Negotiation skills are like a secret weapon in your financial arsenal, allowing you to save money and increase your income. Mastering this skill can lead to big wins, starting with small victories.
Today, we’ll focus on a simple yet effective way to start honing your negotiation skills – by lowering your monthly bills. Many of us set up recurring payments for services like cell phone, cable, and insurance, then forget about them. It’s time to break this cycle and start negotiating for better deals at least once a year.
According to Robert B. Cialdini’s book Influence: The Psychology of Persuasion, people are more motivated by fear of loss than the prospect of gain. Companies capitalize on this by getting us to sign up for services we may not even need, making us feel like we can’t afford to cancel. However, taking the time to negotiate can lead to significant savings.
Treat your expenses as experiments – test out different plans, track your usage, and adjust accordingly. By regularly reviewing and optimizing your spending on things like cell phone plans, subscriptions, and memberships, you can ensure you’re getting the best value for your money.
To have the upper hand in negotiations, start evaluating your options before your renewal date. Companies are more likely to accommodate your requests when they know you have other choices. By making informed decisions based on your actual usage, rather than fear of missing out, you’ll be able to make the most of your budget.