Negotiating ~ Are You Willing To Walk Away?
Whether you’re looking to buy a car, a house or even a new item of clothing at a local store, getting the best price possible is essential. Negotiating is something that many people find difficult, in fact a lot of people are scared to negotiate. Developing your skills as a negotiator however could save you hundreds, even thousands of pounds and could also stop you from making huge financial mistakes.
One of the biggest things that stops people from negotiating is the fear that they might ruin the deal and end up with nothing, they’re afraid that the other party will walk away from the deal. With any business deal or retail purchase though, when it comes to negotiating remember that the other party wants to reach an acceptable agreement just as much as you do and will often have the same fear of the deal breaking down. You’re willingness to walk away from a deal is one of the most important tools you have in your negotiating box and if you want to secure a good deal it’s vital that you’re willing to use it.
Know your limits & Stick to them!
Before entering any kind of negotiation, try and establish two financial figures in your mind. The first would be a figure that would mean you had gotten an exceptional deal and had clearly been successful in your negotiations. The second would be a figure that you consider to be the minimum price that you would be happy shake hands on to secure the deal. These two figures are vital because they allow you to negotiate with a calm head. It’s important however that the figures are realistic or it’s just a waste of everybody’s time. If the negotiation heads in your favour and you’re on your way to a fantastic deal then great, but things won’t always go your way. It’s when a deal starts heading towards your previously decided walkaway price that people start to become a little nervous and often lose their negotiating head, why?
Fear & Emotion
Why is it that so many people choose to ignore their walkaway price and instead blow their budget? There are two culprits here, FEAR and EMOTION! We’ve all done it, at some point in our lives we’ve all become emotionally involved with a product. We know how important it is to stick to our budget but the problem is that we fall in love with the product and believe that nothing else will ever be as good. This kind of thought process destroys your ability to negotiate with conviction.
I’m not going to sit here and say that you should never fall in love with the house or car of your dreams, that’s unrealistic. What I will say is that when it comes to negotiating you need to do your utmost to push all of that emotion out of your mind and concentrate on nothing more than the figures. If they don’t stack up and the the seller shows no sign of shifting any further on price, don’t be frightened to walk away from the deal.
Give It Time
Although being willing to walk away from a deal might sometimes bring instant results in the form of a reduced asking price, this may not always be the case, sometimes you may have to wait a while. The great thing about walking away from a deal is that it places you firmly in the driving seat if the seller does come back to you. If after a few days the seller gets back in touch to try and revive the deal, you will then be in a very strong position to negotiate a deal that’s right for you.
The Next Deal Is Just Around The Corner
Although a seller may try to revive the deal it’s also possible that they might not. If this happens, try not to regret your decision. Take pride in the fact that you have been financially prudent and then resume your search. I know so many people who have taken the tough, sometimes emotional decision to walk away from a large ticket purchase only to later feel relief when they found a more suitable product at a better price.
Have you ever felt relief after walking away from a deal? Please share your experience below.