Negotiating: 10 ways to get better results

Negotiating isn’t extraordinary, of course. It’s something that most of us do many times each day, whether formally or informally, in our business or personal lives.

Some of us are natural negotiators, while others struggle. However, negotiating isn’t simply a question of enforcing our will to get what we want.

Sometimes you get more than you expected; sometimes you have to settle for less than you wanted

Negotiating involves trying to reach agreement. Sometimes you get more than you expected; sometimes you have to settle for less than you wanted. Negotiating is about finding a solution that’s acceptable to both parties, which is why some negotiations take so long or why they ultimately prove fruitless.

So, what’s the key to getting better results when negotiating?

1 Be well-prepared

Proper preparation is key. You must know what you want from the negotiation, what your alternatives are and what you’ll concede if asked. You also should try to understand what the other party wants, what they’d give up and what their other options are. Ahead of the negotiation, practice answering any questions you’re likely to be asked and make sure you can back up all claims you’ll make, because it could strengthen your negotiating position.

What works in some cases may not work in others, so take time to decide the right approach 

2 Use the right negotiating strategy

Good knowledge of the other party can enable you to know how best to approach the negotiation. Your strategy will be slightly or entirely different for different people and situations. What works in some cases may not work in others, so take time to decide the right approach to take in each instance. 

3 Choose the right time and place

You need somewhere free of interruptions, where both parties can talk openly. Make sure there’s enough time for the negotiation, so that deadline can’t be used against you. Very early on, explain what you hope to achieve, but don’t reveal concessions you’re prepared to make, because these must be negotiated.

4 Believe in yourself

Lack of confidence will undermine you when negotiating. If you’ve prepared well, know what you want and have a sound strategy, you should feel confident. Also make sure that your appearance and body language is right. Be firm but fair when negotiating. Speak clearly and with authority, but remain open to questions and comments.

Don’t issue ultimatums or allow things to get heated. Stay cool and don’t take things too personally

5 Stay calm and keep it friendly

Negotiations should be friendly, with both sides professional, polite and respectful. The tone shouldn’t be adversarial – aim to build bridges not walls. Don’t issue ultimatums or allow things to get heated. Stay cool and don’t take things too personally – even if the other party is rude or overly dominant. Smile and stay focused.

6 Be a good listener

You must carefully consider the other person’s point of view if you’re to reach an agreement. Don’t talk at or over them, instead, seek to create and sustain a good conversation. Also be patient, because negotiating can take time, especially when matters are complex or the stakes are high. During the conversation, if you don’t understand any points, seek clarification.

Don’t allow yourself to be bullied into revealing your bottom line too early on

7 Be prepared for negotiating tactics

Experienced negotiators employ various tactics, especially when buying or selling. Be prepared for someone to play tough, but don’t allow it to affect your confidence or determination. Don’t allow yourself to be bullied into revealing your bottom line too early on. There should be some room to negotiate on the other party’s opening offer.

8 Concede ground when necessary

But ask for something in return. So, if they want a cheaper price, agree only if they buy more from you. If they want more credit, try to ask for a higher price. Where possible, avoid giving concessions unless you get something in return. And never appear desperate, because it can weaken your position severely.

Drive a hard bargain, but remember – the deal must be fair for both parties, if the relationship is to last 

9 Seek concessions when possible

If you feel you’re in strong position and close to agreement, try asking for concessions, but only if they offer real value for your business. If you’re buying, by all means drive a hard bargain, but remember – the deal must be fair for both parties, if the relationship is to last. 

10 Walk away if you can’t agree

No deal really is probably better than a bad deal. If you want to consider an offer, ask for more time. If no agreement looks likely after there has been sufficient time to talk, politely end the negotiations and part on good terms. They might later make more concessions to rekindle your interest. If you can’t come to an agreement that works for your business – explore other available options.

• Blog written by Dead Good Content founder, Mark Williams.

Business ideas – the good, the bad and the crazy

One expert and three business owners discuss business ideas and how success can sometimes come from seemingly foolish thoughts.

Although a few businesses ideas are unique, many involve what Kevin Duncan describes as “conceptual blending”, which is taking an idea and applying it in a new context. “Add the delivery mechanism of a biro to stick deodorant and you invent roll-on deodorant,” he explains.

Duncan is a business adviser, marketing expert and author of more than 20 books for small businesses, including The Ideas Book: 50 Ways to Generate Ideas Visually. “Anyone can have a business idea,” he continues. “But if enough people aren’t willing to buy it to cover your costs and generate enough profit – you have no business.”

Asking potential customers as early as possible what they think of your business idea – and how much they would pay for it – is essential. “Before starting up, the founders of Innocent set up a stall at a jazz festival with ‘good’ and ‘bad’ bins. All people had to do was lob their empty smoothie container into one bin or the other. Easy, fast, reliable market research.”

“Many advisers say you should ‘always be in beta’, but I disagree. Get it right at the beginning and get on with it.”

Promising ideas can be refined, says Duncan, who believes you should test fast, then decide. “Many advisers say you should ‘always be in beta’, but I disagree. Get it right at the beginning and then get on with it.”

Duncan also believes in speaking to experts if you lack technical knowledge, because their input can make a big difference. “When testing business ideas you must be brutally honest,” Duncan stresses. “If it’s rubbish, start again. And again. If your ideas are never good enough, admit it and give up. It could save you a lot of time, money and grief.”

Recipe for success

“I came up with the idea while sitting at home thinking there had to be a better way to cook great meals without all the hard work,” recalls Timo Boldt. “Having to find recipes, go shopping, and weigh ingredients was painful, while inevitably you end up wasting food. I thought if someone could fix this for less than the supermarkets charge, it would be insanely amazing.”

Boldt started London-based Gousto in 2012 with friend James Carter. Customers can visit the website, pick recipes and then order pre-measured ingredients to ensure no waste, which soon arrive at their door. “We made many small changes before launching, but our first real customer feedback triggered much bigger changes,’ Schmidt confesses.

“Customer feedback is vital. We still obsess about listening to our customers – they drive our product roadmap.”

Soon they were testing their recipes from market stalls, where reaction was overwhelmingly positive, but they were still able to learn. Boldt says it’s essential to test a business idea thoroughly before committing time and money. “Customer feedback is vital. We still obsess about listening to our customers – they drive our entire product roadmap,” he says.

In less than four years Gousto has scaled to now support more than 200 jobs, selling millions of meals per year. It has attracted £20m of investment, while ex-LOVEFILM CEO, Simon Calver, now sits on the company’s board. Always seeking new ideas, Gousto has launched apps to make ordering even more convenient, while introducing more choice to the menu (which now features dishes created by Theo Randall and Mary Berry, as well as wine and desserts). “You must take time to develop ideas – but sometimes it does take a leap of faith,” Boldt smiles.

“While enjoying food and drink with friends, Kahana lifted up his feet. He wondered why most socks looked so boring.”

Socks appeal

Gil Kahana and Humberto De Sousa became friends while studying communication design at Central Saint Martins. One day they were enjoying food and drink with friends and as Kahana relaxed he lifted up his feet. He wondered why most socks looked so boring. Then he got around to thinking how much better socks could be if animated with characters (“almost like wearing sock puppets on your feet”).

“I suggested the idea to Humberto and asked if he would like to collaborate. Then we started to meet up once a week to progress the idea, because we both had full-time jobs,” he says. “We drew quirky faces onto white socks, to see what worked best. At first we didn’t really have any business ambitions, but it grew. We then asked people on the street in London for their views on personal expression through clothing. It confirmed our thinking: the characters on our socks should only become visible when shoes were taken off.”

Chatty Feet launched in 2012 and feedback was mostly positive, says Kahana. “One blog made a negative comment, but it didn’t stop us,” he adds. Now with such characters as Kate Middle-Toe, Prof Brian Sox, Andy Sock-Hole, they sell socks in 27 designs in nine countries. “Last year we doubled our unit sales and we’re currently looking to open up new overseas markets,” Kahana reveals.

When seeking feedback, Kahana recommends having a prototype. “Then people can see exactly what you’re talking about. Also carry out research to make sure someone hasn’t already got there. Discussing your ideas with others can be beneficial, but make sure you’re in a stimulating environment. You should feel able to express your thoughts. Some people see the world in strict paradigms; they struggle with new ideas. Don’t listen to them,” he advises.

“The Dragons abused me in their typical style – even saying that my product was dangerous. Afterwards I was angry, but determined to show them.”

Buoyant sales

Kevin Moseley was a swimming instructor in Lancashire in the late-1980s. For a fun way to end lessons he would pretend to be a shark and swim around the pool wearing a fin made from two polystyrene kickboards. One day a child asked if he could try the fin, because it looked fun. Moseley experienced his own eureka moment, realising the commercial potential.

“Over some years I created, tested and improved prototypes,” he remembers. “I’d taken out a trade mark and had patents pending when I was invited to appear on Dragons’ Den in 2006. The Dragons abused me in their typical style – even saying that my product was dangerous. Afterwards I was angry, but determined to show them.”

Kevin remortgaged his home, borrowed from the bank, cashed in his life savings and sold his swimming school business to raise start-up capital. “It was a huge gamble, risking everything on an idea seeking to change the way swimming is taught around the world. I could never have been 100 per cent sure it would succeed,’ he confesses.

Moseley modified his product, had it tested rigorously against international safety standards. “I spent 18 months on R&D. You can’t launch a swimming aid without thorough testing – parents must be able to trust your products.” Then he found a manufacturer and launched Northampton-based SwimFin in 2008, running the business from his garage.

“In our first year we sold about 70,000 units in 46 countries overseas – a promising start. Now we export to more than 100 countries, have 44 exclusive international distributors and in the next year we hope to sell our one millionth SwimFin. We have a range of products, but the pioneering SwimFin is still the bestseller. I’m very proud of my idea and the business.”

• Written for The Guardian Small Business Network by Dead Good Content founder, Mark Williams.

Bake Off business lessons: What are the key ingredients for success?

We love The Great British Bake Off in our house. We tune in every week. Reportedly, more than 10.8m viewers watched the first episode of the 11th series when it aired in September (6.9m viewers watched it live, the rest caught it on, erm, catch-up). It was Channel 4’s biggest broadcast since 1985.

The BAFTA-winning show was produced for the BBC before moving to Channel 4. And in case you’re not a fan, it stars no-nonsense master baker Paul Hollywood and fellow judge, food writer Prue Leith (who replaced British cookery royalty Mary Berry). Comedians Noel Fielding and new boy Matt Lucas provide the laughs.

Competing over ten weeks for the much coveted “UK’s Best Amateur Baker” crown are 12 non-professionals. Each week they attempt different baking styles and methods, creating  “Signature”, “Technical” and “Showstopper” bakes along the way. One contestant is named “Star Baker” by the judges, while another must leave the show, until one wins the final episode.

Smutty innuendo is a key reason why viewers love Bake Off. But among the “soggy bottoms” and bun and bap double entrendres, the GBBO offers many valuable lessons for business owners. Such as…

1 Good time management is essential

Not a single minute can be wasted when you have just a few hours to create a show-stopping Croquembouche or Flaouna to pass a tough technical test. The same is true in business. To maximise your productivity and profitability, you must make every second count.  

2 You must be able to handle pressure

Whether you’re in the Bake Off tent or running your own business, some pressure is inevitable, at least some of the time. If you can manage that pressure so it doesn’t turn into stress, you can overcome challenges and achieve great things. 

3 Proper planning pays off

Executing a well thought-out plan is essential to wowing the Bake Off judges. Contestants are often to be seen ticking off lists while working their way through highly challenging recipes. Similarly, sticking to a sound business plan strategy can ensure that you stay on track and achieve your ambitions.

4 Simplicity is usually best

Complexity often leads to disaster on the GBBO. Leave yourself far too much to do within your available time is setting yourself up for failure. And while pushing yourself is a good thing, setting impossible objectives isn’t. Better to keep things simple and do the basics well.

5 Success is built on consistency

Quality matters in baking and business, but you’re only as good as your last bake, task or job. Even star bakers and businesses can come unstuck if they fail to deliver quality time after time.

6 Everyone makes mistakes

Even those who have won the Bake Off have had mishaps along the way. Sometimes mistakes can be rectified, sometimes they can’t, but no one gets it right all the time. Making mistakes is acceptable – not learning from them isn’t.

7 You should listen to expert advice

There’s no doubting Paul Hollywood’s expertise. When things go wrong on Bake Off, he provides an immediate explanation, based on his deep knowledge and decades of experience. Bake Off shows that constructive criticism and advice from others can help us to improve.

8 Your personality should shine through

Your personality can help to set you part from other businesses, which is vital. Whether they’ve been tasked with making a macaron, bread roll or tea cake, successful Bake Off contestants put something of themselves into their creations. Being who you are can help to fuel your success. Viewers and customers like authenticity.

9 Appearance isn’t everything

On Bake Off we frequently see outwardly beautiful creations picked apart for lacking flavour or crunch. Sometimes they’re over or under baked. Similarly, an impressive business website can be undermined by poor customer service. Substance is more important.

10 Who dares (usually) wins

Sometimes you must be prepared to think outside the box and do things differently if you are to triumph. Whether that’s spicing up teacakes with masala chai or adding cream soda flavouring to your cheesecake topping, in business and the Bake Off – fortune favours the brave.

• You can watch the series so far on catch-up or by visiting the Channel 4 website. Blog written by Dead Good Content founder, Mark Williams.