This tactic focuses on introducing competition to the negotiation, emphasizing the value of other offerings that may meet your needs at a lower price point. It's important to present these alternatives realistically to assert pressure on the supplier to improve their offer.
Emphasizing the necessity to eliminate auto-renewal options due to internal finance requirements enhances negotiating flexibility for future terms. Making this a condition can help secure better pricing or terms.
Leveraging the request for an increase in users to negotiate lower pricing through economies of scale can yield significant savings. This tactic can help establish the expectation that as your team increases in size, the costs should decrease per user.
Offering to act as a reference or participate in a case study can be a valuable asset in negotiations. This not only provides marketing value to the supplier but could also warrant favorable pricing or contract terms in return.
Requesting shorter contract terms or month-to-month agreements allows an organization to monitor ROI effectively. If performance does not meet expectations, this tactic allows flexibility in future negotiations.