How to Prepare for Sales Negotiations
Prepd
Sales Research
Negotiation is where deals are won or lost. The best negotiators don't rely on tactics alone. They prepare thoroughly. This guide shows you how to research and prepare for negotiations that protect your value while closing deals.
1Understand Their Priorities and Constraints
Before any negotiation, understand what the buyer truly values. Is it price? Time to value? Specific features? Risk mitigation? Research their organization's priorities and any constraints they're working within. This knowledge helps you propose creative solutions that work for both sides.
Key Takeaways
- Identify their top 2-3 priorities
- Understand budget cycles and constraints
- Note any procurement requirements
- Research their typical vendor relationships
2Know Your BATNA and Theirs
BATNA (Best Alternative to Negotiated Agreement) is crucial context. What happens if this deal doesn't close, for you and for them? Research their alternatives: competitors they might choose, the cost of doing nothing, or internal solutions they could build. Understanding both BATNAs gives you negotiating leverage.
Key Takeaways
- Assess their alternatives realistically
- Understand the cost of their status quo
- Know your walk-away point
- Prepare for competitor comparisons
3Prepare Your Concession Strategy
Know what you can offer before you get to the table. Prepare a list of concessions in order of cost to you, and understand what you want in return for each. Never make unilateral concessions. Always trade for something of value.
Key Takeaways
- List possible concessions by cost
- Know what you want in return
- Prepare creative trade options
- Identify areas where you can't flex
4Research Key Decision-Makers
Understand who's really making the decision. Research their negotiation history, communication style, and what motivates them professionally. LinkedIn, mutual connections, and previous interactions provide valuable insights into how to approach each stakeholder.
Key Takeaways
- Map all stakeholders and their influence
- Understand individual motivations
- Note their communication preferences
- Identify potential champions and blockers
Frequently Asked Questions
Continue Reading
Ready to automate your pre-call research?
Join thousands of sales professionals who save 20+ minutes per call with Prepd.
No credit card required