How To Haggle
Updated: Apr 21
Since I've started my own business, I've come to understand the art of haggling with pride. I've been pretty good at it too. So here are my tips to help you next time you try your hand at it...
It's Simple - Don't!
Not quite what you were expecting was it?
Maybe it's the fact that I'm in constant negotiations with brands for my livelihood, or maybe it's just that I'm simply scared of angering a contractor and ending up with a rubbish job, still paying loads of money and potentially more to have it changed. Or maybe it's both, because I live through both sides of the argument on a daily basis. Whatever the reason, this is what I know...
Hear Me Out
Not haggling might sound counter intuitive but hear me out...
"reducing the price means reducing the quality"
A quote for a service is the price. It's as simple as that.
A contractor/sole trader knows how much of their time will be absorbed in a project, they know how many people will be involved, they know how hard it will be and they know the cost of the products. You're also paying for their knowledge, advice and experience.
This is why the price is the price.
If you insist on reducing the price, well reducing the price means reducing the quality. In the list of things that they need to consider in their quote for work, the only thing that can change is the actual product - not their time, experience, number of people on the job or workload.
If you think a quote is too high, then you either negotiate to have less quality or less work done. Or find someone less experienced to suit your budget.
3 is the Magic Number
That's why it's always a good idea to get 3 quotes. Not just to make sure that you're not being overcharged or make sure that something isn't too good to be true.
This way, you also get a feel for the contractor/ sole trader and the quality of their work. Then considering your budget, make your choice. At least then you don't start off on a bad note after having argued your way to a 10% discount... it may be a decent cash saving but in my opinion nothing is worth angering the people who you are paying to work hard on a job that you're going to spend a lot of money on regardless of any savings.
Remember, you will be the one living the with end result.
Don't get me wrong, I'm sure that people give slightly higher quotes compared to what you think the work is worth. It could very well be that they don't want to undertake this particular project, so if they are going to do it then they may as well get paid well for it. Or, if they're not wanting to take on the project, maybe they're hoping you won't accept their quote.
You know what, good on them!
It still means that the price is the price! If you have an undesirable and unusually difficult project then you may have difficulty finding anyone to do the work at a reduced price.
I am fully aware that if I asked a landscape gardener to do a simple project in my enormous and awkward garden, with no guarantee of parking near my house and about 100 steep steps from the bottom to the top of my garden... well then, they should be able to add on an 'inconvenience' fee (I just came up with the term but I think it works quite well for what I'm trying to say)
I'm sure that even a gardener hired to do a simple bit of pruning in my garden may add on a little bit extra given how difficult it is to even reach my flowerbeds!
Negotiate, Don't Haggle
This is where negotiations are useful.
Let me use myself as an example, without giving too much away about my finances!
I'm usually approached by brands wanting to work with me. I charge a fee for my time, the actual work, my reach on each of my social media platforms, my integrity as an influencer (I only work with brands that I love), a license to allow the brands to repost to their social media platforms for a specific time period and many many more variables.
Often I'm asked to produce a huge amount of work, sometimes worth thousands of pounds, in exchange for an item that cost the brand £20-£80 to make. FIY I have a very solid understanding of profit margins in retail as this was a large part of my job for nearly a decade.
I hope that you can understand that this is insulting to say the least - not a great way to start 'haggling'. Keep in mind that I have to pay tax on gifted items so I have to make sure that it's worth it.
When these types of collaboration proposals occur, I tell them politely that I don't work for free. My usual phrase is that I am happy to share a gifted item to my Instagram stories as a review. I always feel like this is a fair way to work, especially if I don't know the company very well and is a great option for companies that don't have a budget - particularly small and new companies.
I know instantly if they are a brand that I will like or not by their response.
If they agree, then chances are that they are good people part of a good brand just trying to get their products out there because they believe in them - great!
If they insist that they need at least 4 stories, a grid post, a reel and a TikTok, (a huge amount of work) all with use of my content on their marketing platforms in perpetuity, for an item that cost them £80 to make, then they're not a brand that I would want to promote.
Some brands, however, are polite and understand that I should be compensated for my time, hard work and dare I say it, skill. This is where we negotiate, as often they do not have the same budget as the huge companies. Fair enough! They can't all have the same budget as Amazon!
In which case, once I have a full understanding of what they want me to do, I give them a breakdown of all my fees and they simply select what will benefit them the most for a price that fits in their budget.
It's pretty simple and a much more respectful way to work.
Ultimately, negotiating is a great way to find a mutually beneficial agreement for both parties. Haggling is just trying your luck and doesn't benefit anyone in the end.