Here are the top ten negotiating tips for wholesale buyers. These tips are great because they rely on the power of win/win arrangements.
The key to success in business is having good long term relationships, both with your customers and your suppliers.
By following these rules you will negotiate in a professional manner, gain respect, and obtain better results.
Negotiating Tip #1
Research the market. By fully researching the market you will discover what prices you can expect to pay, and at what prices you can expect to sell the merchandise at.
If you offer a price that is too low you will lose the respect of your wholesale supplier, he will simply assume that you have unrealistic expectations.
Negotiating Tip #2
Pre determine what your goal is. By having a firm goal in mind you will do a better job of negotiating. Don’t lose track of your goal. It is very easy to lose track of what your original goal was when you start negotiating the fine details of a business deal.
Negotiating Tip #3
Compromise. Compromising shows that you are fair business person who understands the position of the other party. While you might have the upper hand and not feel the need to compromise, you would be better off still compromising to keep a positive relationship with your business contact. Even if you don’t plan on doing business again with him, you want to maintain positive goodwill since you never know when you might need the contact again.
Negotiating Tip #4
Understand the goal of the other party. Know what it is that the other party is trying to achieve. Price is sometimes a minor issue in a negotiation. The wholesaler might be more interested in moving his merchandise in volume, than on selling it any given price.
If you cannot discern the goals of the wholesaler ask him what it is straight out. By understanding his goals you will be able to negotiate a better deal in a faster and more efficient manner.