Many items and services have become more expensive in the last few years. Auto insurance, health insurance, homeowners’ insurance, and restaurant food have all seen turbulence and rate changes.

As a coach, we often run 1:1 and group training sessions where we role-play (“real play”) to practice difficult conversations, such as raising a fee or price increase for your services and products. From medical devices to business insurance, we know firsthand how your wording and approach can make or break those conversations about billing and rates.

Some people will avoid this conversation or approach it with guilt or nervousness.

Some will come on too strong, sound defensive, and lose the customer entirely.

Some will need to build trust and demonstrate value to set themselves up for success.

Some fear negotiation overall due to a lack of formal negotiation training.

Successful Negotiation Skills Are Key

The ability to be fearless, ask for what you want or need, and know your value (or the company’s value to the customer) has a tangible impact on the quality of a negotiation and your long-term success. Also, the company depends on you to help meet the overall revenue goals.

One way to approach a rate increase with a client is to examine your mindset. Your mindset has a direct impact on the quality of your negotiation skills.

Having a mindset for success can be a primary factor in finding mutual gain and making both parties feel respected after a negotiation.

Here are some action items you can do to set yourself up for success when you need to address a price change with a client or customer:

How to Ask for What You Want

1. Continuously show the value you provide the customer, not just when discussing money.
2. Make your gain their gain; how can you create a win for THEM? (I suggest you ask them this)
3. Think LONG TERM, not just one conversation at a time.
4. Do your homework/ prework. Don’t wing it.
5. Build authentic, trusting relationships. How? Be a good listener, do good work, and be helpful but not overbearing.
6. Check your tone (be friendly, not apologetic). Smile. Make sure your facial expressions match your words. Listen for their tone also. Does it match?
7. Follow up, get creative, and be ready to find new common ground or even part ways if needed.

Align Pricing with Your Organization’s Strategic Goals

Leadership needs to be aligned on how pricing is meant to support the overall strategy and then communicate this with sales reps and folks having these conversations. Without this alignment, any pricing planning is a wasted effort.

We can all agree that paying more for services and products makes us grumpy, but most customers have become trained to tolerate price hikes. Good communicators can have tough conversations and know they can maintain the relationships they have so carefully nurtured over the years.

 

The ability to convey ideas with a significant impact is highly associated with career and organizational success.

Yet, technology leaders and professionals face a major challenge; simplifying complex and technical information so that others “get it”, buy-in, and take action for the best results.

Here are some truths about transmitting knowledge and influencing others outside your field:

Knowing your topic does not equal speaking clearly about your topic.

Your listeners likely don’t care about your topic as much as you do-sorry!

Anytime you speak, whether one-on-one or to a crowd, in person or virtual, in a formal or informal setting, you are a “presenter”.

Preparation, not Desperation: Strategize and plan, no matter how knowledgeable you are.

Let’s look at key strategies for thinking and speaking “mind over mouth”.

• Develop communication empathy

As experts in your field, your knowledge, breadth and depth, mastery of the big picture, AND the details are valued.

Don’t be heartbroken to learn that your audience doesn’t care to hear it all…especially some of those technical specifics.

Approach your meeting with a listener-centered mental mindset, what I call communication empathy.

Let’s consider questions to develop your communication empathy:

1.   What are the top three points these listeners care about?

A CTO I worked with bored his board when he went into passionate detail, complete with sixteen spreadsheets about a system upgrade.

All the board needed was the benefit of the change, and of course, the cost!

2.   What can I omit to focus and streamline? (And not feel like you are giving away your firstborn!)

If you’re worried about leaving out something important, keep in mind that you can always troubleshoot questions you may be asked in advance, or follow up after the meeting if requested.

• Check in with your listeners

1.   Communicate in advance.

The best communicators get comfortable with asking listeners what they’d like to cover before the meeting.  Executives in a large healthcare company I’m working with shared this blunt advice: “Talk about what I want to hear. Just ask me and I’ll tell you.”

You may also want to consider consulting with a colleague who knows the listeners or conduct a needs assessment prior to a high-stakes presentation.

2.   Consider listeners’ level of knowledge about the topic.

If you’re over their heads, the deal may be over as well. Jess, a biostatistician I prepped, lamented “I messed up an investor presentation. I thought they were savvy about research, but they were confused by even basic terminology

Wish I knew that in advance.”

We all know what she should have done: her research before the meeting.

Preparation not desperation, Jess!

3.   Stop to include your listeners.

Make sure you’re meeting their needs during the presentation. No one hits the bullseye 100%. Make your key point at a meeting in 60 seconds or less, then volley to your listener(s). Become comfortable with questions like:

Anything you’d like to add or ask?

Are we on target?

Questions, comments?

• Master verbal organization

Excellent speakers convey their message concisely, with fluency and focus.

Show me a great presenter in your field, and I bet you they have prepared, practiced and probably have a coach. One-half of one percent of the population is gifted verbally. The rest of us benefit from learning and mastering techniques.

1.   Headline for impact:

Work to convey your key points in 15-25 words, what I call a verbal headline.

(That’s actually a generous number of words, a newsletter or a slide headline is usually less than twelve words). Listeners value your ability to bring what they need or want to hear to the foreground. Devote time to figuring out what matters to your listeners

and then create your headlines. Here’s a strong, succinct headline a VP shared recently:

“We’re innovating to improve complex care.”

Note that the wording is well chosen to streamline and tighten the thought.

2.   Learn the HEC Model

The HEC model is popular with clients who present an idea, or who are on the spot at meetings.

HEC stands for Headline—Example—Comment

Headline followed by an Example, and then an ending Comment (opinion, perspective, action).

Practice HEC with this question:

What do you find most rewarding about your work?

Here’s a sample reply:

Headline: I enjoy creating and designing landing pages for individuals and groups.

Example: An investment firm asked my team to design

a page for analysts preparing to present at a conference.

Comment: Not knowing what’s around the corner, and always having a fresh project at hand keeps me busy and energized.

3.   Make new ideas or terminology easy to understand.

Listeners are uncomfortable when they don’t know a term, abbreviation, or concept you are sharing. It’s crucial to scan your words and be sure to explain and simplify what isn’t familiar or clear. This sequence will help:

State the term, Define the term briefly, then offer an example.

Try it out with a word or idea that listeners outside your field find challenging.

Let’s give it a try with the words “fast pacing”.

Term: Watch out for fast pacing with non-technical listeners.

Definition: Fast pacing means you are including too much material in the time you have.

Example: A speaker who is too fast-paced will lose their listeners at point one, while they are already on to point five.

Keep these tips about concise organization, defining terminology, and sensitivity to your listeners’ needs in mind for your next meeting.

You will be on your way to speaking for success!

 

The topic of misunderstanding has many angles to discuss; it’s hard to pick one — tone, choice of words, inflection, context, etc.

Let’s look at teams that have members from other cultures. Now, remember, each group has its own culture, so when you see me use the word culture, it does not only mean different countries; it might mean other departments. The specific word I’ll focus on for this discussion is IDIOM.

Definition

an expression in the usage of a language that is peculiar to itself either in having a meaning that cannot be derived from the conjoined meanings of its elements (such as up in the air for “undecided”) or in its grammatically atypical use of words (such as give way) – Source: Merriam-Webster

While this may all sound like Latin to you, are we indeed that different in today’s modern world? Has the world changed that much? I like the topic of idioms because it’s how many Americans and other cultures communicate. Without awareness, it can be highly confusing for individuals learning English as a second language or those visiting an American culture.

A less formal explanation is that an idiom is a collection of words that together convey a specific meaning, but if you look at each word, they have very different uses.

Examples

These are just a few. As professional speech coaches, we train teams on cross-cultural communication often. During training sessions, we want participants to learn that what makes sense to them may not make sense to someone else. The other person might understand each word, but the collection of words together may have a different meaning. They should be aware of what they are saying, how they are saying it, and confirm understanding.

Imagine your daily conversations at work. How fast do you talk? How much information do you cover during a meeting? You see, your listeners nod and smile. Your talk makes great sense (to you). They express visual responses of understanding when, in reality, they have no clue what you’re saying. Then, you are surprised when the project comes out differently than expected.

Great communicators make an effort to maximize understanding. Perfect? No. However, we can improve our speech to communicate with clarity when we recognize the idioms that have become so ingrained into our speech. The sounds and words we use to communicate our thoughts can make perfect sense to us, but do they make sense to our listeners? If you use an idiom, try explaining it or consider how your listeners will or will not understand it. Give it some thought, and see how being more careful when communicating with people from other cultures does not improve.

Pauses in conversations serve several important functions and are an integral part of effective communication. A pause can signal the end of one thought and the beginning of another; a break between two related thoughts can give the speaker a moment to gather their thoughts or indicate that the speaker is searching for the right words. Pauses can also convey the speaker’s emotions, such as hesitation, uncertainty, or discomfort.

In some cultures, long pauses are considered a sign of disrespect or disinterest; in others, they are seen as a sign of reflection or respect for the listener. For example, in some Asian cultures, pausing before answering a question is customary to show respect for the person who asked the question and to show that the speaker is considering their response carefully. SSee Talk is silver, silence is golden: A cross-cultural study on the usage of pauses in speech for more information.

Pauses can also be used strategically in conversation. For example, a speaker may pause to emphasize a point or create suspense. A well-timed pause can indicate the speaker’s confidence and control over the conversation. In contrast, an awkward or lengthy pause can signal nervousness, discomfort, confusion, loss of control, or a lack of preparation on the speaker’s part.

It is important to note that the length and timing of conversation pauses can vary depending on the speaker’s culture, language, and personality. Some speakers may naturally use longer pauses, while others may use shorter pauses. The context of the conversation may also determine the length or type of pauses used. The best way to determine the appropriate length and timing of pauses in conversation is to observe others and practice using pauses in your conversations. If you find yourself stepping on another’s words or vice versa, you may want to pay more attention to the length and timing of your pauses.

In conclusion, the importance of pauses in conversations cannot be overemphasized; pauses play a crucial role in effective communication and should not be underestimated. By understanding the various functions of pauses and practicing their use, we can improve our ability to communicate effectively and build stronger relationships with others.