My theory on Low Ballers

[Depmandog]

My response to that is "Sorry I don't negotiate with myself - make me an offer and we can go from there."

Why should I lead with my rock bottom price before the potential buyer has even made an offer?

Haha! To that my reply would be (with a laugh) "I can't buy it AND sell it"

It is a big game to me I always try to quickly find something in common with the seller (or buyer for that matter). If their kids are with them, I will tease the kids, if they have a dog - I become the dogs new best friend. Or if they have a particular hat on I will try and relate on some level. I know a little about a lot of things - and am pretty quick on the uptake.

I have found when they think - man this is a great guy - look the kids love him - it's much easier to conduct business, buying or selling. It seems to be harder for them to tell me no.

Maybe it's my honest face . I can usually get my price, but not by badmouthing their stuff. I turn it back on myself - "man, i know its worth a bit more than this, but all I can afford is this amount" all while scratching the dogs head...

Doesn't always work. Just like buying a car - I know within a few minutes if I can work a salesman or not. I look at my wife and say - cant deal with this guy and down the road we go. But from the private sector my method works pretty well.

 

[Cat_Driver]

What do you care what the guy offers as a starting price? Are you trying to sell or make a new friend? Why is a low offer an insult?

The potential buyer does not know you, does not know your circumstances etc. The buyer can always increase his offer if he really wants the item.

Who cares if you think your price is "fair?" For example, lots of guys think their motor home has the same value as their outstanding loan. They refuse to admit they are badly up side down on the value. The item is worth what someone is willing to pay and what someone is willing to accept.

Why do sellers take the view that an offer - no matter the %% of asking - is a personal insult. It's a negotiation between total strangers. Some people are good at it or lucky and often do get items for 50% of asking. That's why they offer 50%. First tractor I bought was for 50% of asking price.

If you are looking for a friend - get a dog.

Obviously you're not getting the point. As I stated my price was fair based on similar items selling locally and on e-bay, and I went 30% lower than the lowest price so that is in fact a fair price.

If something is actually selling all over the Country fo $100.00 and I ask $70.00, that's fair.

Here's my actual point, you said..."The buyer can always increase his offer if he really wants the item" Yes that is correct, BUT like I said offering a low ball price in an insult plain and simple. It's an insult to think I would entertain that offer. It's an insult because now the buyer is wasting my time.

Again my other point: Sure some MAY get something for 50% like you did, hurray for you, BUT as I stated it's a gamble to all of us as buyers that we are getting that seller mad. Mad, insult, waste of time, whatever you want to call it - it happens. You can not remove human emotion from any human transaction.

Try watching hard core PAWN on history channel. These people are masters of negotiation and selling items. They do hundreds of transaction a day. If the buyer has an "attitude" or gets the Pawn shop mad, they won't sell anything to that person at any price. I'm not any different than anyone else.

I'm not looking for a "friend" in a transaction MY POINT IS, the buyer is the one who should be looking at making me HIS FRIEND. Because he didn't make me his friend, he lost out on several hundred dollars that I would have lowered, but because he was a low baller, I never budged to get closer to his number. I could have, but I refused.

There are plenty of ways to negotiate and get to your number, low balling in my opinion is the worst way to do it.

 

[IronHog]

I had a guy come out over the week end to offer to buy some equipment from me. My price was already on the low side of what the equipment was going for, plus I told him on the phone, I knew he was driving a long distance so I'd back of that for his gas.

He agrees looks at the equipment then offers me almost 50%. I said nope. He came up to only 25% off, again I said Nope, he offered again pretty close to my price, I again said nope. We parted with no sale.

After thinking about the negotiations I could have easily took his last offer as he had cash, and was pretty close to my price, but what I realized is he ticked me off with his low ball offer.

Yes I get negotiations etc Yes, I get why not I may have gone for the low ball. But what low ballers don't get is they are insulting the seller. By low balling me he insulted me and I think at that point I knew I would not sell to him. I made it so difficult for him to buy because he insulted me.

I was fair on my original price even more fair by lowering my price without him even asking, then he has the stones to low ball me.

So I learned something both as a seller and as a buyer. Don't insult the seller. Yes business is business and don't take it personally, but human nature does kick in regardless.

Had his first offer been reasonable I would have done more back and forth and he would have gone home with the equipment. He made it impossible for me to negotiate any further, when in reality I would have, could have, but he will never know.

A serious offer with cash in hand is a serious offer with cash in hand. Why would that insult you?

 

[Cat_Driver]

I have been on both sides of the equations, as has most everybody here. If I don't really want to sell it, I ask above market and if I don't really need it I make a low offer.
The best deals are when I meet someone half way between what they want and what I think it is worth.
However, I remember when I made a guy a great deal, delivered it and his side kick started picking it apart. It made me so mad that I told him that since his partner was insinuating that I was trying to F him that I would just keep it.
As I started to load, the money started flowing...

I had the EXACT same situation. I was selling a commercial ice cream machine I picked up for $1000.00 and I accepted an offer of $800.00 as is. Then the guys partner says I should pay for a service call to make sure it's 100% working etc. I said nope it's $800.00 as is because it's worth a lot more. They first guy called back and apologized and again wanted it at the $800.00. I said nope not interested, because your partner jerked me around.

I put it on Ebay and got 4K for it a week later.

 

[joshuabardwell]

The standard protocol is for the seller to offer the sale to the first buyer and pass on other buyers (or ask them to wait). If the initial buyer indicates they will buy and the seller waits for any significant amount of time (could be days), and then the buyer offers 50%, it is not right. The seller could have sold the item to other prospective buyers. I know I have been called up by sellers after they told me they had a buyer and they got low balled. Unfortunately for both of us, I had found what I wanted elsewhere. I can understand if there are conditions not equal to the description, but if not, the low ballers are wasting the seller's time and potential sale.

Thank you very much. I have been amazed at how many people (buyers usually) don't get this. It's one thing if the product is sitting on a dealer's lot, and anybody can come and buy it at any time. Lowball him! You've wasted five minutes of his time and you're on your way. But if I hold an item for you, just so you can offer me 50% of what I think is a fair price for it, when I could have shown it to several other people who might have been willing to pay me close to what I'm asking... that's just rude.

 

[greasemonkeyok]

I understand Cat_Driver's point. If you offer an item for sale at a price that you know is a good price for the buyer relative to the market, then a low-ball offer is an insult to the seller if the buyer is savy and also knows the market. Usually that type of buyer is probing to see if you are desperate and if you are, to see if he can take advantage of you. It's a pawnshop operator's mentality called chislers. I like the idea of saying to those types "I know someone is going to get a good deal at this price, but your not."

If it is not a good deal for the seller and a good deal for the buyer, it is not a good deal.

 

[timster2]

I had a deal in the opposite direction. I bought a storage unit, kinda like storage wars on tv, that was filled with the remnants of someones vending machine business. There were thousands of little toys in the little plastic containers like you see at the entrance to stores like Walmart etc. I put the stuff up on eBay by the box with the weight of each box, I didn't count how many toys were in each box just weighed them.

Two buyers get into a bidding war and bid the stuff up to $75 for a box of toys. When I get the email from the winning bidder I told him he payed way too much for the toys. I was looking to get $25 or so for a box, they had about two hundred toys per box. I told the buyer if he payed the postage I would give him three boxes for that price. It was a church buying the toys for their Sunday school classes for the little kids as rewards for their studies. They were happy and took the three boxes. A month or two later they send me an email and asked if I had any more and bought fifteen more boxes at $20 a box.

I just could not justify taking the guys money just because he made a mistake and bid the auction way too high. In the end it worked out I got rid of some fifty boxes of toys.

 

[murphy1244]

This is what I did. I was selling a car for cheap, I mean real cheap like 200.00 in 1980. I just wanted the space back. A buyer answered my ad, 1st buyer and offered 75.00 for it. I mean the car was not great but ran and even passes AIMS test. I looked at him and countered 250.00. He said my starting price was 200.00. I said yes but you went down to 75.00 so I can go up. He ended up buying the car for 200.00 and all the extra parts I was going to throw in I put in the trash.:laughing:

 

[deezler]

He ended up buying the car for 200.00 and all the extra parts I was going to throw in I put in the trash.:laughing:

That's... a terrible story. Throwing good parts in the trash after he paid your asking price? Bad karma, dude.

I have to admit I occasionally fall into the low-baller category. But it is always a well thought out maneuver, and I do typically admit to the offer being low. I even often apologize while I am doing it, and just honestly state that, sorry, I don't have much money right now, but I need product A, and yours looks great. Would you take XX dollars for it? If you lowball with an arrogant style, that's a lot different than an honest admission of need to start with a low offer.

I have missed out on a lot of goods due to firm sellers, and watched many of their things sell at or near asking price. Good for them! I don't feel like I insulted them or wasted their time whatsoever just because we had an honest discussion via a 1 minute phone call or 4 sentence email exchange.

On the flip side, when I see something priced at what I know is a steal, I would never think about a lowball offer. Just go grab it before it's gone! I have even paid people above their asking price on several occasions, when it is clear they didn't know how good a product they really had, or if they went out of their way to help me with the sale (driving to meet closer to me, for example).

 

[CinderSchnauzer]

Obviously you're not getting the point.

BUT like I said offering a low ball price in an insult plain and simple. It's an insult to think I would entertain that offer. It's an insult because now the buyer is wasting my time.

There are plenty of ways to negotiate and get to your number, low balling in my opinion is the worst way to do it.

What makes you think I'm "not getting your point?" Your point is an opinion, not a fact. It may be "plain and simple" for you however, other people may not be as easily insulted as yourself. To suggest something is "plain and simple" infers it is a universally accepted practice or fact.

I am not insulted when someone offers less. I don't treat the negotiation as personal. That is a fact.

Just because I offered a different opinion than yours doesn't mean I don't understand what you were saying. I simply offered an alternate view.

Think about it for a moment. You started a thread based on your opinion of something. Did you expect everyone to agree 100% Do you expect that those with differing opinions will change theirs just because you tell them they are "not getting the point?"