Industry
Intelligence
Best Practices, Tips & Techniques
Posted 5/7/08
7
Questions About Negotiating with Customers with Myra Golden

1.
Is it wise to make concessions when negotiating with
customers?
Every
negotiator, even savvy executives, concedes from time to
time and as long as the concession makes good business
sense, it's okay. BUT - and this is a BIG but - you need
to be aware of what your concessions are saying to
customers. A
large concession on your part tells the customer he can
get a lot more, so he may press you for more. Rapid
concessions undermined your company's creditability.
Only make concessions if you have considered all of the
alternatives, you feel it will maintain the customer's
loyalty, and when it balances the interests of both your
customer and your company.
2.
How do you respond in a negotiation with a customer when
the customer's demand is unreasonable?
I
use 5 little magic words: "That
sounds a little high."
And then you pause. No matter what dollar amount
the customer puts out, just state the 5 magic words and
then sit back and wait for their response. Most people
become increasingly uncomfortable with silence and will
feel compelled to respond. Most likely, your customer
will either make a more reasonable request, or they will
try to justify their request.
3.
What do you do when you find yourself in a
deadlock with the customer in negotiation situation?
That is, what do you do when the customer isn't
accepting your offer and you are not willing to concede?
Don't
allow the customer to push you into a corner. Here's a
phrase that will help you set and enforce your limits,
while at the same time moving the conversation forward:
"We see this
differently, and I am going to have to put more thought
into the perspective you have shared with me. It's
helpful to me to understand how you see things. In the
meantime, here is what I can do to solve the immediate
problem."
4.
Is it appropriate to negotiate with a difficult customer
who is actually responsible for the problem they are
complaining about?
I
am not for compensating customers when the problem is
clearly their fault. Never forget, today's
exception becomes tomorrow's expectation. Customers
have eternal memory, and they'll expect you to give in
again if they encounter the same "human"
error. Here's how I'd respond to the customer when the
problem is clearly their fault:
"We
appreciate hearing about your experience, but we cannot
compensate you in this matter because you failed to
follow instructions (or misused the product, etc.)"
Negotiate
Like a Diplomat
(Immediately downloadable
Webinar Recording)
10
Simple Strategies for Negotiating with crafty, cunning, and
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5.
Should frontline customer service employees be
involved in negotiations with customers or should this
always be the responsibility of supervisory or
management employees?
As
long as employees are trained, empowered, confident, and
known to make good judgment, they can negotiate with
customers. Having
said that, it's often a good move for frontline customer
service representatives to admit early on that they
don't have the final say in a negotiation. (Even when
they do have the final word, this is a good move.)
Admitting this gives the representative a graceful
exit, should negotiations become deadlocked.
6.
What are some of the most common tactics customers use
to paint companies into a corner in a negotiation
situation?
There
are many tricky tactics customers will use when
negotiating. When
it comes to negotiating a settlement in a product
liability complaint, a common tactic is the use of
hypothetical questions. An example hypothetical question
is "If my 3
year old son had bitten into the hamburger that had the
piece of glass in it, don't you agree that he could have
been in serious condition?" This is clearly a
setup and you cannot answer the question.
Get the customer focused on solving the actual
problem that did occur and nothing more.
7.
Is it appropriate to negotiate with customers via email?
Yes,
it is. Ten years ago I would have answered differently,
but today email is the preferred communication medium of
many of your customers. You need to know that email
negotiations tend to take longer than phone and face to
face negotiations and email negotiations are less likely
to end in agreement. If things become tricky via email,
pick up the phone and call your customer.
Myra's
gift to you...9 Phrases - word-for-word for how to handle
difficult negotiation situations. Download
your free handout now.
Do
you ever find that you've spent more money to resolve complaints
than you know you should have? Do you sometimes "pay a
customer off" just because it's easier to "get rid of
them"? Do you wish you had more confidence in your ability
to negotiate with customers?
Introducing...
Negotiate
Like a Diplomat
(Webinar Recording)
10
Simple Strategies for Negotiating with crafty, cunning, and
unreasonable customers
Learn
more!
"Give
Me 90 Minutes And I’ll Have You Negotiating Like a
Diplomat."
Myra Golden
I
promise, after this 90-minute How to Negotiate with
Customers webinar, you will be inspired and thrilled
with how effective you are at negotiating with customers.
And once you've gotten a taste of how easy it truly is to
get angry customers to back down and reach win win resolutions,
you will be completely STOKED and actually look forward to
negotiating with customers!
How
to Negotiate with Customers
is
CLEAR,
CONCISE, and geared
to give you QUICK RESULTS that will empower you
to reach agreements that balance the interests of both your
customers AND your company.
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