Ever wondered what it might be like being in a meeting with a buyer? How might you handle the negotiations after a successful presentation of your products?
Here are 8 top tips on negotiating with a retail buyer.
Be prepared – Ensure you have price sheets which reflect every scenario and production breakpoint so that you can have meaningful discussions. Preparation gives you options and you never walk into negotiations without options.
Establish rapport quickly – Buyers are humans too, so don’t treat this like an episode of Dragons Den! Be sincere, friendly and be yourself. Great relationships are the foundation upon which constructive negotiations are built on when it comes down to it. At the same time, respect boundaries and the rhythm of the relationship.
Ask for their T’s & C’s and delivery procedures – you want to know that you are completely covering yourself in your cost price before you start negotiating, If you need time to absorb these – then simply say so.
Lead the negotiation – If you don’t then the buyer will and they’ll leave you playing catch up!
Ask the right questions to understand what they need, where they see your product and what plans they might be thinking so that you can work with them to achieve their goals.
Listen carefully, really lean into what they are saying and learn from them. Remember what I said in last week’s email – Knowledge is Power – and this is the best place to gain some of that knowledge.
Hold your nerve Don’t cave. Retail buyers have a lot of pressure to meet margin targets and sometimes they’ll use ALL the pressure tactics!
Build value and meet objections with problem-solving techniques. Creativity is essential when it comes to win-win negotiations!
Plan to WIN! The number one reason that products don’t get into retailers is simply because of lack of research by the supplier. Walking into a meeting with just a great product won’t always win on it’s own.
Finally – know your cut off point and always be willing to walk away if the deal is not right for you.
Preparation is key to negotiation success. A buyer will always walk into a negotiation knowing exactly where they need to be and so you should be prepared to pre-empt everything that they might ask for. Preparing your pitch and answers to objections will place you in a better position to lead the meeting and give you the confidence to walk out of the meeting with a deal on the table.
Most brand founders dream of seeing their products stocked in retailers. Whether it be multichain, department stores or independent retailers, the key principles to getting your products stocked is the same.
Through this FREE MASTERCLASS you will learn the three most common challenges brand founders face when pitching to retail buyers.
