Download - Negotiating as Consultant

Hands-on Workshop for Negotiation Prowess

byJi Eun (Jamie) Lee

@jieunjamiejieunjamie.com

Wednesday, August 7, 13

Agenda1. Opening remarks: Kara Rota

2. Presentation:

A. Believing in your value

B. Articulating your value

C. Negotiation frameworks

3. Scripts for making concessions and raising your rate

4. Role-play, feedback and open discussion


Before a negotiation I feel...

• Dread

➡Procrastination

• Fear

➡Undervalue myself

• Lower expectations

➡Lower outcomes


Ding!

• Deep breaths. Relax.

• Imagine from their perspective. Identify shared interests. What do you both want?

• Name the emotions you are feeling. Are they based on reality?

• Go do something that makes you feel good. How does the Most Confident You look, walk, and talk?

*adapted from It’s Always Personal, by Anne Kreamer


http://www.annekreamer.com

http://www.annekreamer.com

How to ask for anything

Confidence• Believe in your value.

Preparation• 80% of successful

negotiation.

Relationship• Communicate that

you care.


Frameworks

• Value

• Interest

• Anchoring

• Concessions

• BATNA


Value & Benefits

•Convenience

•Efficiency

•Organization

•Reliability

•Credibility

•Avoiding risk

•Authority

•Revenue, clients

•Time, money saved

•Problems solved

•Roadblocks cleared

•Insurance, reduced risk

•Increase in prestige

What do your clients value?*What additional benefits can you deliver?*


Aligning Interest

• Dig deep for interests. Ask diagnostic questions: Why, how, when, where, what, and who.

• Listen to the other side. Don’t interrupt.

• Frame your ask as mutual benefit


Anchoring

• Set an ambitious anchor. Increase your perceived value.

• Anchor based on value and benefits, not features.

• Research your market value according to experience, geographic location, and industry.*

vs.


Research Market Rate

• Search online, and aim for high end of range

• Glassdoor.com• Indeed.com• Salary.com

• Tap into your network

• Industry insiders, outsiders • Mentors, peers

• Frame your rate as high value relative to alternatives.*


Responding to pushback*

• Make a concession and make it clear that what you’re giving up is costly to you.

• Spell out the benefits to the other side.

• Ask for something in return: testimonials, referrals, more time, etc.

OR

• Best Alternative to Negotiated Agreement • Supply and demand • What’s your bottom line for saying no?


• Expert Scripts


Concession Script: HBS Prof. Malhotra

“This isn't easy for us, but we've made some adjustments on price to accommodate your concerns.

We expect that you are now in a better position to make some changes to the project deadlines.

An extra month for each milestone would help us immeasurably.”

Label your concession

Ask for reciprocity

Spell out what you value

“This is literally the best we can do on price right now. But if you can adjust some of your demands, we might be able to reopen the price issue.”

Contingent Concession“Tit for tat”


http://hbswk.hbs.edu/item/5235.html

http://hbswk.hbs.edu/item/5235.html

Script: Ramit Sethi, IWT

In the last year this is what we’ve done together. I’ve helped you manage your email inbox, saving you over six hours a day. I’ve helped refer you 19 clients generating a total of $450,000 and X dollars in commissions.

This year, one of the things you told me was you’re looking for A, B, and C. Now, I’m going to be adding A as a complimentary part of my services to you. I’ll be able to do that for one hour a week for you as a complimentary part of us working together.

The other thing is, I’m becoming more selective in the clients I work with. Now, you and I have had a great time working together. We’ve generated $450,000 dollars in revenue. And I’ve helped save countless hours.

My rate is going to be going from $15 an hour to $25 an hour. If that’s something that you’re not comfortable with, please let me know. I’ll be happy to refer you to someone else who might be a better fit for your cost needs. But if this is something that works for you, these are my plans for the next 30, 60, and 90 days and I would look forward to working with you together.”

http://www.marieforleo.com/2012/08/raise-prices/ 5:09 - 6:55

Value

Addt’l Value +

Freebie

Relationship

Ask & an out

Specific Plan


http://www.marieforleo.com/2012/08/raise-prices/




Self-assess & say it out loud.

• How do you contribute value?

• What drives your client’s succes?

• How will you research your market value?

• What is your standard, or floor rate?

• What is your value-based, or ceiling rate?

• How will you frame your rate as high value?

• What will you ask for in exchange for a concession?

• How will you walk away from the table with grace?


Finally, don’t settle at no.

Prepare. Practice. Be Persistent. (Yes, like a puppy)


Appendix: Hourly Rate

Annual Salary Per Hour +50%+100%

or double +200%

or triple

$40,000 $20 $30 $40 $60

$60,000 $30 $45 $60 $90

$80,000 $40 $60 $80 $120

$100,000 $50 $75 $100 $150

$120,000 $60 $90 $120 $180

$140,000 $70 $105 $140 $210


Was this valuable to you?

• Read my blog at jieunjamie.com

• Tweet me at @jieunjamie

• Email me at [email protected]

• Available for coaching sessions, webinars, speaking opportunities and group workshops

I’m on a mission to reach 1,000 women this year.Would you help me get there?


mailto:[email protected]

mailto:[email protected]

Download - Negotiating as Consultant

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