strategy Mock Negotiation - Let's negotiate here week #1

[abstractdomainer]

Hi All,

We know how tricky negotiations can be. It is a part and parcel of the domain name business. Even if we get the price for the domain name, that we were expecting, we feel like we left money on the table. And it happens time and again. So why not practise negotiation here:

Step 1: Members share the name which they would be willing to offer for sale
Step 2: I will be the buyer, the member whose domain is chosen becomes the seller
Step 3: We appoint 1 member who doesn't belong to either party. Let's call him referee
Step 4: Both buyer and seller share their minimum and maximum prices which they are willing to accept/offer respectively for the domain name
Step 5: We negotiate here on the thread with proper emails/texts. Everyone can view how you and I respond.
Step 6: Buyer and seller can re-adjust their offer - buyer can increase the maximum that they are willing to offer, and seller can decrease the minimum that they are willing to take
Step 7: Either a deal is made or not
Step 8: The appointed representive (referee) will share the buyer and seller minimum maximum
Step 9: We draw conclusions from the negotiation and the learnings

This is going to be extremely amazing and I am super excited.
Please share your names so that we can pick one and start the process. The negotiation should last 1 week or less. Let's do this. The shortlist will be done tomorrow if we have ample entries.

 

[bmugford]

I think it could be an interesting idea. Negotiation in general makes a major difference.

The problem is that it is hard to simulate a real world scenario.

Brad

 

[Joe N]

Yeah, I think the notion of practicing your negotiation techniques is cool. Like Brad says, though, I'm not sure much real experience is gained when nothing real is at stake.

It's like playing poker without putting up any money. Can you learn the mechanics? Sure. Will you become a better player when money is on the line? No... and actually you might be in even bigger trouble when the time comes!

Cool idea, though. I'll be interested to see how it goes.

 

[abstractdomainer]

Thanks all. Fair point @Joe N and @bmugford. I'd still like to run a pilot, so much so that I would appraise 10 domains/generate leads for 2 domain names, for the volunteer whose domain gets selected. I'm not sure if I could offer a very small cash reward of say $5, for someone who invests their time simulating this with me, but I am not sure if this is legal or against the policies. So I would rule this out.

Now, idk how this would turn out to be but could be a learning experience plus the idea sounds bizarre and interesting at the same time. Worst case, it would be a massive failure and it is alright, I believe

 

[Soofi]

I'd still like to run a pilot, so much so that I would appraise 10 domains/generate leads for 2 domain names, for the volunteer whose domain gets selected.

Pilot yet? I'm all in

 

[Jason Baudendistel]

I still think it's worth it. Practice or learning regardless negotiating is a priceless skill.

 

[manraj]

Too time consuming and cumbersome, please listing it on the auction section quickly, It is not by chance that what is reasonable will exist; It exists because it makes sense

 

[abstractdomainer]

Pilot yet? I'm all in

Yes, this is still valid. Please share your domain name which you would want to negotiate over.

 

[Soofi]

Yes, this is still valid. Please share your domain name which you would want to negotiate over.

Would you want me to share it here or pm?

 

[JordanH]

This is honestly a great idea. Regardless if it helps with the real deal, this will allow people to at least learn.

 

[abstractdomainer]

Would you want me to share it here or pm?

Share it here. @JordanH Would you want to be the referee?
After @Soofi shares his name, we will both quote this:

1) Soofi will share the minimum that he is willing to sell at - Should be realistic with proper reason given (via DM to you only)
2) I will share the minimum and maximum that I am willing to pay for the domain name. Again this will be confidential and you would be the only person knowing.

Both of us will negotiate here like it's a real deal. After the negotiation, you share the screenshot of our messages and the community discusses the way the negotiation went.
We will derive a conclusion and learning from this sample negotiation.

 

[lock]

At point of negotiation i already know where i need to be. The idea is not to start negotiating but to keep encouraging offers. If give out a price at high end keep asking for offer closer to asking price. This half price drop your pants in minutes isn't negotiating.

 

[AEProgram]

Four major formats on the reality of domain offers:

Style 1:

Offer arrives for 100 bucks for a name that is without question worth 2k wholesale

You counter with 4000

Buyer vanishes

Style 2:

Offer arrives for 100 bucks for a name that is without question worth 2k wholesale

You counter with 4000

Buyer counters with 110

You counter with 3500

Buyer vanishes

Style 3:

Offer arrives for 100 bucks for a name that is without question worth 2k wholesale

You counter with 4000

Buyer counters with 1500

You counter with 3500

Some more back and forth and you settle for 2700

Buyer pays

Style 4:

Offer arrives from a domain broker for 500 bucks for a name that is without question worth 2k wholesale

You counter with 4000

Sells for 3500
~~~~
The drawn out negotiating stories are usually for domains priced in the mid 5 figure and above. There are exceptions, we know.

I found that being short and direct is the fastest way to close sales. The more you talk and pitch the more likely the buyer goes away. One line replies is best, just like how the seller of TeamWork operated according to the buyers testimony.

 

[lock]

A big tip is find out who buyer is as "John Smith" at hotmail will renge on every deal beating down on price kicking your tires. No name no service. I will know your dogs names before i negotiate.

 

[Soofi]

ViraGroup.com

Share it here. @JordanH Would you want to be the referee?
After @Soofi shares his name, we will both quote this:

1) Soofi will share the minimum that he is willing to sell at - Should be realistic with proper reason given (via DM to you only)
2) I will share the minimum and maximum that I am willing to pay for the domain name. Again this will be confidential and you would be the only person knowing.

Both of us will negotiate here like it's a real deal. After the negotiation, you share the screenshot of our messages and the community discusses the way the negotiation went.
We will derive a conclusion and learning from this sample negotiation.

 

[Soofi]

A big tip is find out who buyer is as "John Smith" at hotmail will renge on every deal beating down on price kicking your tires. No name no service. I will know your dogs names before i negotiate.

..but that may kill a lot of anonymous deals tbh

 

[lock]

..but that may kill a lot of anonymous deals tbh

If i got a platform to do that for me where they feel committed and are reluctant etc at first that is fine but be surprised how i work it out.

 

[Soofi]

@JordanH are you ready bud?

Share it here. @JordanH Would you want to be the referee?
After @Soofi shares his name, we will both quote this:

1) Soofi will share the minimum that he is willing to sell at - Should be realistic with proper reason given (via DM to you only)
2) I will share the minimum and maximum that I am willing to pay for the domain name. Again this will be confidential and you would be the only person knowing.

Both of us will negotiate here like it's a real deal. After the negotiation, you share the screenshot of our messages and the community discusses the way the negotiation went.
We will derive a conclusion and learning from this sample negotiation.

 

[abstractdomainer]

ViraGroup.com

Thanks, Soofi. This name is finalized - ViraGroup.com.
As soon as Jordan agrees or someone volunteers to be a referee, we each share out minimum and maximum and the rationale behind it, and go from there. Once he/she confirms that they have received out prices and rationale, we begin negotiation here.

 

[Soofi]

Anybody else wants to REFEREE this?

Thanks, Soofi. This name is finalized - ViraGroup.com.
As soon as Jordan agrees or someone volunteers to be a referee, we each share out minimum and maximum and the rationale behind it, and go from there. Once he/she confirms that they have received out prices and rationale, we begin negotiation here.

 

[abstractdomainer]

Is anyone willing to volunteer as a referee? This is going to be super interesting.

 

[AEProgram]

Is anyone willing to volunteer as a referee? This is going to be super interesting.

@RickHarrison please join as a referee

 

[Soofi]

@AbdulBasit.com @kartikahuja @Bob Hawkes @Ankit Singla
@lock

One of you, interested in being referee guys?

 

[kartikahuja]

Thanks for the tag @Soofi Would love to referee it @abstractdomainer

 

[abstractdomainer]

Thanks for the tag @Soofi Would love to referee it @abstractdomainer

Fantastic. @Soofi Ready?

Let's communicate this:

1) Soofi - You communicate the minimum and ideal price you would take for the domain name, and why you value it at such a price - proper rationale as this would be shared.
Send it via DM
2) @abstractdomainer - I will communicate the maximum I will be giving for this domain name and why I value it at such a price. Again via DM.

@kartikahuja As soon as you receive this from both of us, confirm here. I will make the first offer.
Thanks for being such a sport, guys - Soofi and Kartik