You opened strong — but if you set your range correctly you must plan on making concessions and compromises.
The ability to guide the concession phase defines good negotiating.
To open high takes a little planning and a lot of backbone, but to strategically concede and compromise requires judgement, technique, and self control.
Have a rationale for every offer and every concession.
If you drop or raise your price by 20% for no reason, your counterparty may think you were trying to take advantage with your opening offer — undermining trust.
Tie your concessions to a logical adjustment in your offer to prove that you have limits.
Example: I can accept the 10% higher price, but I expect you to give me a written 6 month guarantee and have your most experienced technician to install the unit and train our staff.
Prepare an opening style, a final style — and have a roadmap for getting there.
RULES of CONCESSIONS:
Don’t hold your anchor position too long.
What is your motivator — fear or hope?
No unilateral concessions.
No secret concessions (i.e.: giving up your opening because he anchored. )
Justify your opening and new offer.
Download the slideshow:
Concession Theory –
3 Approaches to Tactical Compromise