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Created on: October 03, 2009 Last Updated: October 06, 2009
Many people think the smooth talker and fearless negotiator when the word 'haggling' is used. And then they think they can't do it! From buying a house to looking at garage sale items, everything is up for negotiation. And the key is doing your homework before one word is ever said between you and the seller.
Determine what your best negotiating style is. Do you think on your feet well? Use that to your advantage. If you don't think well on your feet, don't despair. If you're more the analytical, cautious type, you will have a lot of data about what you are buying before you negotiate.
When I mentioned that everything is negotiable, it's true...but, often the choice is take it or leave it. If you leave it, then you'll have to find the same item somewhere else, find a close substitute, or do without. You don't think that you're negotiating with Walmart, but in a way you are. You buy at the posted price, or not. It becomes more of being an expert shopper or consumer than negotiator in that case. You will run across sellers who have a take it or leave it attitude, and as the buyer you should realize that you are most often in the superior position. Make a final offer that is the price you want to pay for the item, and if the seller refuses, leave.
Haggling takes a bit of practice and courage. We live in an age of information, so an approximate price on just about anything should be relatively easy to obtain. Sift through prices on eBay, google, or other websites that provide free information about the pricing on goods and services. Contact the seller via email, telephone, or in person. Inspect the item if appropriate. Don't insult the seller, but do point out if the item has any flaws that might reduce its value. The value of something quickly drops when you walk out of the store with it (or drive it off the lot, or whatever).
Sometimes simply asking for a discount or lower price is helpful. Don't be in a hurry. An item would really have to be in demand for sellers to be lined up to buy it. A used item - despite its condition - can be worth half or a third of its retail cost. Even collectibles may be bought for a song if the market is soft. The best deal might be free. I simply waited until a couch selling for $10 was out by the dumpster before I took it and used it for seven years. But be sure to jump on a bargain if you need it and the price is right. Sellers might become impatient or frustrated and sell you a collection or set of something for a flat amount.
A good strategy for a buyer would be: do thorough research; search for sellers; have a firm price in mind, with a bias towards obtaining something for a very reduced amount; and be willing to be assertive with the seller. Flashing cash, bringing a supportive friend, and having fun with the process may also be helpful.
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