VCA’S GUIDE TO HAGGLING
I’ve been haggling for good deals ever since I was old enough to spend my own money. I’m not sure why that is… (Mom?!) but for whatever reason it always seemed like a good idea to me.
I was interviewed on Virgin by Buzz Bishop at one point about my haggling… and I’ve had several people ask me over Twitter and e-mail lately if I could share some of my ideas on haggling. Soooo here we go. I’m no professional haggler or negotiator, but here are a couple tips I’ve found that really work.
In General
Rule #1: Create a win-win situation. Haggling is really just another word for negotiating. In negotiations, the goal is not to get what you want and screw the other person over… it’s to create a win-win situation where both parties are happy with the end result. The same is true for haggling.
Rule #2: Don’t be embarrassed. Negotiating isn’t about being rude or pushy… but it does require you to be confident. It also doesn’t mean you are “cheap” or stingy… it just means you are looking for the best possible price.
Rule #3: 99% of the time you can get a better price. Yes, there a few cases where haggling isn’t appropriate (e.g. at a charity sale or when buying from a friend), but 99% of the time you really can negotiate a deal. Yes, even in department stores. I’ve gotten discounts at Aritzia, Future Shop, Rogers…
Rule #4: Know when to call it a day. Sometimes, you will have to walk away from a deal. That’s okay, there will be others. And sometimes, you won’t get the price you were looking for, but it’ll be good enough of an offer to accept. That’s okay!
Rule #5: Give a reason. Sometimes it helps to give a reason why you are looking for a discount. Don’t lie, be honest. Here are some examples: “It would really help a lot if you could discount this item for me because…” a) You have student loans b) Credit card debt c) Changing jobs d) Having a tough time financially e) Have a mortgage f) Have kids g) Your rent cheque just came out etc etc… the list goes on. Don’t bring this up if you aren’t in a bad situation, but sometimes it can help to give a reason for someone to help you.
Rule #6: Have fun! Don’t take yourself too seriously. If you look sad and worn down, a seller is less likely to offer you a good deal because they feel like they have the upper hand. Be nice, friendly and happy… people would rather deal with a friend than a foe!
In the last 2 months, I’ve saved over $3,000 just from haggling. Let me share some tips with you from specific situations.
Wireless/Mobile
When buying a new cellphone, do your research on what the other wireless carriers are offering. Be prepared to tell the salesperson you’ve found better deals elsewhere and are hoping they can beat it. Start negotiating on each of the bullet points. Can they give you a student plan? Can they give you an early evening start time? Can they take away the system access fee? Can they throw in a voicemail/text/etc package for you? Can they take off $50 from the phone price? Can they throw anything in for free?
Using this strategy I got a student plan, early 5 pm start, no system access fee, discounted voicemail package, and $75 off my phone price… plus a free memory card and case at Rogers.
Craigslist
I always check Craigslist to see if there is anything for sale there when I’m looking to buy something new. I’ve gotten some great deals on Craigslist. However, negotiating on Craigslist is pretty tricky! Here are some tips.
- Don’t dress up. If you dress casual and leave the bling at home, sellers will be more likely to give you a good deal.
- Know the actual retail sales price for an item before going. Sellers will often say they bought something for 2 or 3 times what they actually paid for it.
- I don’t recommend flirting. Sellers will see right through you, and plus you don’t want to lower yourself to that, right?
- Don’t say anything about a lower price in your initial email or phone call. Sellers will hold out and won’t bother meeting with you.
- Pay with cash.
- When you show up, make sure your cash is pre-counted in your pocket for what you want to offer. Have the extra cash in the other pocket if you need it later. Sellers won’t accept a lower price if they see you counting out your cash in front of them. They also don’t want to give you change if they gave you a good deal.
- Adjust your price for the item’s value. For furniture and electronics, you can ask for a significant discount, $50-500 or so. For smaller items like clothes or decor, you can usually only haggle $5-20 or so.
- Bid low, but not so low that it’s a bad deal. For example, on a $200 end table, say something like (but DON’T LIE, come up with your real reasons) “So I was wondering if you’d be willing to accept $100 for this… I will take it off your hands right now, plus it would REALLY help me out a lot because I’m still paying off my student loans… it would really mean a lot to me.”
- Get used to counter offers and how to respond. If the seller says, “Well how about $150?” then they are in a negotiating mood and you can probably get a great deal… say, “I’m sorry but that is still out of my budget, can you do $125?”. They are likely to accept. If they say, “I can’t budge on this at all, it’s great quality etc etc”… then they are not likely to negotiate much. You may have to walk away. A last ditch effort would be to say, “I definitely understand. Can you even help a little bit? Maybe just $20 off?”… they are likely to accept.
Using this strategy I’ve saved $500 on a bed frame, $200 on end tables, over $1000 on patio furniture, and hundreds more on electronics, cookware, etc. Craigslist is awesome.
Clothing Stores
Independent stores are the best, because often the salespeople are the owners and they can actually make a decision on if they can give you a price decrease or not. However, you can even get a great discount at a chain retail clothing store. First of all, pick your target. This should almost always be the manager. Decide what you want… a couple different options are 2 for 1 on an item, no GST, a 15% discount, etc. Personally I like the no tax option, it almost always works at retail stores. If possible, wait till the manager is at the sales counter, preferably when there are no other customers around. Then go up to them and say, “This is a really great ______, but it’s so far out of my budget. Is there anything you can do on the price?”. Let them answer, they may offer a discount. If not, then say, “Could you at least leave off the tax for me? It would make a huge difference”… they will almost always accept.
Using this strategy I’ve gotten 50% off on things at Holt Renfrew, no tax at Aritzia, 2 for 1 deals at indepedent clothing stores etc… always a few hundred dollars savings. Well worth it!
Book Stores
Of course this works best at independent stores, but I’ve had some good success at Chapters too. Try and find a book that is a little bit scruffed up or folded over (DO NOT VANDALIZE THE PRODUCT YOURSELF). The best situation is if it is the last book left. But even if not, this still works. Find the manager (preferably no other customers around), and ask if they can give you a discount since the book is damaged. They will almost always accept.
Using this strategy I’ve gotten $50 off a book at Chapters, and $10-15 dollars off books at Book Warehouse and used book stores.
Sporting Goods, Electronics etc
This is one of my favourite categories to haggle with. Computer, snowboards, golf clubs… all have extremely high mark up. My strategy here is to pick a salesperson who doesn’t look very busy. Go up to them and say, “I really want to buy something today, but I want to walk out of here with a good deal, can you help me?”. This indicates that you are a serious buyer (commission sales people hate wasting time), and that you want a good deal. Let them show you different products. Hopefully you find the one you want. Don’t seem overly into the product, but say, “How much for this one?”. Appear displeased when they tell you the price. Say, “I think this is along the lines of what I was looking for, but is there anything you can do on the price?”. If they offer you a discount, either accept or ask for something lower. If they say they can’t, ask if they can speak to their manager. Give the same story to the manager, make sure you give an honest reason, e.g. student loans or hard financial time. Make sure you get a discounted price. Only after you are given a better price, then say, “Yes, that definitely helps. Thank you so much for the discount. Is there anything you could throw in? I’m having a really hard time because this product is still over my budget even with the discount”. Then ask for add-ins… perhaps an extra mouse, maybe free snowboard goggles, a box of golf balls etc. It really works.
Using this strategy I’ve gotten 50% off a snowboard, a free router and mouse with a discounted laptop purchase, $300 worth of golf extras (extra club, balls, hat, and glove) with a discounted driver etc… this is really your area to shine. Hardgoods are very easy to haggle with!
Cars
I’ve only had experience with this once, so I’m sure there are way more knowledgeable people online that have tips for this, but here are mine. First of all, do your research. Find out what the base price (what the dealership paid for it) is for the car and what the margin is the dealer is making. You can find this information online. Again, pick your mark. Pick someone who isn’t busy. Indicate your commitment: “I want to walk out of here with a car today, so can you help give me your absolutely best deal?”. The salesperson will be super excited that they get to make a commission today. Then when you find the one you want, say “I know the base price for the car is $____. But I want both of us to get a great deal out of this. Can you give it to me for $_____?” Indicate maybe $3-5 grand over the base price. The salesperson will appreciate a quick sale. However, you can only do this if you are ready to buy, so make sure you are. Also make sure you haggle on the warranty and the maintenance etc.
Using this strategy I saved $13,000 on a car. I’ve since sold the car, but it was definitely my best haggle to date 
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I hope you enjoyed this guide. I’m sure there is a lot more I could add to this, but my lunch hour is nearly over.
Please share your haggling stories below! Have any questions? Please ask! I’d be happy to share a strategy for a particular situation.
Tags: Cars, Clothing, Craigslist, Electronics, guide, haggle, Haggling, Mobile, negotiate, Sporting Goods, steps, tips, Wireless
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October 6th, 2009 at 1:56 pm
hey allie nice tips,i have one too, i lived in malaysia it’s multiracial country and i have a tips for shopping at any chinese owner shop, chinese believe that the 1st customer sale will bring a good business for the rest of the day,they will always try to close the sale no matter what your offer is because if the 1st customer leave it’s considered a bad luck or bad for business.so i often go out shopping early morning during opening hours, this usually works with shops selling electronics, jewelery, furniture but hardly works on deprtmental stores.i hope this helps but not sure if it works in canada.
love you blog allie, keep it up.
October 6th, 2009 at 4:28 pm
Allie, awesome tips! I haggle once in a while, I always encounter Futureshop to be the hardest, because they work on commission. But it true you can get deals anywhere. I always get deals at places like J2 etc…I guess its my good looks lol
Unlike you I have tried flirted as I am shameless, however it didn’t really work out that well in terms of getting a discount. Then I tried getting her number as I wasn’t prepared to let all that flirting go to waste lol, that didn’t work either lol.
Anyways, those are some of my experiences. Great post!
October 6th, 2009 at 5:07 pm
Wow, I knew that you were getting price deals, but I’m stunned that you’ve managed to get up to 50% off at places like Holt Renfrew and the like! I definitely like the electronics shopping method, as I kind of can back that up – I usually research what I’m going for exhaustively before I march into the shop, including what the competitors are selling for… The confidence in my eye can be downright terrifying for some salespeople at Futureshop and whatnot!
Speaking of electronics, I got a good deal on my HD tv by first shopping at Futureshop, then heading over to the Buick where they had an identical model. Despite it already being on sale there, because I showed them that FS was selling at the same price, the salesguy lowered it by another 15% and threw in a nice glass TV stand. True, I probably could’ve gotten much lower, but I was quite happy with that deal!
Clothing stores, I’ll have to stake out a bit before I can confidantly isolate the managers…
October 6th, 2009 at 8:53 pm
great tips Allie – i would have never guessed you could bargain for clothes at places like aritzia. i know electronics and other big ticket items are usually easier to get bargains as well as high end jewellry as the mark up is just ridiculous.
another good tip if you’re dealing with a chinese business/person- bargain the price down to a lucky number, like 88 or 9. don’t use 4’s (means death).
re Jacqueline Conoir – you can buy at her retail store on west 6th. it’s called JC Studio
October 7th, 2009 at 5:01 am
Sounds cool!!!
October 7th, 2009 at 5:58 am
Thanks for the info!
I buy a lot of card stock at Micheal’s, and I always tend to go for the ones that have been open and the first page is normally folded. I would never do that myself, but I also ask for a discount on products that are opened. Micheal’s is great and always gives me 20% off, even when they are already on sale. I do the same with books. Or at the end-of-season bike shows, I’ll ask for more of a discount.
I got a great deal on my car, because I kept telling them I’d have too come back because the price was too high. I didn’t get much off the final price, but I got an extended warranty for seven years, when I’m only paying it off for five.
October 7th, 2009 at 10:24 am
I got my new paddle for 30 bucks cheaper then I’ve seen online/other stores just because I was at a festival and they wanted to get rid of their stock instead of being back home with them.
When jeans shopping I try not to look in the missing parts rack but I’ve been finding a lot of jeans that fit me and so what if they are missing a button. Sewing a button on is not hard.
October 7th, 2009 at 11:04 am
That was a cool post Allie. The truth is, whether its for furniture, a toothbrush or house, there is always haggle room – and the formula doesn’t often change.
In my experience with corporate finance and natural resource rights, there’s the usual high-ball and then low-ball offers, followed by negotiation that involve intangibles, intimidation, a little aggression, and of course, greed.
But you’re 100% right, it ALWAYS works best when it’s a win-win situation. You nailed this one pretty damn good…happy haggling!
October 7th, 2009 at 4:04 pm
can i just take you with me when i go shopping??? I am not good at haggling in retail stores. ever. although i’ve heard the myth that is can be done. next time i go to holt renfrew…i’m calling [read tweeting] you!
October 7th, 2009 at 9:26 pm
Did you know that you can get audited by the government for tax excempt items? If you are not buying something for a 14years or younger person, the government has the right to audit you and fine you for not paying the tax.
October 7th, 2009 at 10:26 pm
I’m glad to see you have (and use) so many ideas!
I’m feel the same about negotiating. I don’t buy much, but when I do I always try to negotiate. A general rule of thumb is 20% off.
I’ve one thing to say, however, about paying 3-5 grand over invoice for a new car. That seems a bit high as the dealer often gets other kickbacks from the manufacturer for the sale of the product. I think a thousand over is plenty (some books would recommend $500). If you do decide on a new car, your other hints are great. I’d add to try to buy at the end of the month (August preferably) when they are trying to make sales quota, and don’t buy the warranty or undercoat package. I’ve also used car brokers in the past, and was very satisfied with the results.
October 7th, 2009 at 10:53 pm
Hello Allie.
A few days ago I sent you an email about the Wordpress plugin you have installed that allows users to upload images with their comments.
I asked if you could send me a copy of the plugin, but for some reason you never got back to me. However, I decided to leave this comment because I thought that you might be interested in haggling over the price.
If you are interested, what is the lowest price you will sell this plugin for? Otherwise, I’ll have to buy it from Trevor Fitzgerald’s website.
Regards,
Sebastian (prehack.org@gmail.com)
October 8th, 2009 at 9:20 am
Great to hear that you get so many good deals. I think in general it’s easier for a girl to haggle but I managed to get myself a few good deals throughout the year, one being my cellphone plan. Also got some pretty good deals on camera gear too.
Awesome tips. Looks like you’re a master at haggling, must be the Asian genes in you lol.
:p
October 8th, 2009 at 7:42 pm
Rule #1 of 1: Be a pretty girl.
Haha, but seriously, I think that is the main ingredient in your haggling success. Sure being nice and having a strategy about it helps, but i doubt any of it will help very much if you are ugly, or a dude.
October 8th, 2009 at 7:56 pm
Hehe, actually most of these deals I’ve gotten while wearing casual clothes, no makeup, glasses, and out with my boyfriend. Or bargaining with a girl!
I definitely think there is more to haggling than flirting. In fact, I think flirting to get a deal on something is pretty transparent and doesn’t work often.
October 8th, 2009 at 7:59 pm
There is really VERY LITTLE markup at all on computer hardware, so you can’t get much of a discount there. A laptop that sells for $1000 is probably $980 at cost. Seriously.
It’s the add-ons & extras where the electronics retailers make their money, like paper, cables, routers, etc., not in the big-ticket items.
So, you can sometimes get them to throw in a mouse or something too…things like that DO have quite a profit margin. ie. a mouse that sells for $40 probably had a cost of $15.
October 16th, 2009 at 10:08 am
(Lurker coming out of hiding here)
These tips are great Allie! Thanks for sharing. I’m looking at getting myself a new laptop and you can bet now I’ll try to get a deal on it =)
October 29th, 2009 at 4:39 pm
i’m sure the people you’re haggling with would be less sympathetic after seeing your website and your penchant for high dining and five star vacations.
leave the bling at home, indeed! you should be ashamed.
October 29th, 2009 at 4:47 pm
Actually, I don’t come from a wealthy family and most of my vacations have been free or sponsored… the fine dining, yes, I admit is a bad habit but I budget myself accordingly. I don’t go out drinking or spend money on booze very often, and I bring my lunches to work every day and cook dinners the rest of the week. So getting to go out to a fancy dinner once a month or so is a way to treat myself.
And actually — I am still paying off my student loans.
Regardless, I believe that people should haggle for things regardless of their lifestyle, tax bracket, etc. Why should I be ashamed of saving some money?
That’s why I made a point in my post that haggling isn’t about cheating someone… it’s about creating a win-win deal. I save a little money and get a good deal, and the retailer (or individual) gets my business over someone else. I don’t think there’s any shame in that.
I hope I was able to give you some background on myself. Thanks for stopping by to comment, I always appreciate honesty and feedback.
October 30th, 2009 at 11:06 am
Seriously, you snowboard yet haggle 3% of a purchase price? Snowboarding is the ultimate it privileged entitlement. I’m sorry, here’s a bit of sympathy for you though. No one feels bad for you because you have student loans. You chose to go to college and the rest of us also have those same loans.
Thanks for the honesty and all, your “west coast culture” suddenly just turned into a joke for this regular reader.
October 30th, 2009 at 11:58 am
Hey bob,
I totally understand where you are coming from and I appreciate the honest comment.
I’m not looking for sympathy from everyone. I make no pretenses about who I am or what I am about… I think it is obvious from my blog that I like snowboard, surfing, golf, photography and other expensive hobbies. I’ve worked really hard to get to where I am, and I’m proud of where I’ve come from to where I am now.
To me, “west coast culture” isn’t about a tax bracket or how much money you earn or the toys that you have… it’s about enjoying nature, exploring our beautiful coastline, trying new things, living and being healthy, and ultimately finding happiness and a place between the ocean, forest and city.
November 2nd, 2009 at 6:02 pm
i agree, many of us have student loans. that certainly doesn’t make one poor though, some people have a large enough income that they can just put it off all together. i’m sure you could pay them off very quickly by nixing the snowboarding and regular surfing trips to tofino. honestly, most people i know can’t even afford one of these trips per year…because they’re paying off their student loans. get it??