Negotiating or negotiating a price is an ancient tradition that allows you to buy an asset at a lower cost after discussing it with the seller. In many markets around the planet, sellers negotiate the price of an item with the aim of making a profit from the sale, while making buyers believe they are at a loss. If you want an item, it is important to know the right strategies to haggle like a pro.
Steps
Part 1 of 2: Prepare
Step 1. Know the situations in which it is appropriate to negotiate
It is not appropriate to do this in any context. A bazaar in Morocco can be a great place to pull on the price, but doing it in London, at Harrod's, is not the case. What is acceptable in one place denotes rude behavior in another.
If you want to know if it is acceptable to negotiate, start by saying a generic phrase, such as "It's too expensive for me". If the seller makes you an offer, he is effectively opening the door to a negotiation; in this case, it also rolls on the price. If he doesn't say anything or says he can't lower the price, you can't haggle in this place
Step 2. Find out about the prices paid by the locals
In most places where it is common to negotiate, there are two weights and two measures when it comes to prices. Those paid by local inhabitants are often much lower than those requested from tourists.
While you find that an alpaca wool scarf costs 60 Peruvian nuevos soles for locals, and 100 for tourists, you don't necessarily have to expect to be able to pull up the price to pay less. Many don't sell at the local price as a matter of principle, but you might get close enough if you're skilled
Step 3. Determine the value you place on the asset
This is a foolproof and useful rule of thumb for shopping and applies to everything you buy, particularly when you haggle. Many negotiators think they can make a good deal by halving the price. However, there are a lot of sellers who only triple the initial bid ahead of negotiation, which means that technically, you won't get a good deal if you buy this asset. However, if you know the value you place on it, the price the seller gives the item doesn't matter - what matters is that you are satisfied with what you get.
Step 4. Keep cash on hand
In many places where it is commonly traded, cash reigns supreme. Vendors don't even accept credit cards, they'll look upset if you pull one out. The resulting benefits are different:
- You will not succumb to the temptation to pay too much for an item because you will be limited by the cash you have. Make a budget before you buy something and you will see that you will stick to it.
- Pull out a handful of cash and exclaim "That's all I have!" it's a good trick that often works. The sellers will be tempted to close the transaction and hand over the item to you.
Part 2 of 2: Managing the Negotiation
Step 1. If you think an item is worth more than you paid for it, it doesn't matter that it cost you more than a local
It was you who gave it a certain value. If the seller you pull the price with refuses to lower it to what you think is appropriate, you should walk away, that's all.
Step 2. Do not project interest or enthusiasm towards what you have spotted
One of the biggest mistakes made by people who go around negotiating is to convey a certain "despair". As soon as the seller realizes that you like something, he has the knife on the side of the handle. On the other hand, if he thinks you are demanding, you have a certain advantage, because you can always walk away or at least pretend to.
Step 3. Begin by asking to discount the price 70-75% of the indicated price
A good rule of thumb is to take the first offer that is made to you, divide it by four, and start the haggling process from there. In some cases, if you offer half the initial price, you risk insulting the seller. If you offer 10% less than the original price, you will not get a good deal.
Step 4. Team up with a friend or your wife
Bargaining is easier than you think if you are supported by a person who keeps reminding you that you have other responsibilities in life, prompting you to walk away from the shop. Here's what to do:
Ask a friend to accompany you when you go to pull the price. If he pretends to be bored, worried that you're spending a lot of money, or eager to leave because he's on a date, the salesperson may go straight to the chase and get you a better offer, equal to, or close to, the price you actually want to pay
Step 5. Don't be afraid to distance yourself from an object while still worshiping it
You will get the lowest possible offer, or so, if you prepare to leave. As soon as you head for the door, the seller sees a deal fading - and all traders in this world hate such a loss. It should offer you a much lower price than you started with.
Step 6. Be prepared to spend a lot of time bargaining
It's not that rare to hover over the price for hours. Sellers who start to negotiate delay by lengthening the negotiation time because they understand that many people are simply impatient and willing to pay more for the sake of convenience - to buy the item and leave. They can feign embarrassment, disappointment, and offense in the course of the argument, using these emotions to end it. Don't take the bait. Be firm and you should get the price you were looking for. This exchange could go something like this:
- Seller: "It costs 50 euros, madam".
- Buyer: "I'll give you 20".
- Seller: "What do you say about 45?".
- Buyer: "What about 20?".
- Seller: "I can't go under 35 euros".
- Buyer: “And I won't pay more than 25”.
- Seller: "30?".
- Buyer: “25”.
- Seller: "I will accept 27 euros".
- Buyer: "I'll give you 26 and done deal."
- Seller: "27 euros is my latest proposal".
- Buyer: “26 and I'll take it away immediately”.
- Seller: "26, 50?".
- Buyer: "26 euros".
- Seller: "And 26 both".
Step 7. When the seller announces his final bid, don't take the hook (optional)
It usually isn't. He may try to convince you otherwise, that he is not willing to lower the price any further. Tell him your final offer, which should be $ 1-10 less than his, and work accordingly. After all, earning $ 50 is better than $ 26 for the seller, but earning $ 26 is better than nothing.
Step 8. When the seller offers you a price that convinces you, stop
Don't insist, or you'll ruin the whole deal. Take the item and leave. Rejoice with your new purchase, satisfied that you pulled the price and made a good deal!
Advice
- Never propose too low a price. The starting price should still be reasonable for that asset. Proceed from there to meet the seller.
- In some cases, the initial price should be a little less than half of the original price.
- Be polite and reasonable towards the seller, otherwise you risk leaving the shop empty-handed.
