Codie Sanchez
Codie Sanchez

@Codie_Sanchez

11 Tweets 9 reads Jan 18, 2023
My most valuable skill that I was never taught in school:
Negotiation.
7 steps to help you MASTER it faster than anyone else:
1. Build Indebtedness
The worst feeling in the world is being in debt to someone else.
Pro negotiators:
• Build indebtedness via personalized/meaningful gifts
• Leverage discomfort
• Mask a disproportionately large ask
Example:
Sam Blond sent 300 bottles of Veuve Clicquot champagne and a handwritten note to 300 Seed to Series B startups.
The follow-up email campaign after this had a 57% conversion to new paying customers.
~$19k for 169 new paying customers.
2. Hammer in on loss aversion
Humans are more motivated by loss than gain.
Focus on the downsides of NOT closing the deal:
• The opportunities missed
• The timing would have been perfect
Focusing on what’s lost increases your odds of getting to the finish line.
Example:
Use past experiences of loss to hammer home that inaction may be costly.
"Last time someone delayed, interest rates rose and the value of the business went down 40%"
3. Leverage Recency Bias
Recency bias says we have a tendency to overemphasize what happened LAST.
Even if the deal doesn’t get done, end with some sort of positive momentum.
Just because a deal didn’t get done now doesn’t mean it can’t 3 months or 3 years down the line.
4. The Squeaky Wheel Phenomenon
Realize this:
You WILL NOT GET ANYTHING if you don’t ask.
A “no” is better than no answer at all.
Because you can only get to “yes” if you’re willing to ask.
5. Separate People from the Problem
Ask 3 main questions:
• Emotion: How does each side feel?
• Perception: What is the other parties position?
• Communication: Do I fully know what they want, and vice versa?
Realize the other party is a human, too.
6. Be specific
“Perceived knowledge,” says specific data suggests a deep understanding of a subject.
Have numbers and statistics ready for every deal.
They aren’t as important as storytelling, BUT providing them shows you’re prepared and know what you’re doing.
Example:
'I have increased our client's average monthly spend by $5,000/month by doing x, and if I do y can increase sales by $5,000 thus I'd like a $1,000 raise.'
7. Humans are simple.
Don't overcomplicate negotiation.
Ask 3 questions:
• What do they want?
• Why do they want it?
• What can I do to help them, while still “winning” myself?
By seeing both starting points, it becomes easier to find a happy medium
Looking for more tactical advice on how to negotiate and do deals?
We're hosting a FREE 60-minute masterclass on January 25th (3pm CST):
unconventionalacquisitions.biz
Plus...
One lucky participant is getting a $1,000 startup grant to help jumpstart their biz.

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