Negotiate the Big Ask: - Pauriccarroll/Linear-Algebra-Refresher-Udacity GitHub Wiki

Overview questions:

What are the key business objectives that you have coming in?
What items can I put on the table that will strengthen my relationship with the key stakeholders?
When you prepare for a negotiation, do you focus on closing the deal or telling a compelling story?

Build your knowledge:

Prepare for negotiation.
Put the right items on the table.
Purpose multiple solutions and close.

Practise Your Skills:

Master Everyday Negotiation / Playback a previous negotiation / Apply for an upcoming negotiation / Playback a previous negotiation / Play it forward.
Team Practise. Checklist: Log Your Practise.

Learning Objectives

Understand the seven negotiation strategies.
Generate negotiable items related to each objective for the negotiation.
Analyse the weakness in the customers alternatives to establish ambitious goals.
Deliver the offers to your customer while differentiating Google.

Prepare for negotiation.

Approach you negotiations utilising the three p's; prepare to negotiate the right deal, put the right items on the table and propose multiple proposals and close. The several strategies described in these modules will enable you to make the big ask in your next negotiation. Use the negotiation strategy guide as you complete this course to craft your approach for a successful negotiation.

Set the objectives for the negotiation.
Set an ambitious goal.

The main points that are covered in the worksheet are:

Prepare for negotiation

Negotiation the right deal: Set the objectives of the negotiation and list negotiable items.
Complete the BATNA Analysis Tool: Evaluate the customer's BATNA (Plan B) & establish ambiteous goals.

Put the right items on the table:

Create an item metric: Organise negotiable items.
Craft a clear message: Connect Google's products to client goals.

Propose multiple options and close

Review and Finalise multiple equivalent simultaneous offers: Communicating a compelling message to the customer.
Create a concessions strategY: Anticipate and prepare for concerns and objections.

Before you go into any negotiations, you probably set an agenda and a goal in mind. How often do you set objectives and map them to negotiable items. In this section you will learn about the five key objectives for any negotiation and how having clear objectives can apply to customers, partners or anyone really. The following are the five key objectives :

Address pressing business need.
Build a relationship.
Differentiate Google.
Align with Google's goal in the market place.
Generate revenue for Google.

Negotiable Items: Each of these objectives should map with a negotiable item. A negotiable item is anything that has value and can be discussed and exchanged during a negotiation. Negotiable items can range from volume incentives to insights sessions to price. Let’s start with understanding your partner or customer’s pressing business needs. Knowing their business objectives can help define the negotiable items you put on the table. Think about how Google can help them address those needs. Can you offer insight sessions, updates and briefings, or another Google product or service that might address their needs? For example, if a partner or customer’s business objective is to re-engage lapsed users, Google could offer to track engagement to identify disengaged users, along with quarterly analysis on where users are engaging with the business. The next objective is to build a strong relationship with the customer or partner’s key stakeholders, CEO, or C-suite level stakeholders over a predefined period of time. Ask yourself, “what items can I put on the table that will strengthen my relationship with the key stakeholders?”.

Negotiable items that can help you build strong relationships with key stakeholders can include insight sessions on a topic in the market, briefings on a key issue, or updates on how a particular Google product or service is addressing a pressing business need.

A third objective you should always have is to differentiate Google. Think about this from a “one Google” approach. Negotiable items that help differentiate Google can include analytics, reach, creative consultations, or tracking users:
Your fourth objective should be to put negotiable items on the table that help Google achieve its goals in the marketplace or in the customer’s industry. These items can be case studies, marketing events, or Industry Councils.
Finally, your fifth objective should be to expand Google’s footprint and ultimately improve revenue and growth for Google. Negotiable items that relate to this objective can include growing ad spend, increasing the growth rate of spend, enable extraordinary user experiences, or scale with intense growth.
You can negotiate the deal you envision, but you have to be sure to select the right issues for the negotiation. Set these five key objectives and be certain that for every single objective, you have at least one negotiable issue per objective.

Set an ambitious goal:

How do you usually set goals for your negotiations?: Negotiations expert Dr. Vicki Medvec at the Kellogg School of Management, advises expert negotiators to set ambitious goals for their negotiations by analysing the weakness of the other side’s alternatives. These goals usually relate to growth they want to achieve.
Best Alternative To Negotiated Agreement or BATNA : In this video, you’ll learn how to set ambitious goals by analysing the weaknesses in your customer or partner’s alternatives or their “Plan B”. In this video we’ll often refer to the Plan B as the Best Alternative To Negotiated Agreement or BATNA. This strategy can apply to customers, partners, or really anyone who’s on the other side of a negotiation. Most likely you already know your partner or customer’s BATNA because they’ve told you what they’re likely to do if the deal with Google doesn’t come through. Knowing your partner or customer’s BATNA is the first step. Next, you’ll need to analyze it. Use the standard BATNA Analysis Tool to analyse your partner or customer’s Plan B. This tool might look different for Ads, than it does for Partnerships or Business Development. The tool typically contains 10 or fewer questions that help you analyse the customer’s options, time constraints, risks, and internal or external distractions.

BATNA Analysis Tool:

How much impact has Google had on the customers business?
How many segments of the customers business do Google's services touch?
Does the customer have strong relationship with other companies?
How strong are Google's relationships with customers senior leaders?
What type of exposure will the negotiator or senior leader have if this work is not completed or things fall apart.
How critical is it to the customer to be connected to Google’s leading-edge technology?
How much does the customer rely on Google for consumer insights or creative support?
How much does the customer rely on Google for analytics or decision making support?
How much pressure is the customer under to grow their business? 10.How much time pressure is the customer under to get this project completed?

Key Takeaways:

Know your customers Vest Alternative to Negotiated Agreement: Most likely you already know your partner or customer’s BATNA because they’ve told you what they’re likely to do if the deal with Google doesn’t come through
Why analyse your customers Plan B or BATNA: Helps you understand the customers options, time constraints, risks and internal / external distractions.
Score your BATNA analysis: Score each question on a scale of 1 to 10. Then, add your score and divide by 10, or the total number of questions, to get your average.
Use your BATNA to set an appropriate goal:

Put the Right Items on the Table.

In this section we will cover the following two items:

Create an item matrix.
Craft a clear and compelling message.

Think about an item matrix as having an x-axis and a y-axis.

The x-axis shows what's important to Google and what’s easy for Google to give. The y-axis shows what's important to the partner or customer and what they may find easy to concede to Google.
According to Dr. Medvec, an item matrix ensures that you spend the most time talking about issues that matter to the partner or customer.
Let’s start with the quadrant that's high on both the X and Y axes. We call those the contentious items.
Contentious items are important to both Google and the partner or customer. That's where you’ll find things like terms, price, spend, or growth.
Story telling items:Storytelling items are those that are very important to the partner or customer but easy for Google to offer. Issues that differentiate Google and address the partner or customer’s pressing business needs will always fit in the storytelling quadrant. For example: Consumer insights, briefing or updates, co-hosted events, research, specialist or PM meeting.
Contentious items: Contentious items are important to both Google and the partner or customer. They include things like: Terms, Incentives, Growth, Spend, Revenue Shares.
Trade-off items: Trade-off items are those that are very important to Google but easy for the partner or customer to give. They can include: volume incentive, case study, referrals, broader partnership opportunities and adoption of strategic priority products.

Craft a clear and compelling message:

Tell a compelling story: Many negotiators focus on closing the deal instead of telling a story that will resonate after the meeting is over. Dr. Medvec, a top negotiations expert, explains that communicating Google’s differentiators through a compelling story is an expert move.

Identify which Google differentiators: address the partner or customer’s pressing business objectives. In this example, one pressing business objective was to 're-engage lapsed users’, and a Google differentiator that helps them achieve this goal is to offer updates on user analytics and site or platform behavior.

When you’ve completed this mapping, weave them all together to craft a clear, compelling message that the customer will remember. In this example, the negotiator crafted a message to show how Google products can help track users, how Google can be a valuable creative partner as well as how Google products can help the business re-engage lapsed users. You can review this message in detail below this video at your own time.

Key takeaways:

Map objectives to Google differentiators:In your list of negotiable items, identify which Google differentiators address the partner or customer’s pressing business objectives. When you’ve completed this mapping, weave them all together to craft a clear, compelling message that the customer will remember.
Example of Compelling message: Customer X] has positioned itself as the No. 1 financial app with more than 80M+ customers. This success has brought new investment from [Investor A]. Of course, investment creates new pressure for results and one area [Customer X] is concerned about are their lapsing users. Key to re-engaging users back to the [Customer X] is your brand repositioning to “Let's Drive Forward”: driving awareness and adoption of their broader suite of products. Google can help [Customer X] reclaim these lost users, and expand your footprint with them. In addition, Google can help to track your users so you don’t end up with cold users, along with quarterly analysis on where your users are engaging on the site each month. Google can also help to create excellent video content that excites your users to use products besides your free credit reporting tool. This will expand [Customer X]’s footprint with users to reduce the likelihood of lapsed users. Overall, Google can help [Customer X] to achieve the growth that [Customer X] and [Investor A] expect.
Tip: Prepare specifically so that Google's differentiators show up strongly in your negotiation. Dr. Medvec warns that, “If you aren't differentiating, you're commoditising.”

Purpose Multiple Solutions and Close.

In this section we will cover the following area's:

Create multiple equivalent simultaneous offers (MESO).
Create a concession strategy.
Deliver the offer.

Resources:

Negotiation Strategy Guide here Sales Mastery - Negotiate the Big Ask here