Two days ago I was composing an email attempting to negotiate an ‘I am worth more than you want to pay me’ deal.
I was pretty pleased with the results. Therefore, when my brother Jaron, king of the one liners, negotiator par excellance, hollywood mega bachelor, signed on IM, (ok usually that means Internet Marketing, but now it means instant messenger), I was ready to show it off.
A word about my brother. There are very few people who you will meet in this life who possess his unique combination of talents. When he walks into a room, you NEED more oxygen, since his presence takes up so much of the space. No, he is NOT fat, he just commands attention. Yet he is also a best friend, generous, and very self aware. He can walk into well established companies , and without understanding their product, identify their weeknesees and how to improve. He is NOT a sounding board, rather a problem solver. Period.
I saved our IM conversation. You can see my minimal input in (paranthesis)
To start it off I told him I wrote an email I want him to take a look at….that I was trying to negotiate a better deal for myself..
He knows no details, situation, etc.. but takes off…
“rule one about negotiating”
“and theres only one”
“cant negotiate unless you can walk away”
“if you can and i think you can, do it”
(read this beauty of an email I wrote (not included here)).
“you want my opinion?”
“keep it in your journal and write something more appropriate”
“he’s not your friend”
“he sounds like a lover”
“too much info in here”
(but… we are friends)
“but this email is not about friends”
“its about biz”
“you need to separate the two”
“it has both sides in there”
“and i know you are friendly”
“but that doesnt make it sound professional”
“you need to trim the fat, take out the emotion, take out advising him on what to do, and make it streamlined…”
“here’s the deal etc”
“what I want”
“so just write one paragraph to him”
“he knows the deal”
(but he MAY not know..)
“doesnt matter”
“he doesn’t need to know”
“you don’t need to tell him anything”
“it sounds juvenile”
“i dont understand the pay structure”
(I write it one sentence)
“for starters that needs to change”
“listen”
“you need to be compensated on results + time”
“you need to be compensated on a sliding scale”
“depending on whether it’s your idea or you are doing his”
“if you come up with something your percentages are higher and your still paid your hourly wage to execute”
“and if its his, you execute at a less percentage and the same hourly wage”
“either way, you need to tell him what you want to make”
“that number should be about 25% higher than what you’ll accept”
(I say he is funny)
“its true”
“but lay it out in a few sentences”
“people who are curt are taken more seriously”
“tell him you’re out of there if these requests are not met”
“tell him you have money coming in from other places now and it doesnt pay to keep doing his work when you’re making more from other sources”
(I say lies. all lies (well mostly ))
“welcome to biz 101″
“the art of negotiating”
“thats why im great at it”
“be strong and short”
(arent you nervous to piss people off?)
“never. liars speak too much”
“i can always walk”
“i say it in 3 sentences or less”
“and tell them if this doesnt work out hopefully we can do business sometime when it does”
“no hard feelings”
“keep it simple”
“if you talk too much they know you need them”
“and its emotional”
“keep emotion out of it”
“otherwise your transparent”
“it shows youre hurt”
(you speak this way to women too?)
“honestly? im the most honest person”
“i truly never lie”
“i dont need to”
“and i tell them that”
“i tell girls and people in biz, im too fantastic to lie to you”
“you’re not worth me lying”
“think about how strong that statement is”
“i dont need to lie”
“i dont care enough”
“its such a strong position”
“i just dont wont to be in business/relationship with someone who doesnt get me/it”
(Yes.. the “I couldnt be bothered”.. my motto for over 2 decades)
“but its not apathy”
“its genuine”
“theres a fine line”
“its kindness”
“not rude”
“its strength”
(I interrupt to mention something benign like an analogy of how it’s nicer for a girl to reject a guy than string him along or some personal issue but here is FOCUS for you)
“lets not talk about that right now”
“tell me what you want”
“per hour and percentage”
“what you want to make for the year”
“and come in aggressive”
“get his attention or you’ll be ignored”
“then you want to own a piece of your ideas”
“compensated with a greater percentage when the idea comes from you”
(me: anyways I get what I get per hour if I am shining his shoes or giving him million $ ideas)
“exactly”
(approval! Score!)
“dont explain that to him, he knows it already”
“just tell him what you want”
“and when he plays dumb and asks then you can tell him”
“dont talk too much”
“keep it short”
“just stick to the facts and write it”
Well what do you think I did in the end?
… I sent my original email minus one line (it was 3:00 AM & I was not going to compose a new one)… … HOWEVER .. the lesson he offered has been heard loud and clear and as most lessons.. as you are educated and mature, you incorporate more of these tools for when you need them next and are better prepared.
What do you think of this negotiating style? How do you negotiate?
Here is a great quote from Liz Strauss from a comment on getting your worth
“If there was a problem on their end, we negotiated how we might make it work by adjusting the job, not the price.”
ady (August 30th, 2007 at 12:03 pm )
Wow! Sounds like your brother’s a pro!
I would be careful though with any deal that involves taking a percentage. I am not sure of the particulars of the deal you are trying to make now, but in general it’s something to be careful with for several reasons…
(1) Paying an hourly rate is short term – the client can get out of it whenever he wants. Percentage means a long term commitment. Is the person you are trying to negotiate with ready for a long term commitment yet? Like the old expression – ‘trying to get someone to commit to marry you before you’ve gone on the first date’. The percentage can scare him off if done too early on.(2) If you are talking about a friend, as you know, mixing business and friendship is “tricky business”. If you take an hourly rate, if you see that the business relationship is getting tense, you can break off at anytime before your friendship suffers. Once you start with percentages, you are in a long term commitment that you might have to go through with even if your friendship is at stake.
(3) It is often hard to differenciate between your idea and a client’s idea that you just “shined up”. It’s also hard to define what ideas are worthy of getting a percentage. Like if you tell a web newbie that he could make money from joining affiliate programs – does that mean you’d make a percentage on every affiliate program he joins because you gave him the idea to join affiliate programs? On top of that, it’s difficult to determine what you get a percentage of, how long you should get a percentage for, what limitations are there, etc. If you don’t want to get into problems later, you really need to work out tons of details and get a contract written up, which may not be worth your time.
As far as my negotiating tips… yeah – I send my husband (ha ha!)
One tip a veteran marketer taught me when negotiating is to offer choices. If you are trying to get someone to buy something, instead of the negotiations being about “do you want to buy this or not”, switch the negotiations to “do you want to buy package A or package B”? This way, your customer’s mind switches from thinking “should I or shouldn’t I” to asking himself “which one?” and then, either way, you win.
Marketing gurus all the time use this trick…
Do you want to buy our full package at $297 or do you want the lite version for only $97? He knew most people weren’t going to buy the $297 one anyway, but just gave it as a choice to make people choose the $97 one.Interestingly enough, this is also a method my son’s kindergarden teacher taught me years ago when dealing with kids. My son didn’t want to particapate in certain activities so the teacher would give him choices to get him to change his mind set. Like if she’d want him to make a picture, she wouldn’t say “It’s time to color in the picture” (because then he’d get defensive and say ‘no’). Instead she’d ask “do you want to use the blue crayon or the red one?” Which, either choice he’d make, would be fine with her…
Lesson learned: Raising kids is simply marketing to small people.
Seriously this is true…
Ever tell your child he’ll get dessert if he eats his dinner? This is giving your “customer” a “sign up bonus”.
Ever have a child who doesn’t like eating bread crusts and you cut off the crust for him? This is simply modifying your product to fit a target market…Sorry Andrea for the long post. I tend to get carried away sometimes…
Good luck!
Ady
Andrea (August 31st, 2007 at 7:32 am )
Ady,
You had me at percentages!!
Yo! There is like 10 different posts in this one response! Love the part about the children and I am sure I have seen books on the subject of marketing to small people, or everything I learned was from such and such…
I try not to do business with ‘friends’. This is someone I am friendly with since we work together.
Have a great weekend
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