Let’s talk about how to negotiate (and win) in 2019!
Whether you are an influencer trying to lock down paid brand deals or sponsorships, an employee trying to get a raise, or an entrepreneur trying to secure investors learning how to negotiate EFFECTIVELY is essential for making money moves.
I leveled up after I learned to be assertive and got comfortable with negotiating any and everything.
For example, I negotiated:
- An additional $20k raise after receiving a $15k salary increase a month earlier. Yes, that’s an extra $35k added to my annual income all because I opted to negotiate.
- A price reduction for the production of my beauty bags, which saved me thousands of dollars in production costs.
- The ability to work remotely full-time, which has enabled me to be a full-time tech attorney and run TWO side hustles.
- A sweet deal for the purchase of my car.
- Discounts for my bundles (extensions).
Once you unleash your inner negotiator by learning to be assertive, using your listening skills, and doing your homework, your life WILL change for the better.
If you want to learn how to become an EFFECTIVE negotiator (i.e., a negotiator who comes out on top every single time), follow these negotiation strategies and watch your wins overflow.
1. Do not be afraid to ask!
A closed mouth doesn’t get fed.
Effective negotiators are assertive. They are not afraid to speak up and ask for what they want when they want it. If you wish to become a good negotiator, you need to get comfortable with asking for whatever you want from everybody and anybody.
Tactical Tip: Start speaking up in your familial, social, and professional settings! Ask for things you want by using “I” statements. For example, if you wanted to work remotely, you could say something like: “I would be twice as productive and make better use of my time if I worked from home.”
The goal is to get used to asking for what you want, even if you think the response will be no. That way, the fear of rejection won’t stop you from speaking up. Once you have mastered that, the next step is advocating for yourself in such a way that “no” isn’t even an option.
2. Know what you want BEFORE you start the negotiation process (and aim high DURING negotiations).
In my younger years, I attempted to negotiate a higher salary after receiving a job offer. Things were going well up until the HR manager asked me for a number…There was a long pause (mainly because I didn’t know how much more money I wanted, I just knew I wanted more money) and then I provided a random range, which wasn’t much more than the original offer. Hours later, she called me and told me the original offer for the position was final. #MajorFail!
What’s funnier is I later learned that I didn’t get the increase because they knew I would take the position even if I didn’t get the salary increase – i.e., they didn’t take my counter request seriously.
Coming to the table without knowing what you want is a no-no! It weakens your request and sends out red flags – making them question whether they should take your request (or attempt to negotiate) seriously.
Tactical Tip: Know what you want and ask for more so that you can get the best possible outcome. For example, if you want a $15k raise, ask for $25-30k. That way, you get an increase that is closer or exceeds your request. If you want a lower price for something, ask for a lower price than you are willing to pay. It’s a known fact that the best way to get the best results is to start negotiations from an extreme position. So, try it and let me know how it works for you!
3. Know your value so you can negotiate from a place of power.
Many people leave money on the table because they don’t know their worth. They can’t articulate their value proposition or justify why they should receive a better rate for their work. If you know your value, this will not be your portion!
Starting today, your job is to assess your worth regularly.
If you are an employee, start interviewing for similar (or better) positions at other companies. Doing this will help you better assess your worth and enable you to use these companies’ interest in you as leverage for a raise. Also, don’t forget to note all of your accomplishments because it will help you articulate your value to the company.
If you are an influencer, you are going to want to highlight your stats (i.e., follower count across platforms and engagement rate) and the companies you have worked with in the past.
If you are looking for funding or sponsorships, you are going to need to produce stats, financial projections, and a business plan to showcase your value.
4. Do your research so you can further justify your request.
Data is power!
Understanding the trends, practices, and opportunities related to your asks or requests can help you obtain the best outcomes.
If you are an employee, you want to get a sense of what other companies are offering (i.e., compensation, perks, and benefits) their employees in similar positions like yours.
If you are an influencer, you want to get a sense of how much your similarly situated peers are getting compensated for similar work. You want to get a sense of what the market is generally willing to pay for a blog post, Instagram post, or video. Consulting your blogger friends or using tools like Social Bluebook can come in handy here.
If you are an entrepreneur looking for funding, you are going to want research:
- The industry you wish to enter (whether it is a steady, volatile, highly regulated, or so forth);
- The market and whether there is a demand for the product or service you wish to offer;
- The investor (or the company you are seeking to receive a sponsorship from);
- The potential return for the investment, and so forth.
You want to come to the table with guns blazing – prepared to answer any questions that may come your way.
5. Understand the wants, needs, and values of the other party.
It’s hard to get to yes without doing your homework on the other party!
You want to walk into negotiations with relevant information about the other party’s needs, values, pressures, objectives, etc. Knowing this type of information gives you more negotiation power and helps you position your asks/request in a way that appeals to the other party.
So before you step into negotiations, arm yourself with information about the other party.
6. Demonstrate how you will meet the needs of the other party.
Effective negotiators are great listeners that assess the situation from the other party’s perspective. To become a good negotiator, you have to understand the other party’s needs and address them by offering solutions that will leave the other party feeling satisfied without sacrificing your desires.
How do you do this? Align your wants with the other person’s needs.
Going back to the working remotely request. If your boss wants to see more productivity and increased profits, you should explain how allowing you to work remotely would achieve those outcomes. You could explain how working remotely would:
- Increase productivity by reducing unnecessary distractions;
- Minimize time spent commuting to work that could be used to do work; and, as a bonus,
- Decrease overhead expenses associated with you coming into work.
Whenever you enter negotiations, the goal is to show the other party that both parties can walk away satisfied. If you demonstrate that you understand the other party’s needs at the outset, you will likely to get what you want.
Those are my winning tactics for negotiating in 2019. If you want to learn more about how to negotiate effectively, click here to learn more negotiation tactics from your peers.