How can you build a successful vendor relationship in a virtual environment?

1 Set clear expectations

Before you start negotiating with a vendor, you need to define what you want from them, what they can offer you, and what are the terms and conditions of the agreement. This will help you avoid misunderstandings, conflicts, and delays later on. You should also communicate your expectations clearly and consistently throughout the negotiation process, using written contracts, emails, and video calls.

2 Establish rapport and trust

One of the biggest challenges of negotiating in a virtual environment is building rapport and trust with your vendor. You can't rely on body language, facial expressions, or physical proximity to convey your emotions and intentions. Instead, you need to use other strategies, such as showing interest in their background, culture, and values, expressing appreciation and recognition, and sharing some personal stories or experiences. You should also be respectful, honest, and transparent, and avoid making assumptions or judgments.

3 Adapt to different styles and preferences

Another challenge of negotiating in a virtual environment is dealing with different styles and preferences of your vendor. You may encounter cultural, linguistic, or technical differences that affect how you communicate, persuade, or resolve issues. You need to be flexible and adaptable, and adjust your approach according to the situation and the person. You should also be aware of your own biases and blind spots, and seek feedback and clarification when needed.

4 Collaborate and co-create solutions

The best way to negotiate in a virtual environment is to adopt a collaborative and co-creative mindset, rather than a competitive or adversarial one. You should aim to create value for both parties, and find solutions that meet your mutual interests and needs. You should also involve your vendor in the decision-making process, and solicit their input and suggestions. This will make them feel more engaged, committed, and satisfied with the outcome.

5 Manage conflicts and challenges

Even if you follow the previous tips, you may still encounter conflicts and challenges in your vendor negotiation. For example, you may face technical glitches, misunderstandings, delays, or disagreements. You need to be prepared and proactive, and address these issues as soon as they arise. You should also maintain a positive and constructive attitude, and focus on the problem, not the person. You should also use effective communication skills, such as active listening, empathizing, and reframing.

6 Maintain and nurture the relationship

The last tip for negotiating in a virtual environment is to maintain and nurture the relationship with your vendor after the negotiation is over. You should follow up with them regularly, and monitor their performance and satisfaction. You should also provide feedback, support, and recognition, and celebrate the achievements and milestones. You should also look for opportunities to grow and improve the relationship, and explore new ways to collaborate and create value.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?