Everyone expects to bargain over the price of a car, a house or a trinket at the local markets, but when it comes to retail shopping most of us don’t question the price on the swing tag. Knowing how to negotiate yourself a better deal in everyday shops could save you loads of cash. But where do you start? Bargain Shoppers Guide to Sydney finds out how to make the things you can’t afford more affordable.
It’s a familiar story. You’re on your way to work, trying to keep your eyes to the ground as you pass the designer shop windows, but a shimmer from the corner of your eye makes you glance up, and there it is — a glowing mirage of sparkles and sequins. A dress so beautiful it would cause any bride, birthday girl or celebrity socialite who dared step within its aura to shrink into insignificance. You must have it. But, alas, it is way beyond your budget. If only there was a way to wrangle the price down just a smidge — you could gleefully (not guiltily) justify buying it.
Negotiating the price of clothing or any other item in a retail store — be it electrical goods or beauty products — is not something many shoppers consider. Sure, you’d be prepared to do it at the markets in southeast Asia or when you’re buying a second-hand car, but when it comes to face-to-face bargaining in a shop in Australia or even bargaining over eBay, most people view the process as confrontational, embarrassing and even inappropriate. But negotiating is actually a very normal and central part of any buyer-seller relationship.
Calum Coburn, director of Sydney-based negotiation skills training school The Negotiation Experts, says that there is very often room to move on the recommended retail price of an item. The only thing stopping you from paying less is your negotiating skills. Once you learn the basics and practise your bargaining techniques, negotiating is actually a great way to make sure you pay the price you want on anything from clothing to much bigger purchases. Here’s how to do it well.
WHO TO NEGOTIATE WITH
You’ve spotted the dress of your dreams but you’d feel much better about buying it if it cost less. So, what next? Who do you talk to? What do you say? Before you take it up to the cash register and ask for a discount, make sure you’re talking to the right person.
“Your ability to negotiate prices depends on whether the person you’re negotiating with has the authority to give you a discount,” says Coburn.
The first step to negotiating is to find out who you can negotiate with. In retail stores, managers are usually the ones with the authority to grant discounts, but sometimes junior staff can as well. Rather than asking for the manager straight away, Coburn suggests asking a simple initial question to whoever greets you at the store.
GOLDEN QUESTION #1
The first question to ask the shop assistant when you’re ready to start negotiating is:
How much of a discount are you able to give?
“Asking this question will get you better result than simply asking, whether you can have a discount as you’re asking about their role and their authority to make decisions as well a the store’s ability to discount the price,” says Coburn. If the sales assistant cannot personally offer a discount, ask to speak with the manager and pose the same question to them.
GOLDEN QUESTION #2
If the store manager claims not to be able to give a discount, the next question to ask is:
Under what sort of conditions have you given a discount in the past?
“This is when they should, if they’re honest, start talking about buying in bulk, damaged stock, ordering from the catalogue or paying in cash.” says Coburn. “What you’re doing here is getting them to negotiate against themselves.” The more conditions they rattle off, the better position you’re in to push for a discount.
BUILDING A RAPPORT
One of the key negotiation techniques is to make the salesperson feel like they want to give you a discount “and you do this by building a rapport,” says Coburn. Before, during and after asking the golden questions, make an effort to be friendly.
“In retail, staff get so many customers who are rude and in a rush, so it pays to be friendly,” says Coburn. “Make small talk, smile and ask questions. That will make them want to help you.” Throughout all your interactions with the shop assistant, make sure your body language is positive and inviting. Coburn recommends smiling and nodding as they talk, keeping your eyebrows raised.
NAME YOUR PRICE
When working out what discount to aim for, it helps if you’ve done your research.
“Do comparisons online and in other shops,” suggests Coburn. Print out online prices or source receipts from other stores so you have hard proof of the price. “That way, when you request a discount and they ask why they should, you have evidence of the product being cheaper elsewhere. This is the most powerful negotiation power card to play — to make them feel you might buy from somewhere else,” says Coburn.
If you haven’t found the product for a lower price at another store, work out how your purchase could fall into the discount categories they mentioned earlier. Will they offer 10 per cent off the retail price if you pay in cash? Now’s the time to ask.
NEGOTIATING ON EBAY
While nearly everything bought from eBay stores is cheap to begin with, shoppers still have the opportunity to negotiate prices.
“On eBay, you’re dealing directly with the owner more often than in retail stores,” says Coburn. “So even though they’re charging much lower prices, they still have the decision-making capacity.”
When negotiating with eBay retailers, it’s important to do it over the phone.
“If you communicate over email, there’s no body language, no rapport and it makes it more difficult to make them feel they want to give you a discount,” says Coburn. Find out the store’s number on their web page or ask for it via an email. Once you’ve got it, ask the Golden Questions over the phone.
DIFFERENT ITEMS, DIFFERENT DISCOUNTS
What happens if the shop assistant won’t budge on the price of the dress? Before you give up, enquire about whether they’re able to give a discount on other items in store.
“You might find that the manager won’t be willing to lower the price of an expensive dress or suit and yet they might have more mobility on the price of accessories,” says Coburn. “This is because some items have minimum price restrictions.”
If you want the dress — but with the accessories’ discount — Coburn suggests waiting until you’re in need of a few more items from that same store and buying them all at once.
“By buying the dress, a belt and a scarf together, you’re often able to give yourself more room for discounts on the purchase. Retail salespeople won’t want to lose the sale of all three items, so will likely be more flexible to your needs.”
Now it’s time to negotiate for that dress!
| EXTRA NEGOTIATING TIPS Timing: Negotiate at a time when the shopkeeper doesn’t have his or her hands full. Visiting the shop 30 minutes before closing on a Tuesday night when the shop is empty will give you a better chance of building a rapport. Also, negotiate toward the end of the week or month when salespeople are feeling the pressure to meet sales targets. Other offers: If the manager is not willing to budge on the price, ask them what they can offer you to encourage you to buy the product from them instead of from another store. There’s no harm in asking: If you’re buying a few expensive things from the same store, ask them if they can reduce the price or throw in something extra for free. What’s the worst that could happen? Also, ask if there are any promotions running that you could take advantage of or if there are sales coming up that might see this item reduced. The assistant might give you an early discount if this is the case.  Pay in cash: Retail managers are more likely to give you a discount if you pay in cash because then they can avoid paying credit card processing fees. But make sure you actually have cash in your wallet. Don’t run to the ATM after the deal has been made. Appearance: Don’t negotiate when dressed up to the nines. Look smart but not dripping in designer labels. Be prepared to walk away: No matter how much you love the shoes or the dress, don’t get emotionally attached. “It’s going to be written all over your face if you’re not prepared to walk away, and you won’t negotiate well,” says Coburn. |
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