When is it appropriate to 'haggle'?

[AppleJack]

I'm looking to get an e-commerce website for a small business venture. It's nothing too flash, I just want to be able to use a couple of payment processors, list no more than 150 or so products and be easy for me to manage behind the scenes. I've found one web company and I really like their style and although I can't say their price isn't reasonable, my financial state right now (I'm a stay at home mum) means that don't have that kind of money.

When is it appropriate to not so much haggle I suppose but ask for it cheaper? I know you don't ask you don't get but I just feel down right cheeky :redface: What would you say if it were your company and I asked you for example? Yes? No? Other?

 

[DesignerNick]

As a Web Designer I would try to find ways to keep costs down for you in the first place.

If their price is reasonable and their work is quite good then stick with them and just ask.

There is no harm in asking them, all they can say is no

 

I'm looking to get an e-commerce website for a small business venture. It's nothing too flash, I just want to be able to use a couple of payment processors, list no more than 150 or so products and be easy for me to manage behind the scenes. I've found one web company and I really like their style and although I can't say their price isn't reasonable, my financial state right now (I'm a stay at home mum) means that don't have that kind of money.

When is it appropriate to not so much haggle I suppose but ask for it cheaper? I know you don't ask you don't get but I just feel down right cheeky :redface: What would you say if it were your company and I asked you for example? Yes? No? Other?

Some of the wealthiest people in the UK are ardent hagglers like the DD bozo's.

In general I will always chip someone if I think there price is unfair.

On the other hand I will always pay someone more if I think there price is to cheap.

Hope that answers your question.

Earl

 

[akirk]

There is no harm in asking - good luck

but why would a commercial company wish to reduce their profits solely so that you can increase yours?

That isn't really how business works... You have to give them a reason to accept - that could just be your business, but that only works for companies with no work - they may not be your desired supplier then... maybe you could offer them something else as well?

if their price is reasonable for the work - then you need to decide if you can afford it - if you can't - should you be in business? lots of businesses fail in startup because they are under-capitalised - this rings alarm bells already - how are you going to manage your cash flow with little liquidity?

if you have no capital / low capital then you need to take an approach you can afford - maybe start on ebay? Build up your capital and then move to your own.

If you are starting a business you are not a stay at home mum - you are a business woman, and your relationships with other businesses need to be on that basis.

there seems to be a culture of looking to start businesses with no money - it is not usually a good approach!

Alasdair

 

[oliverbanks]

Haggle with everything!

Funny topic though - when importing from China I always haggle, but when buying stock from UK suppliers I barely ever haggle

Should try and get a consistent approach really!

 

[Alex C.]

I see nothing wrong in saying - we'll commit to purchasing if you can reduce the price by £100 or something similar.

No different to buying a car really, if it's profitable and worthwhile for the other company, they'll take it - otherwise they won't, and that's a risk you have to take.

 

[Rainbow Chasers']

Golden words...' If it was x price, I would buy it today' - then shut up!

Us brits have a think about haggling, we feel uncomfortable with it. I had a friend once who was a french arab, and he used to haggle for everything - it was natural to him!

Cafes would discount cups of tea, parts suppliers would discount parts - it was amazing what he got away with....just by asking! I think some people discounted out of shock - just ask, you never know!

I had 7k knocked off the last motorhome I bought, purely by haggling - made him call his boss at home and everything. I was buying one today, all he had to do was knock it down to my price to sell it. No-one wants to turn sales away.

 

[AppleJack]

Thanks guys for your comments. I know what you mean about the car thing, I would never pay on screen price for a vehicle but other things it just doesn't seem to be the done thing to ask for discount.

Thanks for your thoughts Alasdair, I knew I'd be asking for a lecture about starting up with no capital questioning if I should be doing it in the first place . It isn't a new business, it's an exisiting one where the small profits it has made have been put back in and it's taken back seat on the whole whilst I have a baby. I know the stay at home mum thing isn't relevant in terms of business, I mearly mentioned to contextulise why finances are so tight.

The other company may not want to reduce their profits I can appreciate that which is why I'd feel cheeky asking but it would be the difference in them getting my money or not. It would be lovely to have buckets of cash to throw at it but I have to work with what I've got.

 

[Matt1959]

the question is about haggling about something more of a service whereas answers given relate to products. No probs haggling over products, services are completely different IMO. as I think theres a huge danger in getting off on the wrong foot with the provider ie they want the work, they resent being knocked down, how are they going to treat your project???

 

[arcon5]

Haggle always - and don't feel bad for it!

Even if their rates are already reasonable and the quality of workmanship is above standard then you should still try.

Like others have said though, offer something in return "will you offer me it at this price and I will commit to a 12 month agreement", "if you offer me X% off the price I will commit to purchase no less than £Y over the next Q weeks - if I don't, then only offer a discount of (X-P)% on future order.
The latter for regular suppliers inparticular.

If they take paypal or trade on ebay then offer then work out their ebay fees and paypal fees then offer to pay by bank transfer privately @ 10% off if you make payment today.

but why would a commercial company wish to reduce their profits solely so that you can increase yours?

because surely a lower profit margin is better than loosing the sale


Or if they can't offer lower price - try negotiate more features. An extra 1GB of diskspace with a webhost for example.

as I think theres a huge danger in getting off on the wrong foot with the provider ie they want the work, they resent being knocked down, how are they going to treat your project???

Very true. Maybe rather than going saying "i'm only willing to pay this much, take it or leave it" say "I only have £X to spend - if you can assist that would be great"

 

[Darren_B]

I have found this very true in the last 5 years of business. Never push the price of someones services down to a point you wont get 100% commitment from them.

 

the question is about haggling about something more of a service whereas answers given relate to products. No probs haggling over products, services are completely different IMO. as I think theres a huge danger in getting off on the wrong foot with the provider ie they want the work, they resent being knocked down, how are they going to treat your project???

Not true the hagglee can always say no to the Haggler.

And if they don't do what they are contracted to do.

They don't get paid.

To the OP make sure you get a written contract as there are a lot of bully boy web designers who are ametuer's in the world of business ,judging by a lot of posts on the forum.

Earl

 

[Indivijewelistic]

I was in a hospital the other day and they passed me their terms and conditions. I read through them and crossed out the ones I didn't like and handed it back, the lady behind the desk was a bit cross, but the consultant was fine with it. At the end of the day this document was the completely onsided and needed tweaking. The consultant understood that and agreed with it. At the end of the day he want my money and as long as we can come to a complete understanding he is happy and so am I, haggling is negotiation is all.

Haggle.

 

[pauldla]

First thing that went through my mind when I saw the title of the thread was Eric Idle saying "This bloke won't haggle..!"

Lots of good advice on this thread, as usual seek all the advice you can and then ignore two thirds of it. Like yourself, I was once very reticent about haggling, but that was before I moved to China. I'm still not great at it, but getting better. There is no harm in asking for a discount, but ask like you're expecting to get it, and that the asking is a mere formality.

 

[Dawg]

I think the downsides of haggling for a professional service, (and lets make the assumption that this is what we are talking about here), are that:

• As a customer you may think they are desperate for work and so not really that good at what they do, and so (unconsciously) accept second best solutions, and:
• As a provider you may be tempted to put the hagglers work to the back of the queue if events demand a choice between clients.

The relationship may start tainted, with the results acceptable but not as good as they could have been.

 

[Matt1959]

Not true the hagglee can always say no to the Haggler.

And if they don't do what they are contracted to do.

They don't get paid.

To the OP make sure you get a written contract as there are a lot of bully boy web designers who are ametuer's in the world of business ,judging by a lot of posts on the forum.

Earl

yes but many dont say no and do the work anyway. Building a website can be subjective its not like painting a wall with a colour off a colour card and it deosnt match, the guy doesnt get paid.

 

[AmandeepS]

I agree with many of the comments above! You have haggle on everything, I have friends that won't but for me its like a challenge, I enjoy getting a bargain! I used to be scared to do it but then it becomes quite natural. A guy I know recently haggled 20% off a Rolex on Oxford ST. Even if you don't haggle on this web design project do it for the next thing you buy. Somebody once told me "if your offer doesn't make you cringe, then its not low enough", apply this to houses, cars and everything else - the seller needs you more than you need their goods.

 

[Nigel@Phoenix]

Of Course it is IMO

I always haggle when the right situation arises...but I never used to. I remember going to Turkey on holiday some years back and was buying the holiday souvenirs to take back home and was about to pay for my purchases when the guy asked "are you not going to haggle the price with me?" So I did and saved myself about a tenner...I know not a huge amount but from that realised not to take everything at face value.

Its true.... us brits seem a wee bit shy negotiating a price tag but the more you do it the more experienced and comfortable you become and you learn to have an eye for whats 'Haggable'
Going to your local chippy on a Friday evening wouldn't be. However an electrical outlet would be...I once got 10% off my bill when I brought a new tv and surround system (£110 stayed in my pocket)

So my advice would be definately Haggle!!!!, there are different scripts/techniques per organisation, business etc.....the more you haggle the more you will be good at it

In your situation it would be something like..."I have been looking for a suitable web company and you are exactly what I'm looking for, However, my budget won't stretch that far at this present time, would you be able to accept *price* "

Setting a price is important in your situation because your not haggling for the fun of it or to get something a bit cheaper. You are asking for *price* because thats what you can afford. Waste of time asking for a reduction and they say yes....but you still can't afford it!!

REMEMBER THIS!!!! If you couldn't afford it in the first place....you wouldn't have it. So if they say no...what have you lost!

Have fun and let me know how you get on

 

[akirk]

Agree - no harm in trying, but there can be a lot of difference in the way people do this - some will work and others won't...

there is also a difference in the companies you deal with - if they are overpriced and therefore haggling makes sense ask why they are over priced in the first place - that in my mind is dishonest business...

the reality about our culture and others is that the haggling culture comes from an approach of over-pricing knowing that you will discount (back to normal) and when you don't have someone haggle you win... the UK culture comes from setting a fair price from the beginning and not moving... - personally I see that as a more honest position by the business...

if you want to come and haggle with me - do, once I start bargaining the price might also go up as well as down

we set out our prices based on fair prices for the business we do, then we discount for small business (pay their vat initially) and discount for those who pay us fast - i.e. we make it as easy and cheap for our clients as possible - we have already done the haggling and knocked it down - there is no space then for further reductions - and we are busy enough not to be desparate for work - so for us haggling won't work...

but do try it - just don't make it the only reason for purchasing - there may be better reasons outside price for choosing a company.

Alasdair

 

[yooneeq]

You could be honest with them and explain your situation.
From a Web Design point of view, we would ask for a fair amount - some where in the region of 50% and then look to do a monthly payment plan to break down the remaining payments over 6 months or a year. This way if your site is bringing in an income it makes it easier for your cash flow.... OR you could offer them a %age of sales from the site they create as well as a fair amount of the costs?

 

[I Love Spreadsheets]

Tesco's once issued a leaflet/guide on how to get the most out of your money and one of its tips was to haggle over everything.

They pulled the guide when the Watchdog program sent a reporter in to buy some groceries and to haggle over the final amount. Tesco's seemed to think at the time it was ok for us to haggle with everyone but them. Strange when most UK farmers will tell you that people like Tesco have haggled their prices so low it is hard to make a living as a farmer

 

I think the downsides of haggling for a professional service, (and lets make the assumption that this is what we are talking about here), are that:

• As a customer you may think they are desperate for work and so not really that good at what they do, and so (unconsciously) accept second best solutions, and:
• As a provider you may be tempted to put the hagglers work to the back of the queue if events demand a choice between clients.

The relationship may start tainted, with the results acceptable but not as good as they could have been.

Hence why one has a contract that says you do x amount of work in y amount of time or you pay me 500 million as a l
penalty.

Just like normal business.

Earl

 

[Naughty Vend]

If you can demonstrate that another is able to provide a service / product which is comparable within reason, then you should always haggle in a polite manner and state your case... To accept inferior materials for a lesser price isn't a good bargain.

 

[Vito Sullivan]

Yes, sometimes the seller is just testing you and smart seller usually includes the share that he expects will drop down when you start to haggle. So haggling in a polite way is a normal market thing.