Sourcing & Negotiation 📑 Part 3

For some businesses, events and conferences are a once in a while thing. For other business owners, they are an integral part of their marketing strategy. For MTC Global, the contracting process is where we get to know our clients and get a sense of their corporate image. We’re there for the negotiation process, providing our client with our years of expertise in the industry. Below the part 3 of 3 and the final of our 32 tips and recommendations.

21-Don’t-Make unreasonable demands. Don’t place unreasonable demands. Your point person should be straightforward with you about the capabilities and costs involved; at this stage, you should feel confident that your vendor will meet your needs and standards. Don’t try to negotiate a lower cost than is fair or request additional benefits that aren’t warranted.

22-Don’t-Insist on being the final authority. Your points person is your teammate at the event. Don’t try to bully him or her, even though you might be in a position of relative strength. This will only cause damage to your working relationship, so don’t do it. They can make things difficult for you, but legally they cannot breach the contract as long as you aren’t going out of your way to antagonize them.

23-Be inconsiderate of a supplier’s profit margin and business needs. It’s important to find a business partner you can grow with – someone who is honest and reliable. After all, when you find yourself in business together, success means success for both of you! It’s not fair or productive to expect your partner to take on losses because you make poor financial choices like choosing an unreliable supplier when they clearly lack the skills or experience necessary to complete a project on time or within budget.  

24-Don’t-Escalate and overestimate needs. Don’t give your supplier false hopes. Your point person should be absolutely clear on your very best estimate of what you need before you begin negotiations. They will have a preplanned allocation of resources to you, and if you cut your requirements in half after the negotiations, then they will already have allocated the majority of their resources elsewhere.

25-Be apprehensive about negotiating for everything required. Don’t Hesitate to ask questions. If you don’t ask, you won’t know and you’ll probably regret it. Ask for the things which make your event succeed, and be ready to pay for them. Negotiation: essentially, getting what you want without giving too much away. That is the essence of the negotiation: don’t compromise the quality and success of your event by being an ineffectual negotiator.

26-Don’t- Promise what cannot be delivered. No one wants to work with a supplier that gives false assurances. Don’t let them push you around and make promises they can’t keep, because there are consequences! Ensure that this is clear by making sure all commitments are covered in the contract which protects both parties involved.

27-Don’t-Lie or misrepresent. This is a basic rule of thumb when it comes to event planning and the life: neglectfulness almost always runs some sort of risk, so be careful! If you establish a business climate of honesty,” you’ll reap what you sow.”

29-Don’t- Jump at the first offer. When you’re negotiating with another company or contact, be sure to discuss all of your demands and see if any of them can be revoked to make room for something new. Your exchange partner is likely anticipating your specific needs, but they may not know how to accommodate those needs. As a result, they might be making offers based on bad information. Always negotiate!

30- Don’t- Pass up a good deal based on a personality conflict. It’s not about you as a person. It’s not about the point person. Try to avoid making decisions based on how you feel about the people you’re doing business with. Whether the personalities match up well or not, there’s no point letting them get in the way of what needs to get done! If negotiations become difficult, always make sure that you ask plenty of questions to determine if the information being presented is correct. Never let bad information lead you astray – if it’s not a power move for everyone involved, then it may not be worth pursuing!  Just do the work at hand in the interest of your client’s budget and the quality and success of your event.

31- Don’t-Be intimidated. Don’t feel intimidated even though you have less experience or education than a prospect. While this can be an issue if you trip into thinking that you’re technically not a peer, remember that you’ve made it to this position for a reason. It’s also important to know that your prospects are on the same level as you in some ways and can help accept their capabilities too. Also, keep in mind, you’re the one with the checkbook.

32-Don’t -Hesitate to advise the facility of changes. Contracts can be amended, and it’s always a good idea to talk things through if things change that may affect your contract. If there’s something you’d like to discuss, speak with your point person immediately. They’ll keep the spirit of your original agreement while making any relevant adjustments – make sure they consult their lawyer before signing anything!

Anyone who has ever thrown an event knows that sometimes it can be quite intimidating. It feels like there are a lot of contracts involved and each one is more complicated than the next. Never fear because we have you covered. Follow these rules for negotiating all your events, when it comes to contracts. My recommendations in this post are based on my lifetime industry experience, and keep in mind that a good and clean contract will work for you, protect you and your supplier, and ultimately help make your event a wonderful management experience.

If you ever need help with site sourcing and events contract negotiation reach out to: www.MTCglobalSolution.com, these services are usually complimentary for our clients.