How To Haggle

Travellady Magazine ^TM

How To Haggle

Bargaining Tips for the Uninitiated

by Treva Braun

It’s my second day in Jerusalem and I’m desperate for a pair of leather sandals. The $10 Pay Less shoes I’m wearing don’t have a natural fiber in them, and in 90° weather … well, let’s just say the foot juice is getting to me.

I venture inside the gates of the walled Old City (a vast maze of markets with vendors selling goods of all descriptions) bound and determined to relieve my feet of their manmade misery. In my desperate state, I could easily have been duped into paying too much for new shoes. But I’ve been here before. Not to this market, of course, but to scores of others just like it around the world. And if there’s one thing I’ve learned, it’s how to bargain.

I wind my way through the narrow, crowded walkways, passing colorful fruit and vegetable stands along the way. A potpourri of smells made up of everything from baked goods to pungent spices and fresh herbs wafts by me and fills my head with thoughts of mealtime. I consider stopping to pick up some things for dinner, but my feet veto the idea, at least until the first item on the shopping agenda has been completed.

I round a corner and spot a shoe stall with a pair of brown leather sandals that fit the bill perfectly. Before I can ask “Kama ze o’le?” the shop owner takes my arm, ushers me inside the shop and assures me that he has the best prices in town. I smile and give him my best must-be-my-lucky-day nod. We immediately get down to business, before I’ve even tried the shoes on for size.

The opening price is 160 shekels – the equivalent of about $40 U.S. Back in New York City, I would have assumed that a digit was accidentally left off and rushed to make the purchase before anyone figured it out. But here in the Promised Land, it’s time to put the ten rules of haggling to practice.

The Ten Rules of Haggling

Many people from western countries are uncomfortable with the thought of bargaining. We are accustomed to paying the ticket price and it rarely occurs to us to negotiate, especially on everyday items like food, clothing and house ware. But in street markets and bazaars in most third world countries, bargaining is a way of life. Knowing these ten rules will help you dicker with delight on your next trip overseas.

1. The first thing to remember is that bargaining, more often than not, is expected. Prices for foreigners will be jacked up more than for locals; but for both, market shopping is seen as a game of sorts – the object for the seller is to extract as much money as he thinks the buyer is willing to pay, and the object for the buyer is to figure out the lowest price the seller will take. If all goes well, the parties will land somewhere in the middle, shake hands and be on their respective ways. How much bargaining is acceptable will depend on where you are and what you’re buying. In many parts of Asia, Africa and the Middle East, you might insult a shop owner if you don’t engage in the bargaining process. In others regions, like the South Pacific, you can cause insult by trying to pay anything lower than the asking price. Check a travel guide or ask other travelers before you head out to market. Clothing and household items, particularly those marketed to tourists, will typically have a wider negotiating range than things like fruits and vegetables. But if you look like you’re just off the airplane, even the price of an apple can be marked up significantly.

2. Shop around until you know what you want and have a rough sense of what the price range is. You can often get a sense of prices by visiting fixed-price stores (such as supermarkets or department stores), asking other travelers what they paid or asking a disinterested local. But beware locals who offer to take you to their “cousin’s” shop – chances are good the only relationship that exists is a business one. Locals are often paid a “commission” for bringing tourists into shops, and the commission will undoubtedly be added to your price tag.

3. If you’re shopping for jewelry, fine fabrics or other items that are commonly imitated, make sure you know how to check for authenticity and quality – otherwise, your deal may be less attractive than you think. If you’re unsure, shop in reputable stores rather than street markets.

4. Think about what the item is worth to you, and set a maximum price that you’re willing to pay. What you’re willing to pay will depend on things like your budget, how much you need or want the item, and what you’d have to pay for it at home.

5. When you locate something you want to buy, try not to look too excited or you’ll instantly give the shopkeeper the upper hand. Very casually ask the price of the item so as to let the shop owner begin the bidding. Depending on where you are and how rich you look, the price will likely be inflated anywhere from two to four times the “real” price. At this point, depending on your personality and theatrical ambitions, you can either feign utter devastation and anguish that the price is so vastly out of your meager financial reach, or you can just say “Sir, that price is too high.” The shop owner will then ask you how much you want to pay. The games are now officially underway.

6. Keeping in mind your background research and maximum price point, it’s time to make your first bid. The key here is to remember that neither party expects the other’s first bid to be their final offer. Offer about half of what you’re willing to pay or some reasonable fraction of the price quoted by the vendor. And then prepare yourself for the inevitable laughter or displays of shock from the other side. You’ll hear that the vendor pays more for the item than the price you offered, so he can’t possibly sell it that low. However, since it’s the end of the day (or the beginning of the day, or time to go for lunch, or the third Tuesday in March) he can make a concession on his first price. Regardless of his reaction to your first offer, don’t allow yourself to feel intimidated – it is all part of the dance. After hearing his second offer, you simply come up a few notches, he comes down a few, and so on.

7. If, after a bit of this back-and-forthing, you and the vendor still have not agreed on a price, don’t lose hope. Consider tackling the problem from a different angle. For example, think about whether someone you know might like the same item (or some other item in the shop) as a gift. The vendor may come down in price if you buy two items instead of one. Or, in particularly poor countries, consider whether you have something to trade. Adding some costume jewelry, a used t-shirt or a pair of sneakers to your offer can often make the difference, and those items may well have significantly greater value to the vendor or his family than they do to you. Finally, as a last ditch effort, you can bring out the cash, equal to the amount of your last offer, asking the vendor once again if he’ll accept that amount. The sight of cold hard cash might make him reconsider. Be prepared for this by having differing sums of money in different pockets. If you pull out a few measly bills from a thick wad, you will only confirm to the vendor that you can afford to pay more. If none of this works, make a quick mental calculation to see what you’re haggling over in terms of your home currency. I’ve heard many stories of people haggling to the bitter end over what they later discover amounted to less than a couple bucks. It’s easy to do when the foreign currency units you’re dealing with are spoken of in terms of hundreds or even thousands.

8. If you are still unsatisfied with the price, or you want to test the vendor’s resolve, start leaving the shop. Tell him you’re going to shop around or that you need to think about it. If he stops you, the next round of haggling will begin. If you make it more than ten feet outside the shop and he hasn’t called you back in, chances are good his last price was his best price. You can either use this price point at the next shop you find, or return to the first guy and hand over the cash.

9. When you make an offer, be prepared to pay up. It is bad form to have your offer accepted and then say you changed your mind or want to shop around some more. Although haggling is a game, it has its rules of etiquette and fair play like any other.

10. Finally, don’t lose sight of the fact that haggling is a form of social interaction, not a fierce competition. There is no excuse for being rude or arrogant to a shop owner. It is not only counter-productive to your mission, it gives people a bad image of travelers. Remember that, as with most situations in life, a smile goes a long way. And if you don’t end up getting the item you wanted, there’s always something else to spend your money on.

The Feet Go Marching On

The shoes fit perfectly, and the vendor has come down to 90 shekels. I’m up from 25 shekels to my pre-determined max of 40. Foot juice notwithstanding, I decide to stick to my guns – after all, there are about a thousand more shoe stalls yet to discover. I smile and begin to leave the shop, waving thanks to the vendor. “Okay, give me 75,” he says, but I turn back and shake my head. “Thanks, but I can only pay 40.”

I weave my way back into the tangle of shoppers as a muffled voice calls out “Okay 65 – give me 60 shekels for the shoes. Okay, okay, 50. Come, lady. Lady, okay, okay, give me 40 then.”

I turn back and confirm the deal across the crowded walkway. Yes, 40 shekels it is. I squeeze back towards the shop, put on the shoes and hand over the equivalent of $10 U.S. A smile is shared. My budget is intact. My feet rejoice. And together, my new shoes and I set off into the magical maze to seek out the next purchase. Perhaps some fresh produce and spices for tonight’s dinner.

Back to TravelLady Magazine