Concessions and Counter-Concessions

I’m a copywriter, author, writer, ghostwriter. I get PAID to write. Being a soft-touch and liking to see people do well, I often offer a discount or even do small jobs for free. I am always shocked at how the “free” jobs or discounted jobs are treated as “not worthy” or respected as much as the full fee jobs. It pissed me off. I did a friend or even a stranger a favor after hearing their hard-luck story and I was taken for granted or even asked to write for free or less AGAIN!!
I’ve noticed that people DON’T value things you give them for free. They’ll take it, but the next time around they resent you trying to charge them. You’ve trained them that they can get something from you for free. People, as a rule DO NOT respect you for giving them free stuff. It’s very, very rare for someone you’ve done a lot of favors for to actually start paying you for the work. The person you offer something free to who resists and wants to pay or trade you for your time RESPECTS you and YOUR TIME and talents. They are GOLDEN. Hang on to them. They appreciate you!!
So, today I got a great post from Michael Fortin, also a successful copywriter. He addressed this issue - which is common to anyone in the service industry, but more so to anyone in a creative field. He said:
“The customers who are willing to pay you the least will always demand the most.”
That’s true. What else is true is his explanation about “counter-concessions.” He says:
“Never make a concession, even if it’s as simple as a discount, without asking for one in exchange. Call it a “counter-concession.” This is nothing new. Most of the top negotiating experts out there, like Roger Dawson and Herb Cohen for instance, teach this.
This is an important concept to grasp, even if they’re friends of yours: the perceived value of the service depreciates immediately after the service is rendered.
Why is this important? For one, if the copy doesn’t do as well as expected, who cares if you did it for free? (Your client certainly won’t.) But it goes further than that.
If all you had were rights to the copy and it did perform well, and if anything should happen between you two, would you ever consider stopping your friend from using your copy? Even to the point of sending them a cease and desist, or taking legal action?
Friendships notwithstanding, would you be willing to work twice as hard trying to satisfy an insatiable client when you could be working on other, better, paying clients?
It’s something to think about.
Asking for a larger concession before work starts helps to stop the potential grinding-away process after the copy is delivered. If they try, then each time they ask for a concession you in turn ask for one. Always ask for a counter-concession. Always.
Plus, by asking for a substantial concession in the beginning, you also increase the perception that each counter-concession you will ask with each one they request from you will be just as large, which will force them to think twice before nibbling for more.
If they are demanding (and cheap clients usually are), ask yourself:
“Am I prepared to do two to three times the work, deal with a high-maintenance client, and divert my attention away from other, paying clients (let alone away from marketing my services in order to find better clients), for a mere addition to my résumé?”
On the other hand, making a balanced concession — giving a discount instead of doing it for free, for example — will increase your perceived worth. And a good way to do this is to raise your fees. Raising your prices is not just about increasing perceived value.
By raising your fees and giving a more substantial concession will allow you to ask for a larger concession from them in return. So ask for something upfront, even if it’s little.
Say: “I understand this may be out of your budget range. In exchange for a special consideration (a discount), may I suggest (whatever concession you want them to make).”
Even better, let them make their counter-concession for you. They might surprise you, as it might be a lot more than you anticipated. Say something like: “In exchange, what can you do for me?” Then let them tell you what they’re prepared to offer you in return.
(Incidentally, doing it this way also gives you a pretty good idea of what they think of you, and how much value they place in your services and your copy.)
Ultimately, your copy no longer becomes the object of the tradeoff. Your consideration — e.g., a discount or whatever concession you’re making — is. Apples to apples.
Also, don’t limit yourself to a discount. You can offer a bonus (such as an extra revision, free of charge), an extra consultation, an extended guarantee, an add-on service (such as writing the opt-in page copy, formatting, or even testing the copy), and so on.
That’s why the key is to breakdown and denominate each component of your service — from research to revisions. In other words, give each component a price tag. Sure, give a flat rate. But break the project down into individual parts, with individual values.
Not only will each element have a price tag, which can be used in the negotiation, but also it will help to justify your higher fees. It will seem less “pulled out of thin air.”
When a prospect sees the value behind every individual component, they also get a better appreciation of what you do, how you price your work, and how much they are truly getting if you were to concede on any one of those elements.”
Excellent article. Please stop by and read the entire thing. It’s not just great for creatives or small businesses who must deal with customers wanting something for free or a discount. It’s for dealing with friends who are constantly wanting/needing something. If you’re co-dependent, or struggle with boundaries, it’s worth reading and thinking about. I’m definitely a recovering co-dependent. I tend to give and give a lot. I give to the point it hurts ME. I don’t get a life or have a life because I’m caring and doing for others before caring for me.
That might sound selfish, but it’s not. Remember the old adage about putting on your oxygen mask BEFORE putting on your child’s mask if a plane loses pressure? The idea is that you can’t take care of your child if you pass out from no oxygen because you tended to them first. With your oxygen mask on you have the resources (air) to do MORE for your child and possibly others. But you have to take care of yourself FIRST.
I’m working on taking care of myself first right now. And that involves saying “No,” to some people and to some clients and to many friends. After reading Michael’s post today I realized there are other options - and that counter-concessions can be not only a great way to determine if (1) a friend, client or co-worker is willing to reciprocate because they value the relationship and just don’t have the money/time and truly want and need your services; or (2) they really just DON’T WANT to pay/help/trade/work with you and are only intent on using or manipulating you because they think they can (they have in the past).
Counter-concessions are a way of eliminating dead-beat clients and friends and of helping you decide what your boundaries and needs are. It’s healthy. Very healthy. Not only do you get the value you deserve (through barter or concessions), but the other party gets and respects what they want/need from you. It strengthens an honest relationship to do this. Very appealing.
If you’re not a business person, apply this to your LIFE. If a friend always wants you babysitting their kids, watching their pets, picking up stuff at the grocery store they forgot, or volunteering for their cause or organization, try counter-concessions. Like, “I’d love to sit at your bake sale table all weekend. But I need help at my road race in two weeks. I’ll do your event if you’ll do mine.” I’m not saying counter cessions are needed on everything - but they are needed if you’re feeling taken for granted, abused or used by someone who is always asking and never giving.
Even if you don’t exchange hard money, there’s “emotional currency” in effect in all relationships. That emotional currency consists of helping each other, supporting someone, and being a friend. If someone has done a lot for you, their account may be substantial - so when they call and ask for a favor, you’re glad for the chance to reciprocate. It’s the balance and dance of relationships - the give and take of friendship. It’s how we keep from resenting, or even hating someone we care about - boundaries and counter-concessions - they’re golden.









