Negotiation and the Sales Process

Name: Negotiation and the Sales Process
Author: Doug Van Riper

Develop the confidence and skills needed to become an effective negotiator.

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Course: On-Demand

(bright music) Welcome to negotiation and the sales process. In these lessons, we'll discuss how to negotiate in sales, and how to ensure the process uncovers any issues before the final negotiations begin. You'll also learn some key concepts about negotiations and the sales process. First, let's define the terms, negotiating and compromising. The Miriam Webster dictionary defines negotiate as to discuss something formally in order to make an agreement. This suggests it is an intentional process between at least two parties to come to a mutual agreement on a particular transaction. Compromise, on the other hand, is defined by Miriam Webster as a way of reaching an agreement in which each person or group gives up something that was wanted in order to end an argument or a dispute. Now let's examine the similarities and differences between negotiations and compromises. A commonality between these two words is that both mean likely giving something up. For example, if entered into by both parties with a a sense of fairness to reach a consensus, negotiations will likely involve some give and take. But this can be a positive and satisfying process for all when done well. Negotiation has multiple elements of discovery, many rankings of priorities, and focuses on a mutually beneficial end goal. That mutually beneficial end goal is what you are willing to work on together to reach an agreeable solution. Compromising often has a negative connotation. Meaning if I win, you lose, or if you win, I lose. Although compromising may be easier and quicker in some situations, a more collaborative negotiating style will likely lead to mutual satisfaction and a sense of inclusion. For example, let's say you want to exercise for an hour a day. You're too tired after work because your sleeping habits are inconsistent. You don't want to get up early to work out because your favorite show comes on late at night. In order to reach your fitness goals, there needs to be a compromise somewhere, right? Knowing you're more of a night person, you decide you want to exercise in the mornings, but need to get up earlier. You go to sleep earlier, feel energized when you get up to do your workout, and make time to watch your favorite show when you get home. Congratulations! You just reached a great compromise with yourself. It's best not to think of negotiating as a series of multiple compromises. You can think of it as a way to collaborate with the other party. Negotiating helps find a method to satisfy most of the important aspects for each side by being fair and logical.

Intermediate Provider : Doug Van Riper 6 Lessons · 17m in Arabic, German, English, Spanish, French, Portuguese, Urdu, Chinese

Course Description

In many sales scenarios, there is often some aspect of negotiation involved in the sales process. This course provides you with the knowledge you need to become an effective and successful sales negotiator. You’ll learn to determine your best and final offer, and how your best alternative to a negotiated agreement can help in the negotiation process. We’ll discuss the basics of negotiations, such as how and where negotiating can surface in the sales process. These lessons also provide instruction on how to choose the ideal rationale, understanding terms like constraint and disparagement rationale, and how to conduct mutually beneficial negotiations. In this course, you will learn the most important concepts about negotiations, and discover the differences between negotiating and compromising. You’ll also learn how the offer and counteroffer process works, and the right mindset to be successful while learning ways to prevent deals from failing. Finally, you’ll learn about how deals fail, what to do to avoid them from failing, and what to do if a deal fails.

What You'll Learn

Distinguish between negotiating and compromising in the sales process
Determine your best and final offer and your best alternative to a negotiated agreement
Choose the right rationale, including constraint and disparagement rationale
Apply the offer and counteroffer process during negotiations
Develop a negotiation mindset for conducting mutually beneficial negotiations
Identify how deals fail, how to prevent failure, and what to do if a deal fails

Key Takeaways

Many sales scenarios involve some aspect of negotiation within the sales process.
Knowing your best and final offer and your best alternative to a negotiated agreement supports the negotiation process.
Negotiating and compromising are not the same, and effective negotiations are mutually beneficial.
Choosing the ideal rationale, such as constraint and disparagement rationale, is part of negotiating well.
Understanding how deals fail helps you prevent failure and respond when a deal does fail.

Frequently Asked Questions

What does this course cover?

It covers the basics of negotiations, including how and where negotiating surfaces in the sales process, determining your best and final offer, your best alternative to a negotiated agreement, choosing the right rationale, the offer and counteroffer process, developing a negotiation mindset, and how deals fail and what to do about it.

Who is this course for?

It is for people who want to become an effective and successful sales negotiator, since many sales scenarios involve some aspect of negotiation.

What is the difference between negotiating and compromising covered here?

The course teaches the differences between negotiating and compromising, listed as one of its learning objectives, with a dedicated lesson titled Negotiating, Not Compromising.

What lessons are included?

The lessons are Negotiating, Not Compromising; Offering and Counteroffering; Choosing the Right Rationale; How Deals Fail and What to Do; Dealing with Uncertainty; and Test Your Knowledge.

Does this course address deals that fail?

Yes. It covers how deals fail, what to do to avoid them from failing, and what to do if a deal fails.