The Ackerman Bargaining Model: 65%, 85%, 95%, and 100%
Online Course: MasterClass | Chris Voss Teaches the Art of Negotiation
The Ackerman Model is a bargaining method that counters with decreasing incremental offers until your target offer price is reached. For example, if we have a target price of $100 for buying a bike, using the Ackerman Model we should initiate our first proposal as $65. Assuming no deal, we then raise our price by 20 percent to $85, then by 10 percent to $95, then by 5 percent to $100.
The key is always increasing by decreasing increments. This makes the other side feel that every price increase is creating a real burden for us. The goal is to build as much rapport as possible with your counterpart.
You can find a more in-depth explanation and demonstration about the Ackerman Model in his book Never Split the Difference: Negotiating As If Your Life Depended On It.
In the online course chapter Bargaining, Chriss Voss had a really fascinating demonstration of bargaining using the Ackerman Model along with all other maneuvers in negotiation.
If you are interested in watching this online course or any other online courses on MasterClass, I have 3 invitations for MasterClass. Feel free to reply to me with your email address by Apr 07, 2021, and I can send you a 7-day Guest Pass!