give–get trade

Also called: give-get, concession trade, trading concessions

A negotiating rule: every concession the seller makes (a lower price, longer payment terms, extra scope) is traded for something of value in return, such as a longer contract, more volume, prepayment or a published case study. A concession given for nothing teaches the buyer to ask for more.

A give–get trade is a negotiating rule: every concession the seller makes is exchanged for something that is worth at least as much to the seller. A lower price for a larger volume, longer payment terms for a longer commitment, extra scope for prepayment or a named reference. The sentence that carries it is "we can do that if you can do this".

The rule protects both sides. For the seller, it stops margin leaking away one "small" concession at a time, and it teaches the buyer that terms move only when something else moves too. For the buyer's negotiator, a trade is easier to defend internally than a discount granted for nothing: they can show their own management what they won and what they gave.

To trade well, put a number on what is being asked before answering (what a discount or longer terms cost you), know what the buyer can give that has real value to you, and follow your approval rules so larger concessions need more senior approval and a bigger give. Offer choices in writing, such as list price on standard terms or a small discount for a longer commitment, and put the agreed trade into the contract. Trades replace pressure: no invented deadlines, no imaginary bosses, no fake competing offers.

Example

Klasna for Teams' approval matrix ties every discount to a give: 3% (Marta, head of Teams) for a 6-month commitment, 5% (Marta) for 12 months and a reference, 10% (Leo and Hanna) for 12 months and quarterly prepayment; 20% is not offered; terms beyond 30 days need Hanna.

Veloria's procurement asks for 20% off and 60 days on 3,600 lessons a year. Two trades Klasna could offer, at a 24% annual cost of money:

Option	What Klasna gives	What Veloria gives	Cost to Klasna a year
A	60 days, price stays 800	12-month commitment	4 × 14,202.74 = 56,810.96
B	5% off (760), 30 days	12 months and a reference	3,600 × 40 = 144,000
Request as asked	20% off and 60 days	nothing extra	576,000 lost contribution plus the cost of the 60 days

Klasna chose A: Veloria gets the payment terms its finance team needed, Klasna gets a year of commitment, and the price on every invoice stays 800 UAH. For Cobalt, the written choice was "800 on 30 days, or 776 with a six-month commitment".

Common mistakes

Answering before costing the request. Work out what the discount or the extra days cost you first.
Asking for gives that are worth nothing to you. A "reference" nobody will ever call is not a trade; pick gives with real value.
Bypassing the approval rules. Bigger concessions need more senior eyes; "I can't approve that alone" is true, not a trick.
Bluffing instead of trading. Invented deadlines and bosses get found out; a real trade gives the buyer a reason they can explain.
Leaving the trade in an email. Write what was given and what was received into the contract.

Learn it in the course

Discounts and give–get trades · How much extra volume a discount needs to pay for itself, why longer payment terms are a hidden discount, what to ask for in return, and who approves what.