Your MSP business will better understand negotiations if it understands the concept behind Latin phrase “quid-pro-quo”. This basically means “something for something”, or “you scratch my back, I’ll scratch yours”. In a word, this is negotiation. If you’re going to be effective as a negotiator, you need to be flexible in terms of give-and-take. Sometimes, you can save money in one area of operation by accepting a client’s services in lieu of payment. You need to be thinking that far out of the box. This in mind, following are three additional tactics worth considering in this regard:
• Know your “enemy”
• Facilitate a win-win scenario
• Shroud what you need in what’s expendable
Know Your “Enemy”
Your MSP business needs to research prospects. In the truest sense, competitors are “the enemy”, as are cybercriminals. Your clients aren’t apt to be either of these, but you do have a similar relationship to them. They may not want to convert, and you need them to. You can’t compel this. In order to be successful, you’ve got to know them as comprehensively as possible.
Facilitate a Win-Win Scenario
When everybody wins, you don’t just increase your conversion ratio, you’re apt to absorb a client such that they become closer to a partner and maintain positive lucrative relations with your company perpetually. Determine where you can give clients a win, and they’ll do likewise for you.
Shroud What You Need in What’s Expendable
If your minimum profitability threshold were $3k/month per client, design piecemeal services such that advertised cost is closer to $4k or $5k, then let the client talk you down. This makes you look more flexible, when in reality you’ve just been strategic with your negotiating capital. There’s a limit, though. Make the threshold too high, and you’ll scare prospects away before they consider your operation.
An MSP business that takes care to strategically approach conversions will have better luck anticipating correct actions as they pertain to clients. Be flexible, make the win-win happen. Know your prospects. This gives you ample negotiating capital.