An Example of Dirty Sales Negotiation Tactics
My friend’s father ran a used car dealership. To my chagrin, they used the stereotypical and dirty sales negotiation tactics you would see in movies or read about in cartoons. One day when picking him up for a trip at his dad’s office, I learned that most of our fears associated with used car salesmen and their dirty sales negotiation tactics are true.
I was shocked to learn their sales people placed recording devices in every office. When they told their prospective buyers that they were going to check with their boss, they went into another room, had a soft drink and listened to the private conversation that would ensue to determine their sales negotiation strategy and tactics. While I’m told that no longer happens…
The Best Negotiation Strategy is to Be Prepared
Whenever you are in sales negotiations, you should be prepared for a few dirty sales negotiation tricks from the other side. Hopefully you won’t encounter them but in case you do here are some “counters” that will bring you all back to the table and provide better chances for a win-win agreement:
Three Sales Negotiation Counter-Tactics That Work
Many sales negotiation experts use this technique to “anchor” the negotiation in their favor. Anchoring is the cognitive bias that occurs when people rely too heavily on the first piece of information offered (the “anchor”) when making decisions.
For example, my friend’s father instructed his sales team to always make an initial low-ball offer when buying a used car to set the tone for the rest of the sales negotiation. This enabled them to eventually offer less even though the unsuspecting seller felt they had done a good job getting a “higher than originally offered” price.
There are three well-know counter tactics for dealing with an aggressive negotiation anchor. The first is to reject their anchor as being too extreme to form a basis to mutually negotiate. The second is to ask effective questions to better clarify their offer. Your objective is to understand the other party’s position and motivations without letting their anchor set the tone or control the agenda. The third is to offer a similarly aggressive anchor of your own.
The three approaches can also be combined. Whichever tactic you choose, the more information you have about what matters most to your buyer and what the market values – the better.
The worst thing you can do at this point is to give in without getting something of equal value in return. Counter this tactic by reconfirming your value, stating they are getting the best deal, and making sure they know there is no agreement until everything is agreed to and finalized.
The Bottom Line
Prepared sales negotiators are effective sales negotiators. Be prepared for the most common dirty sales negotiation tactics to improve your odds for a win-win agreement:
Want to better prepare your sales team to negotiate? Download the 2 Research-Backed Sales Negotiation Tactics that You Will Face 97% of the Time to learn more.
Download key published insights and tools from industry experts highlighting best practices in the areas of talent, strategy and culture.
Want to know how you stack up against leading organizations? Receive a complimentary benchmarking analysis courtesy of an LSA Expert.
Get up to speed on timely solutions critical to your business. Published by LSA Experts based upon client feedback and key industry trends.
First we identify the key metrics you want to improve. Then we assemble a dedicated team of elite experts who have successfully solved similar problems with similar clients.
Stay up to do date with the latest information on how we help high growth companies align their culture and talent with strategy.
Real world consulting and training approaches from LSA projects, providing insights on how your company can outperform the competition.