Commercial Growth

Sales negotiation warning signs: when to review the deal

5 mins read

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KEY TAKEAWAYS

  • Review a negotiation when concessions keep growing but the buyer's decision, scope or commitment isn't getting any clearer.

  • Find out whether the buyer is questioning price, scope or value before you offer anything. Each one needs a different answer.

  • Decide what a concession is meant to achieve before you agree it, and whether to ask for something in return, such as a firmer scope, a longer term or a date the buyer commits to.

  • Check who on the buyer's side can agree the trade, and whose deadline is driving the pressure to concede.

  • Fill in a short decision record before approving a concession, so the decision rests on evidence.

The most important of the sales negotiation warning signs is movement on one side only. If your team keeps conceding while the buyer's decision, scope or commitment stays as vague as before, stop and review the deal before the next offer goes out.

None of these signs proves the deal is lost. They are prompts to check the facts, so a manager can decide what the next concession should buy, or whether to make one at all. This article covers the commercial terms of a live negotiation. If the buyer has gone quiet altogether, the signs of a stalled deal are a better place to start.

Five sales negotiation warning signs that call for a review

  1. Concessions only go one way. Your offer improves each round, and the buyer gives nothing back.

  2. The scope keeps moving. New requirements arrive after price has been discussed, and the original scope is never confirmed.

  3. Approval is unclear. Your contact needs to check with someone else, and nobody can say who can agree the trade on the table or what they need.

  4. A deadline is driving the discount. The pressure to concede comes from your quarter end, while the buyer's own need is months away.

  5. Value is unresolved. The buyer compares your price with an option that does something different, and nobody has tested the comparison.

Harvard's Program on Negotiation lists two of these among the hard-bargaining tactics to watch for: a counterpart who claims to lack the authority to agree, and a request that you concede before they make a counteroffer. It suggests testing whether such claims are real. Treat these signs the same way. Ordinary procurement can look tough, and one behaviour doesn't tell you the buyer's motive, so check the substance before you react.

Is the buyer questioning price, scope or value?

Ask before you offer anything, because the three need different answers.

  • Price. The buyer accepts the value but can't fit the cost into a budget or an approval limit. Options include phasing, payment terms or a smaller first scope.

  • Scope. The buyer wants more, or less, than you proposed. Reprice the new scope instead of discounting the original one.

  • Value. The buyer isn't convinced the outcome is worth the cost, or is comparing you with a cheaper option. Lowering the price may still leave questions about fit or outcomes unanswered, so find out what the doubt is before you choose a response. That may mean going back to the problem, the evidence and the business case.

For the same scope and volume, a discount lowers the value of that deal, and average deal value is one of the four drivers of sales velocity.

What should a concession buy?

Decide what a concession is meant to achieve before you make it. Deepak Malhotra, writing for Harvard's Program on Negotiation, advises making it clear that a concession is costly to you and asking for reciprocity. Especially when trust is low, he suggests making a concession contingent on a specific concession from the other side. A goodwill concession can still be the right call, as long as it is a deliberate, approved choice.

Things you might ask for in return include:

  • A firmer or larger scope, or more volume.

  • A longer contract term.

  • Better payment terms.

  • A decision date the buyer commits to.

  • A meeting with the person who approves the deal.

Anything you trade has to sit within your own company's commercial and legal limits. Contract terms go to the people authorised to agree them.

What a manager should check before approving a concession

Use a short decision record, so the decision and the reasons for it are written down. The fields below are illustrative, so adapt them to your own approval process.

  • The buyer's request, in their words.

  • The commercial impact: price, margin, scope and any precedent it sets.

  • What the buyer gives back.

  • Who on the buyer's side can agree this trade, and whether anyone on your team has met them.

  • Whose deadline is driving the request.

  • The internal owner of the decision.

  • What is still open, with the next action and a date.

If the record has gaps, fill them with the buyer before you make another concession. Our guide to sales process stages covers the buyer evidence a deal should have before it reaches this point, such as an agreed decision process.

If the team needs help preparing for those buyer conversations, our guide to sales coaching for complex deals covers how to choose and test a coach.

Where Merlin5 can help

Negotiation, executive engagement and commercial conversations are part of Merlin5's sales execution enablement, alongside qualification, opportunity management and forecasting.

Where to start

  1. Pick one live proposal where the price has already moved.

  2. Fill in the decision record with the account team.

  3. Rehearse the next buyer conversation, including what you will ask for in return.

Frequently asked questions

Is a request for a discount a warning sign?

Not on its own. Discount requests are a normal part of many B2B sales. A request becomes a warning sign when concessions only go one way, or when it isn't tied to a clear decision.

When should a manager join the negotiation?

Join when the buyer's approver is senior, or when the concession is outside the seller's authority. Agree beforehand what you will and won't trade, so the manager adds authority instead of another discount.

How do we avoid discounting at the end of the quarter?

Check whose deadline the deal depends on. If the buyer's need is later, a discount at quarter end buys you timing, so ask for something in return, such as a committed signature date and a confirmed scope.

Sources

  1. Deepak Malhotra, "Four Strategies for Making Concessions in Negotiation", Program on Negotiation, Harvard Law School, page dated 14 October 2026. https://www.pon.harvard.edu/daily/negotiation-skills-daily/four-strategies-for-making-concessions/

  2. Luis Reyes, "10 Hard-Bargaining Tactics to Watch Out for in Negotiation", Program on Negotiation, Harvard Law School, page dated 15 October 2026. https://www.pon.harvard.edu/daily/batna/10-hardball-tactics-in-negotiation/

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WRITTEN BY

Chris Thomas

© 2026 Merlin5

© 2026 Merlin5