Archive for 11 April, 2014

Power sources that you can use in expected/unexpected situations in negotiations

Power sources in negotiations are perceived as genuine authority traits with the sole purpose of influencing the final outcome of a deal. One-sided power is extremely rare, and to make sure that the power balance stays consistent throughout the meeting, business people are used to switching from one side to another in the hopes of altering the result. Understanding how power sources in negotiations work is vital, if you want the meeting to end in your favor. The tricky part is that one can use these power sources in expected/unexpected situations in order to win, and there are various factors that influence them.

Negotiation

Control your behavior

Behavior is the number one attribute that you can use to your benefit in negotiations. The way you behave will directly influence an opponent’s perceptions about you. Power in negotiations can only be achieved when you are in control. Ergo, the way you act and interact with others is critical. Someone who’s aggressive and who wants to control a business negotiation can easily lose that power if the other party calls their bluff.

Most negotiators are more powerful than they think. There’s a connection between someone’s power source and their self-esteem; apparently, confidence gives you viable alternatives. In business marketing for example, the way you communicate influences an opponent’s opinion about you. Advertising your products by negotiating a deal can be extremely challenging if you don’t know the ins and outs of your business.

Don’t let emotions ruin negotiations

We are emotional creatures. Whether we like it or not, we have emotions and sometimes there’s no way to control them. However, one of main power sources in negotiations is known as emotional intelligence. It’s the ability to control our feelings in situations where we want to appear professional. The business field is one of those situations. As long as you can understand and manage your emotions, there’s a high chance to spot your opponent’s feelings and use them in your favor.

The marketing and advertising domain is one tough and competitive business field. Only the strongest and most courageous people can make it. Success can only be achieved if you can manage your destructive emotions. While it’s difficult to think when you’re anxious or envy, marketers are often put in unexpected situations they just have to deal with.

Analytical skills are vital in business

Marketing professionals must have excellent analytical skills. They will be reviewing all kinds of reports based on statistical analyses such as market share, market size, competitive activity, and consumer demographics. It’s paramount that you learn to interpret and understand the data in order to come up with a sensible strategy and negotiate the best deal.

 

The importance of negotiation in Deals

Another source of power in marketing is creativity. You have to find a way to do things differently. Competition is fierce in this domain, and to really appeal to the senses of a negotiator and convince them to invest in your business, you must think outside the box.

Status – use your position wisely

Your formal position in a company can help you close a good deal. A marketing manager for example, is at liberty to call the shots, make decisions, agree to a certain business plan or not. As a power source, you have to use your position the smart way. Don’t abuse your status – that’s the golden rule here. Influence decisions, offer alternatives, negotiate better outcomes by offering alternatives, but give up the bossy attitude.

Every company executive with an important position can negotiate using power sources. The more you know about your business (and their business) and higher chance you have to reach a good deal. Knowledge is power in any business domain. It’s all about using that knowledge wisely.

A business negotiation is based on two main factors: the quality of the business relationship between all parties involved and the predisposition to bargain. When the parties involved are good communicators, it means that the power sources used are meant to satisfy their requirements equally. Are you ready to use power in negotiation wisely? As long as you’re not abusive of your status, chances are you’ll end up with a lot more than just a deal; sometimes, building connections can be more valuable than winning a 90% share of a negotiation.

By Steve Brown and TheGapPartnership!

How marketing Initiatives Sharpen Your Organisation

Advertising is a facet of marketing and separate from other marketing concepts. Although most individuals use these terms interchangeably, it is important to remember that these business terminologies actually have specific distinctions that using one term in lieu of the other is like calling apples “oranges” or vice versa. Doing so is misguided or ill-informed.

So what exactly differentiates advertising from other marketing activity? To put it simply, while advertising can be mostly concerned with branding or imaging, other marketing is geared toward directly tapping target clients for the purpose of sales generation. Advertising can be about making a good first impression. Other marketing, on the other hand, is fueled by an organisation’s desire to do business.

 

In these times of economic flux, it is not always easy for organisations, especially smaller ones, to sustain both advertising and other marketing efforts. Marketing often requires major investment, and is apparently counterproductive to cost-reduction initiatives, which most businesses are keen on nowadays. With this said, it is crucial for organisations to prioritise, with objectivity and a sense of practicality. Zeroing in on business development with limited funds call for creativity and persistence—these are competencies essential to marketing. Arguably, marketing should be favoured as opposed to just advertising, at least during times when both cannot be sustained financially.

Here are ways to strengthen marketing efforts:

  • Get to know your market:

Sales simply mean having people to pay willingly for whatever you are offering. For these potential customers to even entertain shelling out their hard earned money in exchange for your product or service, they must, first and foremost find your offer/s personally relevant. Producing market-specific or market-relevant products or services is the first step to business development. This can be done by accomplishing thorough market research that will not only create an exhaustive profile of your target market, but also, reveal their specific wants and needs.

  • Employ multi-media marketing:

Customers access information from all types of media; from television to laptops to mobile devices. The options run the gamut. For your business development efforts to be noticed by prospective customers, it is best that you keep up with their communication proclivities. It is not enough to sustain marketing efforts via email marketing when employment of social networks can be just as competitive and results-driven.

  • Referral:

Although this can be considered as a traditional marketing approach, it is never obsolete. Referral marketing is a reliable means for a business development driven organisation to actually reach its target customers. There are many strategies inherent to this approach, including Pay for Performance, Incentive-Centred Referrals, and the likes. Moreover, make sure to reward, or at least show some appreciation toward failed referrals. A simple thank you email or note will do and this does not require monetary investment.

  • Networking:

One way to ensure that business development is on full-throttle is to engage every team member in the initiative. This means that everyone should be in-the-know with regards to current marketing efforts, and are equipped with at least the basic sales competencies, so as when they are out doing business or personal functions, they can efficiently take on even unexpected sales opportunities.

 

Text by Nicholas Hill, a modern thought leader and international Trainer of strategic leadership skills and management training.

Managing Director & Principal Trainer for The Hill Consultancy Ltd.

@nicholashill