7 secrets of successful vendor negotiation

Negotiation skills are fast becoming a CIO imperative. Here’s how to turn a single, initial purchase into a mutually beneficial, long-term vendor partnership.

7 secrets of successful vendor negotiation
Baranq / Shutterstock

Like it or not, vendor negotiation is a skill every CIO must perfect to become a successful business executive. Yet, for many IT leaders, reaching a deal that’s both favorable and mutually equitable can be a tall order.

Fortunately, expert negotiators have developed an array of tactics — many not widely familiar to CIOs — to seal deals on terms that meet both operational and financial goals. Here are seven of these powerful tips.

1. Highlight the long-term potential

When contacting a vendor for the first time, mention how you’re looking for a partner open to establishing a major, prosperous relationship in the years ahead.

“Salespeople’s mouths water at the perception of a huge opportunity that can pay growing commission checks for years,” says Howard Katzenberg, CEO of spend management service provider Glean. “Make it in their interest to provide discounts and other accommodations now to secure their potential upside in the future.”

To continue reading this article register now

Download CIO's Roadmap Report: 5G in the Enterprise