I've sold to Zoom, Twilio, Snowflake, ZipRecruiter, SurveyMonkey, and 100s of other world-class companies.
I've used the same 5-step negotiation framework to close over $5.5 million dollars in revenue.
Steal it for free here:
I've used the same 5-step negotiation framework to close over $5.5 million dollars in revenue.
Steal it for free here:
Step 1: Know your top 3-5 negotiations levers
These can be based on:
• Volume
• When the deal closes
• Length of the deal (e.g. 2-year deal vs. 3-year deal)
• When you get paid (Net 30, 60, 90)
I use a slide to present these items.
Give them options (besides discount)
These can be based on:
• Volume
• When the deal closes
• Length of the deal (e.g. 2-year deal vs. 3-year deal)
• When you get paid (Net 30, 60, 90)
I use a slide to present these items.
Give them options (besides discount)
Step 2: Understand what is important to them
Throughout the deal process, gather information from them that you can use in negotiations later.
Example: “My VP really cares about adoption”
In this case, you can make a price adjustment on professional services around adoption.
Throughout the deal process, gather information from them that you can use in negotiations later.
Example: “My VP really cares about adoption”
In this case, you can make a price adjustment on professional services around adoption.
Step 3: Understand that negotiation isn’t 1 call
Too often we see reps trying to finish a negotiation in 1 call.
This tends to lead to reps negotiating with themselves.
Don’t give anything away without getting something in return.
Too often we see reps trying to finish a negotiation in 1 call.
This tends to lead to reps negotiating with themselves.
Don’t give anything away without getting something in return.
Step 4: Leverage your executives in negotiations
Executives would prefer negotiating with other executives.
Leverage other executives in a negotiation when possible.
Before adding them to a negotiation call, brief them.
Executives would prefer negotiating with other executives.
Leverage other executives in a negotiation when possible.
Before adding them to a negotiation call, brief them.
Step 5: Finally, get on call with the prospect and...
1. Get all negotiation items out (steps 1-4 above)
2. Repeat/Ask what you heard. "So if I got it right you want ____ Is there anything else?"
3. Prioritize the issues. "Let me ask, what is most important to you price or…"
1. Get all negotiation items out (steps 1-4 above)
2. Repeat/Ask what you heard. "So if I got it right you want ____ Is there anything else?"
3. Prioritize the issues. "Let me ask, what is most important to you price or…"
4. Qualify the decision maker. If we come to an agreement today can you make the decision by (today)?
5. Make the offer. Be clear, confident, and concise.
6. Listen and repeat their counter-offer.
7. Ask for the deal and add an expiration date.
(cont...)
5. Make the offer. Be clear, confident, and concise.
6. Listen and repeat their counter-offer.
7. Ask for the deal and add an expiration date.
(cont...)
8. Agree to consequences if expiration date is not met.
9. Confirm your conversation with an email:
"Per our conversation, we agreed to ____ did I get that right?"
10. Once they've agreed in writing follow up with contract:
"As discussed in the email in which we agreed to"
9. Confirm your conversation with an email:
"Per our conversation, we agreed to ____ did I get that right?"
10. Once they've agreed in writing follow up with contract:
"As discussed in the email in which we agreed to"
There you have it!
Andy's 5-step Negotiation Framework.
Two final thoughts:
• Don’t rush the process, you’ll end up negotiating against yourself
• Understand your negotiation levers ahead of time
Andy's 5-step Negotiation Framework.
Two final thoughts:
• Don’t rush the process, you’ll end up negotiating against yourself
• Understand your negotiation levers ahead of time
If you like this, you'll love my newsletter:
Biz, Building, and Lols: Your Daily Dose of Strategy and Chuckles
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Biz, Building, and Lols: Your Daily Dose of Strategy and Chuckles
andysnewsletter.com
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