiating table, you must tit for tat. To be clear, you are acting on behalf of an enterprise and not an individual. Your concession easily may reduce or reduce the profit of the company, reduce the investment in the market and even affect the income of the employees. Maybe no one thinks his behavior will have such consequences. But if every negotiator is in such a state of mind, then a good company will collapse and go bankrupt.

Examples of changing negotiation results are everywhere. Weak negotiators are more likely to make concessions. Buyers are willing to work with such negotiators. They always raise unacceptable demands, and then continue to exert pressure to force negotiators to accept it again and again.

I know several top negotiators who are more casual in their life, but they are very different at the negotiating table.

So I don't think that character will affect the growth of negotiators. As long as we grasp the normal state of mind and strengthen the determination of negotiation, you will not yield easily, even if you are in a weak position.

The principle of concession in negotiations is: no return, no compromise.

Do not think that your concession concession will move the other party and make the negotiations simpler and more effective. It is wishful thinking. In fact, on the contrary, if you don't ask for any concessions, the other side will be more fearless and reluctant to give up. It will also imply that you are making greater concessions, and that it is impossible to compromise with each other.

Remember that negotiating table is not a place to make friends.

Some salesmen believe that negotiations always require one side to make concessions, otherwise the negotiations will not be able to proceed.

This idea does sound good, but the question is why must you give in first?

Your concession may make the other side think you are showing sincerity, but the wily opponent will never see this. They will not be moved by your sincerity. On the contrary, they will think you are weak and bullied. The attitude of the negotiation will become more and more tough, and it will increase the force to force you to give up again.

You may have experienced such a situation.

You have worked hard to develop an important customer. Although the other side has approved your product, it has always refused to accept the price of the product. You certainly can not let the cooked duck fly, but you have to make a price concession, but there is a saying that the next time you order it, you must execute it according to the standard price, and the other side agrees with it.

It's easy to expect them to get the goods again. It's beyond your expectations. They not only do not recognize the standard price, but also threaten you to cooperate with other suppliers if they do not give a substantial discount, and will never be with you again. At the moment, your lungs may be exploding. But what else can be done? They will not give in on this issue, and will not compensate for your hospitalization expenses.

So, when the other party asks you to give in, ask for some return, or do not give in.

I remember a large famous supermarket opened in Beijing, suppliers can use "rush to come" to describe, I represent a weak brand with the other side to enter the shop negotiations, negotiations are extremely difficult, the other side is very demanding, especially the 60 day account is really unacceptable, negotiation has entered a stalemate and there is always possibility of rupture.

One day, the purchasing manager called me, hoping that I could provide a set of on-site production equipment to attract more consumers.

I happen to have a set of equipment idle in the warehouse, but I did not immediately promise, remember that I replied: "Chen manager, I will return to the company to try to coordinate this matter, in the shortest possible time to give you a reply, but can you give me a normal loan account?"

In the end, I won an equal contract. Because supermarkets are attracting more passenger traffic now, a win-win negotiation has been formed. Of course, the skills of concession can not be ignored.

Even when negotiations are deadlocked, do not give in to concession. Do not think that only concessions can be made to make negotiations normal. How do you know that the other party will not give in?

With the arrival of the buyer's market, the era of profiteering has been completely ended, the profit margins of any products are declining, and the profits of enterprises are always kept within a reasonable range.

However, many of the salesmen in the company are less profitable. In their minds, besides orders, they are sales volume, lack of basic general situation, and improper guidance of leaders and incomplete system of companies, which lead them to give generous discount on product prices in order to complete sales tasks or because of performance bonus.

When all the salesmen make concessions on the price, what will the company make to make profits?

The price is the instinct of buyers, even if they can accept the price, they will be dissatisfied, and they will ask you to give in, even if it is a 1% discount.

Do not belittle a percentage point, if the other party's annual sales volume is 5 million, giving up one percentage point is 50 thousand, is there any way you can immediately fill the loss, it seems very difficult.

When the buyer asks for a price reduction, he can substitute other concessions, such as the support of a certain range of returns, increase publicity and provide manpower support, so as to avoid unnecessary losses to enterprises due to falling prices.

From the buyer's point of view, no matter how it is acceptable, as long as we get more in the paction,

At every stage, concession should be corresponding to the value of concession. Everything has its own two sides. In a concession, there are great differences between the two sides in different demands and different angles. The value of the two sides is the key to concession after the concession of each other.

For example, in a paction, you expect the other party to shorten the closing time, you make a concession on the price, and the other party's concession is to pick up the goods on your own, so this concession is not worth the same to you.

My suggestion here is that when you make concessions in some way, you should explicitly ask the other party to give you the expected return, or add the word "if" two words before your concession clause. If the other side can not offer you valuable returns, then your concession will not be valid.

The principle of concession is to make cautious concessions, and let the other side realize that every concession is difficult for you to make the other person full of expectations, and the magnitude of each concession should not be too great.

We should try to force the other party to compromise on key issues first, while our side will compromise on minor or minor issues with the strong demands of our opponents.

Don't make any concession. Every concession needs to be exchanged with certain conditions.

Understand the real situation of your opponent and stick to your position on the condition that the other party is in urgent need of.

Before making any concession plan, all concessions should be orderly, and distinguish the actual value from the actual value, and be used in different stages and conditions.