Negotiation Skills for Anyone

By Joe Van Allen

The first time I ever went into a car dealership, I remember being terrified.

It was soon after I graduated college, I wasn't making a lot of money, and the reputation of car salespeople was intimidating to say the least. A friend of mine and I had stopped by one dealership that was a little outside of my price range, so I visited another dealership. After a brief test drive, the salesperson (we'll call them "Tim") brought me into the showroom, pulled out paperwork to start the process, and told me the sticker price of the car as what he was offering. The price was so much higher than the previous dealership that I could not help but laugh out loud:

Tim: What's so funny?

Joe: Oh, that's just an absurd price for a car and you didn't even try negotiating. I'll get going.

Tim: Wait, they probably offered you a recent college graduate discount, we can do that too! We also have a special on financing.

Joe: Actually they didn't offer me either of those deals. But they did offer me a holiday discount going on this month and an upgrade. It's good to know there are even more specials going on than I thought!

At the end of the day, I ended up getting twice as many discounts on the car as I expected, and they cut me a deal on the financing. The friend I went with was chuckling as we left that dealership.

"I've never seen someone negotiate like that."

"Like what?" I replied. 

"It's like all of his tricks didn't work on you," she said.

None of this happened because I had an innate gift for negotiating. I was in a situation where the practical skills of negotiating were readily available to me. This became clear to me a few years later when I was a recruiter and saw how people handled receiving job offers.

There were those who negotiated well, those who negotiated terribly, and those who didn't negotiate at all. As a recruiter, it was the first group I enjoyed working with the most - a strong negotiator often helped me do my job. I'd like to share with you the strategies they used on purpose, and that I used accidentally during my car buying experience.

Good negotiators do their research.

Before you start negotiating, you should give yourself whatever tools you can to be best equipped for establishing yourself as a competent negotiator. 

• Look up salaries for similar positions online but looking at Salary Research pages.
• See if employees of the company have posted their salaries on websites like GlassDoor. Many public sector companies and most government institutions must post salaries of current employees.
• Don't be afraid to ask for more information! Recruiters and hiring managers often have limitations on what they can ask you as a candidate. For example, in the state of Massachusetts, the Massachusetts Equal Pay Act states: "Employers may not seek the salary or wage history of any prospective employee before making an offer that includes compensation, and may not require that a prospective employee’s wage or salary history meet certain criteria." However, a candidate could ask an employer for a salary range. 

Good negotiators know when to walk away.

This one sounds more harsh than it is. What it really means is you must determine both what you would want as compensation, as well as what you need for compensation. You can determine what you want by doing external research like we've discussed above. But even your dream job will be out of reach if they cannot provide you with the compensation you need to pay your rent, make your student loan payments, or commute to work. Identify what your budgetary needs are in order to survive. If a job cannot offer you compensation in that range, it might be time to step away.

Good negotiators can assess their own "work" value objectively. 

The most common issue with naive negotiators, especially ones early on their careers, is improperly assessing their "work" value prior to entering a negotiation. Either overvaluing or undervaluing your contributions can lead to conflicts in the negotiation process.

When you undervalue yourself, an employer may offer you a lower salary, which will make it more challenging for you to stay in a position and may lead to resentment. An employer may even think less of your candidacy because you were underselling yourself, and it may risk your ability to land a position. Conversely, when you overvalue yourself, an employer may not be willing to negotiate with you as they feel that there is a misunderstanding of how your skills and experience would match those required for the position.

Take the time to review your qualifications and the job description. If you meet and/or exceed every qualification, provide evidence when discussing salary. For example, if a position says they prefer someone who can speak a second language, you may explain that you not only speak Spanish, but you also know that is the most commonly requested second language for this organization. When negotiating, it should not be an emotional conversation - rather, view the process as helping an employer align their compensation expectations with the value you would bring to the work.

It is important to note that we are discussing "work" value, which is the perceived value an employer has for your knowledge, skills, abilities, and other work traits. Your value as a human being far exceeds your work value, and it is important to distance how you value yourself versus how your "work" value is being appraised. When negotiating, it is important for you to separate your personal value from your work value - it will help you be a more effective negotiator in the long run, and make the process less challenging.

Finally, good negotiators know that it's okay to negotiate.

In case you didn't know:

• Most employers expect candidates to negotiate, and will not be punitive so long as you are respectful and informed during the process.
• Most jobs posted already have a salary range in mind, even if it isn't advertised in the job description.
• You can negotiate for benefits outside of compensation. You may want to flex your start date, be able to work remotely, or see if there is a sign-on bonus available.
• Employers will typically want an answer from you as soon as possible, but don't be afraid to take time to review an offer. If an employer needs an answer immediately, you should be able to ask for at least 24 hours to review the offer, and several days is often acceptable.

If you are curious how to initiate the negotiation conversation, begin by inquiring if there is any flexibility in the salary. This will signal to the hiring manager or recruiter that you are interested in the position, but may want to negotiate.

Remember, current students have access to career resources on campus. Don't be afraid to discuss job offers or negotiation strategies with your career center advisors.