Salary Negotiation

Honestly, I can't figure out what is the alternative option. If you want to negotiate, you have to do it AFTER you receive the offer and BEFORE you accept it (or decline it). And the time before you receive the offer and you give your final answer shouldn't take months… so there isn't much to think here.

Regarding the process, the point 2 may not be what you are expecting. They will ask for your reasons to ask for something different (and what exactly you are asking) but may reply immediately that they won't change their offer. 

Sign up bonus and relocation support may be up for negotiation, depending on your specific circumstances and your “leverage” (i.e., alternatives), but don't have high expectations.

Moreover, after 1 year, it's up or out. In both cases whatever you negotiated was a very short term benefit.

P.S. Assuming we are talking here about strategy consulting firms. This doesn't apply to management consulting or corporate roles.

Hi there,

I think the flow you presented is reasonable.

The base salary is normally non-negotiable in strategy consulting. However, you may be able to negotiate the signing/relocation bonuses or the seniority you join if you have valid reasons.

In terms of general tactics, I would recommend Never Split the Difference by Chris Voss, which is a great book on the topic.

Best,

Francesco

Hi there,

First of all, congratulations on the (alleged) offer!

This is indeed an interesting question which is probably relevant for quite a lot of users, so I am happy to provide my perspective on it:

• Generally speaking, different aspects of the offer might have different optimal point of time during the interview process. For instance, I would advise you to clarify (at least directionally) the position you are interviewing for before going into the interviews since the requirements might slightly change or increase.
• Regardings negotiating your salary, however, both your approach and the point of time during the interview process seem to be right. However, please bare in mind that with strategy consulting companies, you will most probably have little to no room for negotiating your fixed or variable component of compensation. You might still squeeze out a signing bonus or an increased relocation bonus, but this will most probably be about it.

In case you want a more detailed discussion on how to best negotiate different aspects of your upcoming offer, please feel free to contact me directly.

I hope this helps,

Hagen

Hi there, 

flow makes sense, but wouldn't look at it as a static, linear exercise. Especially steps 1-2 can be quite iterative.

In terms of tactics, would like to add to the comprehensive answers of the other coaches that any attempt to negotiate should be grounded in substance / backed up. E.g. when you try to negotiate re-location allowance, you should be able to produce a valid need on your end (→ why will standard package not be sufficient?). Don't just negotiate for the sake of it, because in the grand scheme of things, 5k up or down won't move the needle for you if you decide to stay on for a bit, while a bad attempt can cost you the offer (seen that happen twice before).

You can negotiate only after you receive the offer.

Although you need to consider that typically most top-tier consulting firms have fixed slabs and there i not much room for negotiation of the base pay or bonus. Rather you might want to negotiate ancillary items such as relocation bonus or signing bonus.

Typically you don't need to respond back immediately since most of the time the offer from consulting firms will be in the form of a letter or a document.

Your flow is fine but remember MBB salaries are fairly standard and well known in the market. To negotiate make sure you have following handy:

1. Do you have clear value that you can bring and that justifies higher pay (than what they have offered) or are you very near making promotion to the next level
2. Do you have other similar offers to compare against

Focus on win-win, be polite and supportive during the process.

Hi there,

That's about right! Whether this all happens via call, or emails, or some combination though is another consideration.

In general, it's easier to negotiate against “peripherals” such as signing bonus.

Good luck!