Negotiating to get a high offer, whether it’s for a job, a business deal, or any other opportunity, requires a combination of preparation, strategy, and communication skills.
Malinda Coler Johnson, CEO and founder of Conversa AI (a software that allows you to identify qualified candidates quickly for your job openings) joins the podcast to talk all about money. We discuss things to avoid during money talks, how can recruiters identify candidates that are in their pay bands to avoid time wasting conversations, and how recruiters can negotiate requirements and/or better translate past candidate experiences to fill the current need and salary available.
How to Negotatiate a Higher Salary
Here are some steps to help you achieve a successful negotiation.
1. Do Your Homework
- Research Market Rates: Understand the typical compensation or market value for the role or deal you’re negotiating. Websites like Glassdoor, PayScale, or industry reports can provide valuable insights.
- Know the Company/Party: Learn about the company’s financial health, culture, and recent news. This helps you tailor your negotiation strategy.
2. Assess Your Value
- Highlight Your Skills and Experience: Be ready to articulate why you are worth the higher offer. Focus on your unique skills, achievements, and what sets you apart.
- Quantify Your Contributions: Use numbers to demonstrate your impact. For instance, if you increased sales by 20% in your previous role, mention it.
3. Set Your Goals and Limits
- Determine Your Desired Salary/Offer: Know your ideal number, but also identify your minimum acceptable offer. This provides a range to work within.
- Prioritize Your Needs: Understand what’s most important to you. Is it salary, benefits, work-life balance, or opportunities for growth?
4. Practice Your Pitch
- Prepare Your Talking Points: Write down key points you want to cover. This helps ensure you stay focused during the negotiation.
- Role-Play Scenarios: Practice with a friend or mentor to get comfortable with potential questions and counteroffers.
5. Initiate the Conversation
- Choose the Right Time: Timing can be crucial. Initiate the conversation when the employer or other party is likely to be most receptive.
- Be Confident and Professional: Approach the negotiation with a positive and assertive attitude. Confidence can significantly influence the outcome.
6. Make Your Case
- Start with Gratitude: Begin by expressing appreciation for the offer or opportunity.
- Present Your Request: Clearly state your desired offer, backed by the research and value you bring. For example, “Based on my research and the skills I bring to the table, I believe a salary of $X is appropriate.”
7. Handle Objections Gracefully
- Listen Actively: Pay attention to the other party’s concerns and objections. This shows respect and can provide insights into their perspective.
- Stay Flexible: Be willing to negotiate on other aspects if the primary request isn’t met. For instance, you might accept a slightly lower salary in exchange for additional benefits or bonuses.
8. Close the Deal
- Seek a Win-Win Outcome: Aim for a solution that benefits both parties. This fosters a positive relationship moving forward.
- Get It in Writing: Once an agreement is reached, ensure that all terms are documented and signed by both parties.
9. Follow Up
- Express Gratitude Again: After the negotiation, thank the other party for their time and consideration.
- Stay Professional: Regardless of the outcome, maintain professionalism. You never know when you might work with these individuals again.
Tips to Remember
- Stay Calm: Negotiations can be stressful, but keeping your composure is key.
- Be Honest: Always negotiate in good faith. Misrepresentation can damage your reputation.
- Know When to Walk Away: If the offer is not meeting your minimum requirements and there’s no room for further negotiation, be prepared to politely decline.
By following these steps, you’ll be better equipped to negotiate a high offer that aligns with your worth and expectations.
