In light of the current credit crunch, more British adults are choosing to haggle over the price of goods such as cars and televisions, though many are still not prepared to negotiate over financial products, according to? research by Experian’s CreditExpert.co.uk.
Fully 57% of British adults say they are now more likely than they were 12 months ago to try negotiating a discount on an advertised price -?likely because of fears of an economic downturn and the rising cost of everyday goods and services, the study said.
The research investigated the situations in which respondents would feel comfortable negotiating prices. It found that almost half of those questioned (47%) are prepared to ask retailers for a better deal on everyday goods and services, while only 16% are prepared to negotiate a deal on loans and other financial products.
“Because many people don’t understand financial products in the same way they do consumer goods, they lack the confidence and know-how to be able to get a better deal,” said Jim Hodgkins, managing director, CreditExpert.co.uk. “Reviewing and understanding your credit status can put you in a stronger position as lenders will sometimes give the top rates and deals to those with the best credit ratings.”
- Men are better at haggling: On average, women saved ?217 on a single product by bargaining, but men saved an average of ?343 each.
- More than three quarters (77%) of the population believes that confidence is key to walking away with a better deal.
- More than a third (38%) of those questioned had successfully negotiated a better price for a new car and 60% felt comfortable asking for a better deal on home entertainment products, such as TVs or stereos, from a technology retailer.
- More than half (57%) of respondents consider themselves good at getting a bargain or negotiating for a better price.
- Those living in Eastern England have the best negotiating skills. Two thirds ( 66%) claim that they have great negotiating skills and 67% are more willing now than a year ago to try to get a bargain. This figure is 10% higher than the national average.
- Those living in the North East of England are not as successful when it comes to haggling for goods. While 87% of those living in the North East believe that confidence is the key to getting a bargain, they are not as willing to attempt to negotiate. More than a third (38%) believe they have poor negotiation skills, two-and-a-half times the national average of 15%.
The study also found that the young are the most confident when it comes to negotiating, with 63% of 18-24-year-olds confident that they are good at haggling. When questioned further, however, it appears they are the least likely to bargain successfully and achieve the lowest average reduction in price for a single product of ?171 – or ?115 less than the national average. In contrast, those age 45-54 are the most successful negotiators, making an average saving of ?362.83 on a single transaction.
About the survey: Results are based on a survey of 1,040 adults that examined negotiation behavior and changes in haggling skills in the last year.