By Étienne Garbugli | September 29, 2010 | 0 Comment
Would you expect a car listed at $20,000 to go for $4,000 after negotiation?
Would you expect a $900 TV to go for $25?
Set the price, set the negotiation range. Our brains will always think relative to that reference point. Reasonable people won’t expect a $5,000 discount on a $6,000 purchase.
If your product can be negotiated, predict the range and set your base price accordingly. Salesmen do it to you all the time.
Etienne works at the intersection of Technology, Product Design and Marketing. He’s a two-time Startup Founder, a four-time entrepreneur and a UX research expert. Etienne published Lean B2B: Build Products Businesses Want. The Lean B2B methodology helps entrepreneurs around the world build successful businesses.