Introduce competition effectively during negotiations by presenting alternatives that provide similar functionality. Clearly articulate that the competitor's pricing is considerably lower, which requires that the Black Kite proposal aligns better with your budget. Highlight any added value that the competitor offers to strengthen your bargaining position.
Negotiate against any proposed price increases (uplifts) by referring to your budget constraints and past agreements. Emphasize that the expectations are for stable or reduced costs, particularly if your usage remains consistent. This tactic can significantly lower the total contract value.
Communicate the importance of having manual control over contract renewals. Emphasizing the need to remove automated renewals to maintain flexibility will help position you for better terms in future negotiations. Buyers have successfully used this tactic to enhance negotiation leverage.
Offer to engage in a case study or act as a reference for Black Kite in exchange for pricing concessions. This tactic can be valuable as it not only showcases your commitment to the vendor but also provides them marketing value, which can be reciprocated through discounts.