World's greatest candy bar. Credit: Like_The_Grand_Canyon/Flickr
My sister was elated with her latest score. She haggled for a snickers bar and saved a quarter.
I’m telling you this because haggling is one of my top ways to save money on holiday presents. (Holiday sales are expected to grow by a healthy amount this winter, which tells me you are likely gearing up for a major purchase.) Here is my crash course in haggling.
Why haggling works
Successful price negotiation happens when the seller wants to close the deal more than the buyer. Most buyers have no idea negotiation is an option, so sellers never bring it up. In reality, it’s possible to negotiate on almost everything.
Haggling is a state of mind. Believe me, I’ve talked down the price of pizza, T-shirts, hotel rooms, cell phone bills, mattresses, sunglasses, clothing,� groceries, sneakers, and cupcakes.
Not that I ask for a discount every time I buy. That would land me in reject-ville. Instead, I look for specific things that indicate the seller is open to negotiating.
What to look for
There are six factors that can lead to successful haggling.
The merchandise is damaged or incomplete.
The merchandise is extremely old.
No one is buying.
A rival seller is offering a better deal.
The seller has a great deal of the product.
The product is about to go out of season (like a swimsuits in July) or expire.
These all indicate the seller has had or is having a hard time selling the product. This sets the stage for getting a deal.
Additionally, a seller may be open to negotiating if you are a loyal and recognized customer, if you buy in bulk, or if you pay in cash. The more of these factors you have in your favor, the greater your chance for success.
How to pull it off
Unlike my sister, my Mom has never successfully negotiated a discount. Here is how she typically describes an attempt.
“I walked up to the counter with my (insert item here), money in hand, and asked to get 10% off. They said no.”
My Mom has the nerve to ask for a discount – which is hard at first but gets easier. She fails because she does not look for the six factors listed above and, most importantly, she fails to subtly share them with the seller.
To get a deal, you have to let the seller know you are aware of the factors that fall in your favor. If they don’t know that you know, they assume you don’t know. Simple.
I find weaving into conversation my observations of the factors in my favor is a great way to start. “Wow, it’s late in the day and you have a lot of pizza!” “I just noticed this top has a black mark.” “I’m buying 30 T-shirts now, but I’m starting a new business and will be ordering 200 within six months.” These are all opening lines I’ve used before eventually asking politely for a discount.
I am friendly, discreet, and I often compliment the seller on his or her wares. If there is a sale at a rival business, I show them the flyer or coupon as proof. Do they price match? I shop during slow times so the seller has time to work with me, and I mention if I have shopped there before.
I use body language to let the seller know I’m not sold. I point to the product instead of picking it up. I pause to think about the price instead of deciding quickly. I leave the store if I’m not ready to buy and tell the seller I may be back after I research my options.
Other things I may say to the seller: “I noticed this has not sold in 6 weeks. I can take it off your hands if you are able to sell it for 10% off.� �This item is damaged slightly. Would you be able to shave 20% off the price?� �Another store has a better price but I like to shop here. Can you work with me?� �I�d really like to buy this item but it�s a bit above my budget.� “Is there a discount for paying in cash?”
Lastly, just ask. If you don�t ask, you won�t get a discount. The more you ask the easier it gets, so start trying. Keep the discussion friendly and leave the door open to make the purchase at the original price so if you get turned down you don�t feel the need to stalk off. I have been turned down many times, but I have also gotten discounts where I never expected to succeed. Try it!
Welcome to Bargain Babe! I’m Mara, and I’m so glad you’re here. I am an obsessive bargain hunter and penny pincher, and I am determined to live a full life without EVER paying full price.
My Mom once told me – ‘You’ll never know if you don’t ask’. I have found them to be invaluable words to live by.
@BB: Is this something you’ve done at a store such as Target where the prices are clearly set?
@Diane I have negotiated at stores where prices are set. I found a top I really liked at Banana Republic years ago but it had a black smudge. I was pretty sure it would come out in the wash, but I couldn’t know for certain. So I asked for 20% off. They gave it to me with the stipulation that it was final sale. I got my discount and they sold something few would buy. We both ended up happy.
Like @Linda, I would ask for a discount whatever the retailer if the item was damaged.
@Diane-I’ve seen my daughter get a discount at Target before. She was buying a bulletin board and it was the last one on the shelf and had a small dent in the corner. When she got to the register she pointed it out to the cashier and told her that it was the last one and she really needed but it was dented and the cashier immediately took 10% off the price for her.
Also, with my prematurely gray hair (started to turn at 27) I’ve been getting senior discounts since my mid-40’s. All I’ve ever had to do was ask.
ya can you give exmples of stores where you can do this? Thanks
@Paola It matters less which store you are at then whether or not you have bargaining power. You can bargain at Target, clothing stores, Best Buy, etc. If a sale associate turns you down, ask to talk to the manager. Giving a discount may be beyond the power of an associate. Good luck and let me know how it goes!
Our recently launched site happybuy tries to help people save their money without having to haggle by tracking prices on products from Amazon, Apple iTunes and the Apple App Store – it can help shoppers make some of the biggest savings by making a purchase at the right time.
I agree! While I didn’t haggle – I just asked for a coupon once…turned into 20% off. Details here in my blog: http://livingonthecheap.blogspot.com/2010/10/sometimes-just-ask.html
Grazie for your post, seriously, can you become a topic author for wikipedia because the current entries in there for our hobby is frankly drivel. I don’t quite agree exactly with it but I agree with it on the most part and I wholeheartedly applaud your effort in putting it so clearly.
@BB and Linda: I have always asked for discounts” when the merchandise I wanted was somewhat flawed or damaged. I just never thought of this as” negotiating”; it was just something I did. Is there any other way/reason you would negotiate at a store such as Target? I mean, you wouldn’t just counteroffer the price, would you? The other things you listed for making an item negotiable don’t seem to apply at a store like Target or Macy’s or . . .
@Folding Bikes: Did I miss something? Did Bargain Babe mention bikes (is that “our hobby” in your post?) in connection with this blog on negotiating? I guess I’d better take another look.