- Don't bring your emotions into it.
- Arm yourself with as much information as possible.
- Don't let your ego block a successful win-win.
In this week’s episode of Wright Brothers Podcast, Corey and Casey Wright tackle the art of negotiation and why it doesn’t just apply to real estate. Negotiation is a life skill.
Whether you’re conscious of it, you enter into some form of negotiation on an almost daily basis. So it only makes sense to be conscious of it and try to work those negotiations in your favor.
The good news is that negotiation can be learned. Like any other skill in life, it just takes a bit of work.
So how do you become better at the art of negotiation? Here are some of our tips you can implement right now to make your future negotiations a success.
1. Know what you want, write it down and refer to it often.
To get what you want out of life, you need first to know exactly what that is. Then take the next step and actually write it down. There’s something about writing things down on paper that helps them to manifest.
Make sure you take the time to review what you wrote so that you keep your eyes on the prize, and don’t get sidetracked.
2. Stay calm and rational.
Nothing will tank a negotiation faster than losing your head. If you can’t remain calm and rational in a given moment, it’s definitely not the right time to sit down to a negotiation. It would be best to reschedule.
3. Be as incremental as possible.
You don’t always have to go for the whole pie at once. Focus first on getting a small yes. Then focus on getting another one.
Build your momentum from there, and soon you’ll feel confident enough to tackle larger agreements.
4. Make emotional payments.
Focus on any little thing you can do to make the other party more comfortable. For example, give a small compliment. Find something that you have in common and talk about it.
5. Trade items of unequal value.
Think about what you can offer that might not have much value to you, but that has immense value to the person you’re negotiating with. What can you put on the table to make them feel as though they’re getting the better end of the deal?
6. Put more items on the table to increase the opportunity for a deal.
What extras can you throw into a negotiation to sweeten the pot for the other party? Making them feel as though they’ve gotten more than they bargained for will increase your chances of success.
7. Remember that every negotiation is different.
Negotiation is not a one-size-fits-all formula. Be careful not to enter into any meeting with preconceived notions. Take stock of every situation, and tailor your response accordingly.
8. Understand how the other side makes decisions.
Knowing who the decision-makers are and what their process is like goes a long way in winning a negotiation.
9. Never walk away from a negotiation.
Sometimes things go awry, but walking out is never a good idea. You will instantly lose whatever leverage you have gained. If you’re feeling stuck, it’s a much better idea to take a break and reconvene at a later time.
10. Gather more information to get unstuck.
If you find yourself between a rock and a hard place, it’s best to just take a step back and refresh. Clear your mind and come at it with fresh eyes once you’ve had a chance to dig back into some research.
11. Appeal to third parties.
Think about any potentially influential people you can bring into your negotiation. This can be a simple as citing customer testimonials or any other form of social proof.
Appealing to third parties can help to ease any anxiety your other party may have about entering into an agreement with you.
12. Take ‘yes’ for an answer.
If you’ve gotten what you wanted, then good for you. The next step is to wrap up as soon as possible. Get off the phone or leave the room. You want to move quickly onto the next step.
13. Leave with specific commitments.
When wrapping up a negotiation, make sure that everyone involved is clear about what all parties have agreed to do exactly. You want to do this in writing, even if it’s just a quick email, and make sure that everyone has their own copy.
14. Practice, practice, practice.
This one is pretty self-explanatory. Use it, or lose it.
Make sure to check out this week’s episode, and you’ll be negotiating your way to the top in no time.
Corey Wright is the co-founder of WingWire, a custom website and blogging service for real estate agents, and co-host of Modern American Realtor, a podcast for the modern agent. You can connect with him on LinkedIn or Instagram (@filbertsteiner).