I recently reduced my heavily used iPhone bill from $161 per month down to $80, and I also increased the air time and features I was subscribed to, all by using 6 key tips of negotiation.
Read on to find out how you, too, might save $81 a month.
Read on to find out how you, too, might save $81 a month.
This strategic positioning means it is easier to renegotiate a cell phone contract that you already have. Call centre agents have much more bargaining power to keep you as a customer, and combined with some basic negotiating skills, it can result in significant savings for you.
1. Keep your eye on the prize
The goal of any negotiation should be a mutually beneficial arrangement between two parties. In this case, the cell phone provider is getting to keep a loyal customer that will continue to pay them, and you get a better value package.
2. Make it personal
While you ultimately need to show the value of you as a customer to the cell phone company, it's worth remembering that you are working with an individual agent. That agent needs to be persuaded to give you a deal, and it's helpful to understand how the agent is evaluated. If your request (such as a concession on the price of a feature in exchange for a slightly longer term) aligns with their goals (keeping a customer for longer), you make it easy for the agent to give you what you want.
Note: It's important to keep the dialogue upbeat and positive. Nobody likes dealing with a jerk, and ultimately you want to give the agent a reason to something that's better than what is advertised.
Individual metrics will vary from company to company, but the following is a lose guideline for industry standard benchmarks that all agents are measured on:
- Total number of interactions
- Total talk time
- Number of retained clients
- Number of up-sold clients
- The quality and quantity of positive feedback (either provided seperately or as part of a follow up survey)
3. Show them the benefit
It helps if you can remind the cell phone provider why they want you as a customer. If ever the agent needs to justify why they gave you such a good deal, it helps to provide them with the ammunition they might need during that discussion. You might consider mentioning some or all of these items during your discussion:
- On time payment of bills
- Length of time you have been a customer of theirs
- If you pay an amount that's greater than the average
- The compliments you have forwarded to the supervisors of past contact staff in the past
4. Know what you really need
Review the last 3 months worth of wireless usage, and look to see what features you actually took advantage of. I was surprised to find that of the 6 gigabytes of data usage I had available (an add-on that I fought vigorously to keep), I only ever used about 1 gig of it.
- Airtime
- Long distance
- Text messages
- Data
5. Don't be afraid to call back
Ever get disconnected midway through a conversation, and when you call back to the call centre, you have someone completely new? While sometimes frustrating, you can use this to your advantage by calling back a few times, attempting to find someone who is willing to work with you.
A note on this: Most call centres use some sort of CRM (customer relationship manager) to record interaction notes about the call. However, even in centres that do require this, accurate record keeping is something that a lot of people hate to do. As long as you aren't rude or abusive (see #1), you have a good chance of getting another chance at making your case.
6. Ways of accepting value
In some cases, it can be difficult to reduce your monthly payment, particularly if this is your second or third time negotiating the deal. Instead, explore what sort of perks or add-ons you might be eligible for, which can be easier for an agent to give rather than a discount. Some examples might include:
- Additional minutes
- Value added services (such as voicemail, caller ID, etc.)
- Early upgrade to a new handset
- Extension of an existing promotion or special price
Once all is said and done, you should be the proud customer of a cheaper cell phone bill. If you eventually did get a good call centre agent, make sure to follow up with their supervisor and leave a nice note. This goes a long way with the call centre agent, but also stays on file with your account, which might make it easier the next time you call to renegotiate again. At that point, the next agent will see you left positive feedback, and might be more inclined to work with you hoping for the same treatment.
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