Does this sound familiar? You’ve been told that in order to achieve better negotiation outcomes, all you need to do is focus on your sales pitch and product features. But let’s be honest, how many times have you felt the pain of losing a deal even after delivering a flawless presentation?
It’s time to break free from that ineffective action and understand the procurement process. By gaining a deep understanding of how your buyers make purchasing decisions, you’ll finally be able to unlock the secrets to winning and achieving the results you desire.
Mark Raffan, CEO of Negotiations Ninja, brings a unique perspective to the world of negotiations. With a background in procurement, he has seen firsthand the inner workings of the “devil’s lair” and understands the challenges salespeople face when dealing with procurement teams. Mark’s mission is to transform unsuccessful negotiators into successful ones by providing training and coaching. He believes that the key to negotiation success lies in thorough preparation. Unlike the flashy portrayals we often see in movies, Mark emphasizes that most negotiations are strategic and require a well-thought-out plan. The biggest mistake people make is going into negotiations without a clear objective or strategy. Mark teaches salespeople how to define their goals and break them down into concrete, achievable outcomes. By understanding both their own needs and the broader objectives of their business, salespeople can negotiate effectively and drive value throughout the negotiation process. Mark’s approach challenges the traditional view of negotiations and empowers sales professionals to take control and achieve better outcomes.
Don’t sacrifice your own needs in favor of the customer. Be selfish and think about what you want to achieve in the negotiation, while still delivering value to the customer. – Mark Raffan
Master Negotiation Strategies
Mark Raffan highlights the importance of mastering negotiation strategies for sales professionals. He equates negotiation to a constantly evolving practice, not a one-time event, thus, emphasizing the need for ongoing learning and refinement. Developing and honing these negotiation skills can greatly improve a sales professional’s ability to secure favorable deals and drive value for their organization.
This Week’s Expert Guest:
Mark Raffan is the head of training at Negotiations Ninja, a prominent negotiation training and coaching business. With a background in procurement spanning over 15 years, Mark brings a wealth of experience and expertise to the table. Over the course of his career, he has helped numerous salespeople and procurement professionals improve their negotiation skills and achieve successful outcomes. With six years of running Negotiations Ninja, Mark has established the company as one of the leading negotiation training providers globally. Through their training programs, they have delivered valuable insights and strategies to companies across different continents. Mark’s approach emphasizes strategic planning and value creation throughout the negotiation process. His extensive knowledge and practical guidance make him a trusted resource for individuals and businesses looking to enhance their negotiation capabilities.
In this Episode, You Will Learn to:
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Master negotiation strategies to achieve success in any business deal.
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Achieve a balance between your personal and business needs during negotiations for optimal results.
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Understand the procurement process to gain a competitive edge and improve your negotiation outcomes.
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Unlock the power of goal-based negotiation to create maximum value for both parties involved.
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Hone your negotiation skills through practice and become a more effective sales professional.
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The key moments in this episode are:
00:00:08 – Introduction
00:01:48 – Background and Inspiration
00:05:24 – Juicy Fact
00:07:26 – Biggest Mistakes in Negotiations
00:10:36 – The First Step in Preparation
00:15:12 – Prioritizing Your Needs
00:17:07 – Aligning Sales and Business Objectives
00:18:51 – Lack of Clear Direction in Sales Leadership
00:22:38 – Importance of Financial Metrics in Sales
00:25:51 – Equipping Sales Teams for Success
00:29:11 – Selling with Belief in Value
00:30:48 – Dealing with Challenges and Fluctuations
00:32:05 – Negotiation as a Practice
00:34:16 – Continuous Learning in Negotiation
00:35:15 – Accessing Information about the Counterparty
00:42:43 – Understanding the Hot Buttons in Negotiation
00:43:48 – Born Negotiators vs Skill Development
00:46:15 – Individual Negotiation Training
00:47:48 – The Myth of Win-Win
00:51:35 – Favorite Movie and Closing
Timestamped summary of this episode:
00:00:08 – Introduction
Mario Martinez Jr. introduces the podcast and the topic of negotiations. He welcomes Mark Raffin, the head of training at Negotiations Ninja, and mentions Mark’s bestselling book, Nine Secrets to Win Deals and Influence Stakeholders.
00:01:48 – Background and Inspiration
Mark Raffin shares his background in procurement and how he transitioned to training salespeople in negotiations. He discusses his motivation for starting Negotiations Ninja, which was to create more engaging and effective corporate training.
00:05:24 – Juicy Fact
Mark reveals that he has made several salespeople cry during negotiations, which he considers both shameful and a badge of honor. He assures listeners that it’s okay to feel frustrated or emotional during negotiations.
00:07:26 – Biggest Mistakes in Negotiations
The biggest mistake in negotiations is lack of preparation. Mark emphasizes the importance of strategic planning and having a clear goal in mind. He highlights the need to understand the buyer’s perspective and hot buttons.
00:10:36 – The First Step in Preparation
The first step in preparation is clearly defining what you want to achieve from the negotiation. Mark points out that simply wanting a good deal isn’t specific enough and encourages sellers to think about their desired outcomes in terms of value and profitability.
00:15:12 – Prioritizing Your Needs
The importance of considering your own needs before the customer’s needs is highlighted. While the customer’s needs are important, sacrificing your own needs can be detrimental. It is essential to identify and fulfill the needs of the business while also considering personal objectives.
00:17:07 – Aligning Sales and Business Objectives
The importance of aligning individual goals with the needs of the business is emphasized. By negotiating contracts that benefit both parties and contribute to the company’s growth, salespeople can play a significant role in achieving corporate objectives.
00:18:51 – Lack of Clear Direction in Sales Leadership
The lack of clear communication and direction from sales leadership is discussed. Many salespeople are unaware of the specific goals and objectives of the business, resulting in missed opportunities. Sales leaders should provide their teams with clear objectives to guide their negotiations and decision-making.
00:22:38 – Importance of Financial Metrics in Sales
The separation between the sales team and the finance team is highlighted as a challenge. Salespeople often lack knowledge about the financial metrics and targets necessary to make informed decisions during negotiations. Sales leaders should demand transparency and provide their teams with the necessary financial information to negotiate effectively.
00:25:51 – Equipping Sales Teams for Success
The importance of arming sales teams with the necessary information and tools to negotiate effectively is emphasized. Providing a range of acceptable outcomes for various success drivers, such as price, IP risk, and brand risk, enables salespeople to be better at negotiating.
00:29:11 – Selling with Belief in Value
It is crucial for salespeople to believe in the value their product or service brings to the organization and the client. If they don’t believe in it, they should find something else to do. Belief in the mission, values, organization, and products is essential for success.
00:30:48 – Dealing with Challenges and Fluctuations
Sales professionals often face challenges and fluctuations in their products or organizations. It can be disheartening when things don’t go smoothly, but maintaining belief in the mission and staying consistent in their efforts are key to success.
00:32:05 – Negotiation as a Practice
Negotiation should be viewed as a practice, similar to religious experiences or mindfulness practices. There is no end state of perfection, but by consistently applying negotiation techniques and continually improving, salespeople can achieve success.
00:34:16 – Continuous Learning in Negotiation
Negotiation is not a one-time skill, but a practice that should be continually developed. The more salespeople read and learn about negotiation, the more they realize there is always more to know. Consistently improving and being disciplined are key to success.
00:35:15 – Accessing Information about the Counterparty
To access information about the counterparty, salespeople should focus on four question sets: asking about success drivers, finding out what the counterparty wants, anticipating the questions the counterparty will ask, and reflecting on the perceptions of both parties.
00:42:43 – Understanding the Hot Buttons in Negotiation
Salespeople often miss understanding the hot buttons for individuals in the negotiation process. It is important to understand the structure and priorities of the procurement team and ask discovery questions to involve them earlier in the conversation.
00:43:48 – Born Negotiators vs Skill Development
There is no such thing as a born negotiator. While some people may have natural communication skills, negotiation is a skill that needs to be practiced and developed. Dedication, focus, and practice are key to becoming a successful negotiator.
00:46:15 – Individual Negotiation Training
Negotiation Ninja offers live training courses for individuals. While they don’t offer on-demand training, the courses provide opportunities for practice and learning from procurement professionals and other salespeople.
00:47:48 – The Myth of Win-Win
The concept of win-win in negotiation is misleading. It assumes that both parties can truly win and agree on what is fair. Instead, focus on goal-based negotiation, setting aspirational goals and working towards achieving them to drive value for both parties.
00:51:35 – Favorite Movie and Closing
Mark’s favorite movie is Casablanca. To connect with Mark, reach out to him on LinkedIn and check out his book “Nine Secrets to Win Deals and Influence Stakeholders.” The episode closes with a reminder to download FlyMSG.io for increased productivity.
Watch the video version of this interview, directly below:
Understand the Procurement Process
Raffan underlines that understanding the procurement process is an essential factor in negotiation outcomes. This understanding equips sales professionals with insights into the buyers’ hot button issues and allows them to anticipate possible challenges. By involving the procurement team early in the conversations, salespeople can facilitate a more streamlined negotiation process, ultimately accelerating their organization’s growth.
Achieve Balance in Negotiations
Achieving a balance between personal objectives and the overall needs of the business is fundamental in negotiations, according to both Raffan and Mario. This requires maintaining open communication lines with various teams, comprehending the organization’s holistic needs and objectives, and effectively translating corporate strategies to the sales team. It’s about finding the sweet spot where personal and business needs align, leading to efficient and successful negotiations.
The Resources Mentioned in this Episode are:
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Check out FlyMSG: the free personal writing assistant and text expander application created by Vengreso. Use this tool to improve your writing and productivity.
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Get the book Nine Secrets to Win Deals and Influence Stakeholders: Purchase Mark Raffan’s bestselling book, Nine Secrets to Win Deals and Influence Stakeholders. This book provides valuable insights and strategies for successful negotiations.
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Listen to the Modern Selling podcast: Tune in to the Modern Selling podcast hosted by Mario Martinez Jr. In this episode, Mario and Mark discuss negotiations and provide valuable tips for winning over buyers. Take notes and apply these strategies to your own sales efforts.
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Explore Negotiations Ninja training and coaching: Visit the Negotiations Ninja website to learn more about their negotiation training and coaching services. Whether you’re a salesperson or a procurement professional, their programs can help you become more successful in negotiations.
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Follow Mark Raffan on social media: Connect with Mark Raffan on social media platforms such as LinkedIn and Twitter. Stay updated on his insights and expertise in negotiations.
