Tips on How to Haggle

Bargaining is vital to a stable economy. It promotes competitiveness. Especially when you're shopping as a tourist in a foreign country, most places will allow haggling and bargaining. Here are some tips on how to get the goods you want for the price you want.

Know the market price.
If you want to buy something, you need to know how much the going price around the area is. Do some research, or try to listen in on other people's conversations. In order to make a good checkpoint for yourself, you need to know just how much other people are buying and selling the item for. If you just ran in blindly, you'll probably either get jipped, or you'll ask for a price that's way too low. Which leads to the next point.

Start low.
A merchandiser who is selling goods never sets his or her prices at the amount he or she thinks you'll pay for. If you automatically buy something at a price they set, you lost out. Big time. Night markets and such are places where the seller is free to set a price. They will usually set it 3 or 4 times what the market price is.

Whatever you do, start out low. Lower than you expect to get the item for. Most likely you two will eventually agree on a price in the middle, so don't be disappointed when you didn't get it for as cheap as you wanted. Everyone has to do business. Either way, when you start out with a huge chop in price, your seller knows that you're here to do business. But remember never ask for a price that's so low that you not only disrespect the seller, you make yourself look stupid. Forget about buying there again.

Be calm.
It's a bit like poker. You're trying to bargain for something, so you need to know when to show weakness (or feign it) and when to be aggressive. If you make any movements that show you're nervous or embarrassed, your salesperson will know that he's almost got you in his trap. Either that, or don't expect to get anything for cheap.

Only if you are determined sharp, and coolheaded can you come out with a bargain. Showing weakness is a definite sign that you've got the lower hand. If you're flustered, something isn't what you say it is, and your seller will easily figure it out. C'mon, he does this for a living.

Be charming.
I usually like to do this if my seller is a girl. Don't overdo it, but make it so that you're funny, smart and willing to give yourself the upper hand. Being funny and witty will in effect lower your seller's defenses, meaning you can find the right time to move in and ask for a lower price. And if your seller likes you, he or she just might agree.

Don't expect to always get your item.
Be ready to walk away emptyhanded. Each seller is different, and it just so may be the case that you run into someone who is unwilling to budge. Or even if they do, it's not enough to satisfy you. Then leave. If you decide that you really want what you're bargaining for, then you have to accept a higher price. Most of the time, it's really a tradeoff between how much you're willing to pay and how much you want the item. It all depends on how much you want it, but don't be frustrated if you think you can get a better deal elsewhere. Put it down and leave.

Cash does wonders.
First of all, if you're bargaining or haggling for something, you should be paying cash for it regardless. If you deem that you've agreed on a reasonable price but your seller refuses to accept, it's most likely because they're just playing hard to get. Take your cash out, put it in their hand, and take the product and leave. If you did it correctly (made a REASONABLE price that you think is cheap and won't upset the seller), you usually can walk away. They're just protecting their ego.

Always make sure you are willing to pay.
If you aren't really willing to pay for an item even if you reach a certain agreement, aren't you upsetting your seller? Never, ever, start haggling on an item unless you plan to buy it. It is common courtesy that you purchase the item once you agree on something. If, halfway through, you feel that you don't want it anymore. You can try to push the price lower, and you can leave that way. But if you don't plan on buying something, you'll only be wasting both sides' time.

"Threaten" to go somewhere else.
Vendors need business, and they know that there are plenty of other places with the same products they have to offer. If you aren't really getting a good bargain feel on, then tell your vendor that you are going to "look around some more" or "go to another vendor." This tactic will make them feel insecure, hence forcing them to shift towards your price.

Be polite and have fun.
After all, you're just haggling in order to have some fun and get some cheap goodies. If all else fails and you really need an item, you can just go to a store anyways. Never get angry, because you'll start arguing, something that only makes you look stupid. It's a bit of a chess game, so learn how to play it and make some new friends (or enemies) along the way.