Shopping On the Road - Rules to Bargain By

by Randy R. Johnson

Now to my guidelines. They violate some other people's rules, and they certainly are not hard and fast, so just take them for what they are worth to you:

1. Find out the right price.
2. Be prepared to walk away from any product.
3. Be prepared to walk away from any vendor.
4. Don't make an offer you won't honor.
5. Don't insult the vendor.

The first rule, I have discussed above. "Find out" should remind you that, while you cannot always know the right price, you may be able to get a better idea by taking a little more time and effort before diving into a bargaining session, especially for a serious purchase.

The second rule is a standard. Don't fall in love with any product, so much that you just cannot leave without buying it. The vendor will quickly recognize this and you will have no bargaining position at all -- you are at his mercy. Worse things could happen than buying something that you really love, but definitely avoid showing such interest before the vendor has at least made his opening price, or you are certainly doomed to a fleecing. Ask the prices of several different items, only one or two of which you are really intereseted in. Also, keep yourself from becoming attached to a particular item until you have shopped around enough to have seen several like it, and some alternatives as well. You can always come back. In any case, you will surely fall in love again.

My third rule might have been tacked on to the second, but its message is actually quite different, and much more important: Remember that you are the customer, you are the one who makes the final decision, and you will not buy unless you are convinced that you are getting a product you really want, for a price you think is reasonable. This may sound obvious, but it will be your main defense (in some countries) against hundreds of extremely convincing professional salesmen/conmen who are perfectly capable of bullying 90% of the tourists they meet into buying something they do not want for a price that they know is outrageous! And from a man they can't stand!

You don't meet this kind of salesman in the hardware store at home. You can always just turn around and walk out, without saying a word. Keep repeating that to yourself when you find yourself under the spell of one of these wizards, "I can always just turn around and walk out, without saying a word." Sometimes it is your only escape, but it is always there.

The last two rules are part a my personal code of dealing with vendors. I learned my hard bargaining in Latin America, and I came to have a great respect and fondness for (most of) the ordinary sellers in the marketplaces and shops. They enjoy bargaining and they are people of some moral principle; they are not above stretching the truth (or ripping you off when they can), but they have their rules. When you get to North Africa and India, the level of ethics -- from a Westerner's point of view -- can go down tremendously, and you can easily lose all sense of respect for the vendors. But still, I stay with these two ethical rules, for my own sake, although I don't always obey them.

One way to learn a good price for something is to bargain until the vendor will go no lower, even after you have walked out of his shop several times. If you are not really interested in buying, you can just keep walking -- unless the vendor comes down to your last price. Then what do you do? In my rulebook, out of respect for the institution of bargaining, and to keep from soiling the reputation of foreigners (why bother?), I say that you should honor any offer you make.

Many people say no, that you can just say you changed your mind, and leave. But if you can do that, then why can't the vendor just change his mind after you accept his offer. "No, I was just kidding, I won't really sell it for that price." This would clearly be an unacceptable breach of the most basic ethics of bargaining, and you wouldn't stand for it. So, I put a similar restriction on myself. At least consider this point of view before establishing your own guidelines. There are many places where you will be considered dirt if you go back on an offer, and it doesn't help those who come after you, either. This rule makes some difference in how you shop, because it means that you never seriously bargain for anything that you would not buy for a good price. You can still learn a lot about prices by keeping yours low, but it also teaches you to be very selective about goods, before you know the real price.

The last rule -- don't insult the vendor -- is contrary to many bargaining ploys. I sometimes break it myself, and it can be just an alternative strategy. This rule has two levels of meaning. First of all, I don't want to do any business with someone I can't stand, no matter what they are selling, or how much I like it. If I feel that a vendor is really insulting me, pushing me much too hard, or just being overly sleazy, rude, and dishonest, I should simply turn around and walk away, without saying a word. There is no need to insult him personally, or get into a shouting match. I just need to get away from there and look for someone I can do business with in good conscience, and have fun doing it.

The second level is that of insulting the merchandise. Many experts will tell you that this is absolutely necessary, and indeed, it is common bargaining practice among local people in the Middle East and several other areas. Pointing out the shortcomings of a product is all well and good, but I personally feel silly bargaining hard for something that I'm telling the guy is a completely worthless piece of dung. My alternative strategy goes like this:

"Yes, of course it is a nice piece. I would not be interested in it if it were not nice. I don't buy bad merchandise. I want this piece because it is so nice. The problem is that I just cannot afford it. I'm afraid it is much too nice for me. I cannot pay that much, but I don't want bad quality. Look, I only have 300 twinkies I can spend, and that is all. If you can't sell it for that, I'm afraid I will not be able to buy it." (Add "for my mother" if you can do it with a straight face.)

This approach may be less convincing if you are looking particularly affluent or carrying dozens of other packages, but you don't have to look poverty-stricken either; both sides know that your arguments are just part of the game. You can still let the vendor know that you are discounting his merchandise by inspecting it closely and simply running your fingers thoughtfully over any blemish or flaw. The fact that you say nothing should only make him more nervous that you may decide you don't really want it after all -- maybe it is not as nice as you thought.

This is not necessarily a better bargaining strategy, it is just a different one, and you may want to add it to your arsenal. Saying that you have little money to spend is no worse that saying that the shawl you want to buy for your mother isn't fit to line a rabbit hutch. It just shows a little more respect for the vendor and his merchandise. Perhaps this sentiment is wasted on many conmen, but it is also an approach that some vendors are clearly not accustomed to. They cannot use their long speeches about how beautiful the product is; they can only argue that you really can, or should spend more money. When they turn to telling me that I am a filthy rich American taking advantage of my obsene wealth, that's right, I just turn around and walk out the door.

Advanced Bargaining

I could go on about various ploys you may encounter around the world, and several more to try yourself. But nothing can teach you like experience, lots of experience. Learning is half the fun, even where getting ripped-off is the best way to learn. Remember also that the rules and the ethics can change from country to country. The few rules and guidelines I've given above should help you to avoid the major pitfalls of negotiating, and also give you a basis for developing your own skills and attitudes about what kind of a negotiator you want to be. Now, a few extra tips to get you started.

Yes, it is true that walking away is a good way to get the price down. No matter what you say, vendors know that once you leave their shop, the chances of your coming back are not worth considering. Some vendors will save their best price until you actually leave, maybe for the second time. On the other hand, you are not fooling anyone with this tactic; if the vendor has confidence in your desires, he will let you go. Bargaining can truely be a battle of wits.

Stomping off in disgust is not the way to treat this situation. To play the game fairly, you say thank you and good- bye, then shuffle off slowly. Hover around outside if you like, or browse the windows next door. This is the moment of truth -- who wants this sale more, you or them? Don't be afraid to go back in and haggle a little more. I once spent two days going in and out of a small shop, bargaining for a relatively expensive item ($25). By this time the vendor knew that I really wanted it, but she also knew that I was looking in other places, and we both enjoyed the time we spent bargaining and talking about her country.

Do not put up with the "last chance" price. "If you come back tomorrow, I won't sell it to you for this price." This is a totally sleazy practice. If you loved the product, you would have paid for it by this time, so now is the time to stomp out indignantly and don't come back. The only time I felt this argument was reasonable was in a market town on the day before market day; tomorrow, tourists would fill the town, and all the prices would go up.

It helps to keep the amount of money you hope to spend separate, with perhaps a little more stuffed in a pocket or two, so that you don't flash heaps of cash, before or after the deal is made. This is another reason for leaving the shop to go look around elsewhere; after some preliminary bargaining, you can decide how much you want to offer, and keep that money separate.

Because vendors cannot always be sure if you are really serious about buying, or about honoring any offer you make, showing your money can sometimes be productive. After bargaining a bit for something you actually want to buy, pull out the amount of your last, or next offer (without flashing more money in your wallet), and hold out the cash. Some people rise to the smell of cold cash, but most won't be rash enough to accept immediately. Still, you have shown just how serious you are about buying. You may have to put the money in your shirt and walk away, or add a bit more, but you have their respect as a genuine buyer. You can still walk out without buying anything; if they won't take your money, that's their problem.

In some situations I use the "hard buy" technique, and thrust the money right into the vendor's hand. "Yes, yes, you can take 15 quid. It's okay, see, it's good money. Take it. It's a good price for you and good for me. Go ahead, you can take it." You may or may not get into trouble if you simultaneously grab for the merchandise; that works more often for produce in the marketplace.

Vendors can often tell if you are shopping with no intention of buying. They may try (successfully) to talk you into something, but they may not appreciate shoppers who waste their time. Even if you are seriously looking to buy, the vendor may accuse you of taking advantage of him in this way; the only way to prove him wrong, of course, is to buy. A typical situation is where you are manoeuvred into spending a lot of time looking at goods that you really aren't interested in buying. "Looking is free!" they say. But the longer you stay, the more pressure they can apply for you not to "take advantage of their goodwill". If you don't want to buy, don't spend too much time bargaining, or letting the merchant show you merchandise. If you do want to buy, then take your time and don't be pressured into it.

I often tell shop merchants the truth:  "I'm not buying today. Today I'm only looking. Tomorrow (or next week when I come back), I will buy if I like." This should (but won't always) make the situation clear, allow you to look a bit without buying, learn the opening prices, and show that you are a careful, logical buyer. Jotting down some prices on the back of their business card only reinforces this impression, and if you are actually shopping methodically, it's useful anyway. It is now up to the vendor how much time he wants to waste on you, but I find that this approach sometimes seems to leave the unspoken impression that I am a professional buyer, who may be buying in quantity.

Buying in quantity is another way to get a good price, and can be used to your advantage in several ways. First of all, when you do find the perfect gift, you may decide that it really is worth buying ten or twenty of them for all your friends, and then swearing off shopping altogether. (I suggest that you get one or two and use them yourself for a few days before deciding that they really are the perfect gift.) You should hope to get at least a ten percent discount for reasonable quantities, and thirty percent is a good start. (A professional buyer would expect to get 30% to 50% discount for "large" quantities -- depending on the total value.) Of course this depends on what the base price is, and that is certainly negotiable.

Also consider the advantage of finding one shop that has several of the things you want, and negotiating a total price for all of them. You can hope to get an extra discount because $50 walking out the door should be more important to a shopkeeper than $5 walking out the door. If the goods are all the same, that's a good angle, but if you find unique items you like in different stores, give up the discount to get what you want.

If you really want to buy at least two or three of something, it is worth asking for quantity prices. Do this after the price for a single item has started to level out. I usually avoid directly lying about how many I will actually buy, but if I ask the price for 10 and get a straight answer, I can try to bargain for the same unit price on two or three. Many vendors will balk at giving any discount for only one or two items, even if they have told you their discount for ten. I may be prepared to buy ten of something for an amazingly low price, although I only want two or three. Then I feel comfortable saying so when the vendor specifically asks how many I want to buy. "If the price is good, I will buy ten, otherwise, maybe just three or five." He probably won't come down to my price for ten, but if it helps me get a little more discount on three, it seems a fair bargaining ploy. Of course, the merchant understands this as well.

If you know that you want to buy a larger quantity, you may want to start out bargaining for one, until you get the price down. Then ask if the price will go lower for three, five, and so on. You may get an incremental discount on each larger quantity. Or the vendor, thinking that you intend to only buy a few, may offer a much better price if he can talk you up to ten or thirty, and he thinks this is his idea. "Oh, no, I cannot give any more discount for only three. Now, if you wanted to buy ten, I could give you a better price." At some point, you lay your cards (and maybe your money) on the table. "Look, I want to buy twenty, and I want 30% less than what you offered me for one. Here's the money." Well, this is just one scenario, and although it represents a deal I actually made (we settled on 15% off, for fifteen scarves), it will never happen to you just like this. But it gives an idea of the many paths bargaining can take.

All arguments on both sides of a negotiation should be recognized for just what they are -- bargaining ploys, and nothing more. After a little while you will realize that most of what you hear is pure salesmanship. Indeed, in many cultures where lying is otherwise considered disgraceful conduct, perfectly "honest" vendors will feel no qualms about fabricating dozens of untruths in the line of selling. In fact, you can assume that much of what you hear is untrue. If you cannot tell the difference between silk and synthetic, everything will be silk.

The salesman may expect you, as a tourist, to take him seriously when he tells you what his actual cost is, or cries over his poor family, or explains the origin of the products. He may also appear indignant or insulted if you seem to disbelieve him, or for any one of a dozen other reasons. Don't even consider believing it. This is a very popular ploy to use with tourists, because it is well known that they cannot bear to be seen as rude, discourteous, or unfeeling. Rather, western tourists can easily be made to feel guilty about the poverty of the entire country, the economic situation of the vendor himself, and any trumped up insult or indignity that he is pretending to suffer at their hands. The only way for the tourist to escape the guilt of appearing to be rude, patronizing, unfeeling, or imperialistic, is to buy, buy, buy, whatever the vendor is selling, and at his price. This ploy works all over the world, it drives up prices, and sometimes gives us a reputation as lambs to the slaughter. Shed a little tear at truly great performances, but remember that everything you and he says is just a ploy.

That's right, as long as the vendor is putting on such a great act, you can just as well consider your side as an act itself. As long as both parties accept the negotiation as theater, you can both enjoy the ploys because it is not lying, it is acting. This doesn't mean that you should tell outlandish lies; just saying that you cannot afford the item, because you are a poor student is a good enough role to play.

It is generally inappropriate for either side to step out from behind the curtain and call the other a liar. You may show your disbelief by smiling, laughing, shaking your head, or complimenting the vendor on a fine story, but getting angry and calling him a liar is not part of a satisfactory bargaining session. Likewise, if the vendor becomes surly and calls you a liar, he is probably just counting on your guilt for fibbing. "If he gets angry at me for lying, then maybe he was telling the truth after all..." Don't believe it; he is just trying to intimidate you, or else he is fed up with your bargaining tactics. When a vendor does this to me, he has made the wrong move, because now the play is over, and I will just walk out.