You're about to negotiate a partnership. What should you keep in mind?

This is not just about knowing your goals, but knowing your partner's goals too. There is not success if the partnership is built on a one way street. Alignment is a key word here. In partnerships you absolutely have to go in with a two way mindset, or it will almost certainly fail. You cannot start a partnership if you or the other party just want something. You have to find out and act upon the needs of the 'partner'. You have to employ a giving-first. Do not assume that everything you do will come back, nor will make you money. It' is a tough place to be... especially if you have always been simply transactional. Partnerships are long term strategies, not short terms tactics or transactions. This is a long game.

When negotiating a channel partnership, remember a few important things. First, make sure your goals match up with your business plan. Then, figure out what your partner needs and wants, so you both benefit. Keep communication clear and honest to build trust. And don't forget to be flexible and willing to give a little to find a deal that works for both of you.

Make sure there is an exit strategy, in case one partner dies or one just wants out. It can be difficult to get clients to think about this eventuality, but they'll pay dearly later if they don't.

Having clarity about your brand's goals and strategy for a specific market, industry vertical, or niche, into which you're actively recruiting partners, ensures success by focusing on those partners that can bring the most value.

In my experience, entering negotiations without a clear set of objectives is like navigating without a compass. For EasyWeGo, every partnership discussion begins with a deep internal analysis. One time at work, we were exploring a partnership with a major telecom provider to enhance our cellular data management solutions. We meticulously outlined our goals, focusing on improving connectivity for our users while ensuring affordability. This clarity allowed us to confidently articulate our needs and identify potential compromises. By understanding our priorities, we could effectively negotiate terms that aligned with our mission to provide seamless services to international travelers.

When entering into a partnership negotiation, it is crucial to have clear goals in mind. Define what you want to achieve and consider the benefits, risks, and alignment with your vision, mission, and values. Understand the goals and expectations of the other party and remain calm and rational throughout the process. Be prepared to walk away if the deal does not meet your requirements. Aim for a win-win outcome by creating value for both parties. Actively listen to understand the perspectives and concerns of the other party. Treat the negotiation as a partnership of equals, ensuring that both parties feel valued and respected. By keeping these principles in mind, you can increase the likelihood of reaching a favorable agreement.

Determine motivation factors such as customer stickiness, increased ARPA or ARPU, helping to penetrate a new market like region or industry, even brand awareness

Before entering into a partnership negotiation, it is essential to research your potential partner. Gain as much knowledge as possible about their goals, strengths, weaknesses, and expectations. Understand their motivations, challenges, and how they operate and communicate. Familiarize yourself with their cultural and ethical norms. Conducting thorough research will help you understand their perspective, anticipate their needs, and build rapport and trust. By being well-informed about your potential partner, you can approach the negotiation with a deeper understanding and increase the chances of a successful partnership.

Talking to their current customers is a plus, if you get a chance to do so. The process to know and understand a partner prospect goes beyond their presentation skills and public presence.

One thing that has consistently proven beneficial is thorough research on potential partners. Before initiating talks with a local transportation company, we dedicated time to understanding their operations, market position, and challenges. This insight was invaluable during negotiations, as we could tailor our propositions to address their specific needs while aligning with our integrated local transportation management solution. By demonstrating our understanding of their business and industry, we built trust and rapport, making it easier to navigate discussions towards a successful partnership. This approach not only facilitated smoother negotiations but also highlighted our commitment to creating value-driven collaborations.

Trust, commitment and factual sharing of both possibilities winning and losing. Respecting each other's views and risks. Partnership should be viewed as long term association, communicate and explicitly mentioning intentions. Agreement is crucial for smooth and far sailing.

When preparing for a partnership negotiation, it is crucial to plan your strategy. Start by considering how you will approach the negotiation and identify the key issues and opportunities at hand. Visualize the best and worst-case scenarios to be prepared for different outcomes. Develop strategies for handling conflicts and objections that may arise during the negotiation process. Focus on creating value and seeking mutual benefit for both parties involved. By planning your strategy, you can structure the negotiation effectively, avoid surprises, and adapt to changing circumstances. Remember, a proactive and well-thought-out strategy increases your chances of achieving a successful partnership negotiation.

Draw a line: list your benefits on one side and theirs on the other. Analyze shared points thoroughly, leveraging them for advantage in the conversation. Begin with these shared advantages. Similarly, identify challenges on both sides and utilize the right opportunity, swiftly address your own before they're raised. While negotiation aims for mutual understanding and satisfaction, prioritize improving your own position first for maximum benefit.

Planning a negotiation strategy has been a cornerstone of our approach at EasyWeGo. Reflecting on a past negotiation, we identified key issues and opportunities that could arise and devised a flexible strategy to address them. This preparation was crucial during a negotiation with a payment wallet provider, where we anticipated their concerns about transaction security and user adoption. By having a strategy in place, we could present data-backed arguments and innovative solutions, such as implementing enhanced security features and joint marketing efforts to increase user trust and adoption. This strategic approach allowed us to address potential obstacles proactively and foster a collaborative atmosphere during negotiations.

As always, communication is key to a successful engagement. The challenge is to align into a mutually beneficial relationship and deliver on it as quickly as possible.

Effective communication is vital. A memorable instance was when negotiating with a potential partner, we focused on clear, respectful dialogue. By actively listening and addressing their concerns, we fostered an environment of mutual respect. Our communication extended beyond verbal exchanges; we used presentations and demos to showcase how our integrated app could benefit their customers. This approach not only clarified our propositions but also demonstrated our commitment to transparency and collaboration, laying the foundation for a strong partnership.

Active listening is a key part of effective communication between partners. I believe that any organization that works in partnership should train their key partnership staff in active listening. We often focus on our objectives and are eager to clearly formulate what we intend to achieve, but we should always start by listening to our partners' representatives and then try to repeat/summarize what they said, to ensure that we understand their position before we start explaining our own. If there is ambiguity where you need clarity, ask the right questions. Do not make any assumptions, assumptions are the mother of all failure.

O que eu costumo fazer em todas as parcerias é praticar a empatia. Assim como eu tenho alguns interesses naquela relação, a outra parte também tem. Me reconhecer, enquanto também me coloco no lugar do outro e o compromisso pessoal de que "todos podem ganhar" me ajudam a equalizar os sentimentos que vão aflorando antes, durante e depois dessa negociação.

Managing emotions is crucial during negotiations. Once, emotions ran high when a disagreement surfaced regarding data sharing protocols with a potential partner. By remaining calm and professional, we navigated through the tension, proposing a phased approach to data sharing that addressed privacy concerns while still enabling functionality. This solution was a result of not letting emotions dictate the course of negotiations but rather focusing on constructive outcomes. Maintaining emotional intelligence helped preserve the relationship and eventually led to a successful partnership.

This is a critical moment of the partnership and you need to capitalize on it. Until this point, it's been a slog getting the contract finalized after legal revisions and negotiation, which aren't all that enjoyable for anybody. This is the opportunity to focus on driving positive action now that commercials are straightened out. Start putting plans in place that are centered around partner activation and in-line with your goals and objectives for both parties. Prioritize accordingly and keep each other accountable.

Following up after initial agreements has been key to solidifying partnerships. After agreeing in principle with a service provider, we meticulously reviewed and finalized the contract details, ensuring both parties' expectations were clearly outlined and met. This diligence in the follow-up phase not only cemented the partnership but also set the stage for a collaborative and transparent relationship moving forward. Regular check-ins and updates post-agreement have been instrumental in maintaining a healthy partnership dynamic, ensuring that both parties remain aligned and committed to our shared objectives.

Monitoring and evaluation are key for a successful partnership. Establishing clear criteria for M&E, reporting lines and communication channels are important for implementation, which should always be flexible and adaptable in accordance with feedback from implementation.

Beyond the negotiation table, understanding and adapting to cultural nuances has been an enlightening aspect of our global expansion. One story that stands out involves negotiating with a partner in a country where business discussions traditionally follow a more formal and hierarchical protocol. Recognizing and respecting these cultural practices, we adapted our approach to align with their expectations, which significantly improved the negotiation process and outcome. This experience underscored the importance of cultural sensitivity and adaptability in international business negotiations, reinforcing that successful partnerships are built on more than just mutual interests—they're also about mutual respect and understanding.

What does the priority of the relationship look like for both parties? Is the relationship equally important to both organizations, or is there a power imbalance? Is one organization or the other engaging for convenience, or is it a critically important motion for them as a company? Identify and be realistic about potential power imbalances in the relationship and negotiate accordingly.