Negotiating with Auto Dealers
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Transcript of Negotiating with Auto Dealers
RAB Radio Training AcademyRAB Radio Training Academy
Negotiating with Auto Dealers
Ploys, Dirty Tricks, And Sneaky Stuff Auto Dealers Do To Media Reps
John PotterVP/Director RAB Radio Training Academy
Negotiation
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• Dealers are well practiced at negotiating
• They have developed techniques with customers
• They use these techniques when making purchases of advertising
Negotiation: A Way of Life
Negotiation
Ploys, Dirty Tricks, And Sneaky Stuff Auto Dealers Do To Media Reps
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To come to agreement…
Definition: Negotiation
Negotiation
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Determine the situation– Selling
“The seller wants to sell more than the buyer wants to buy”
– Negotiating“The buyer wants to buy as
much as the seller wants to sell”
First Step
Negotiation
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Determine optionsExercise: Your rate for mornings is $100. The client wants to pay $70. What do you say?
– Give and Take– Quid Pro Quo– Trade! Never give a
concession without getting something in return.
– Get everything on the table before any concessions
– Lock-downNegotiation
Second Step
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• Time is power– Creates stress– Causes mistakes in
judgment– Slow down
• Ask questions• Take a break
• Information is power– Dealers share little
information (true information)
– Gather information in advance Negotiation
Principles: Time and Information
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• Maintain the appearance of neutrality
• Both parties must feel satisfied
• Calm, friendly, and smile• Win-win
Negotiation
Principle: Neutrality
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• Always best to deal with the decision maker
• More important than ever in negotiation
• Hidden decision-makers start at your already low negotiated deal
Negotiation
Principle: Decision Maker ONLY
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Herb Cohen: – “Care”– “But not that much.”
• Shows we are at the bottom
Negotiation
Principle: Be Prepared To Walk
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• Once our goal is accomplished, leave
• Always let them feel they won
Negotiation
Principle: Let Them Win
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Principle: Be Prepared
Negotiation
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• Big bait• Escalation• Crunch (time crunch)• Cherry pick• Deliver garbage• Change the pace• Nibble• Flinch• Good guy/bad guy
Negotiation
Dealer Negotiating Tactics
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Exercise: Case Study
Trader Bud’s
Negotiation
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Exercise: Case Study
Dealin’ Dave
Negotiation