Good morning and welcome to The Closer, the newsletter all about deals. Today’s edition is short and sharp — one tactic, backed by research, to help you negotiate smarter. No headlines, no noise — just a Nugget you can deploy by lunchtime.
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PHANTOM
BATNA
EFFECT
Closer Tactic #53 • Deal Psychology
Most people think you need real alternatives.
Power players know perception is enough.
The Nugget
Negotiators who believe they might have an alternative feel more powerful and achieve better outcomes—even when the alternative never materializes.
When Jack Dorsey negotiated Twitter's sale discussions in 2016, he frequently referenced "multiple interested parties" and "ongoing conversations" without naming specific buyers. This phantom BATNA strategy helped Twitter maintain higher valuations in talks, even when some of those "alternatives" were just preliminary discussions.
Counterparts grant more concessions to those who hint at possible options.
How to Deploy
• Mention possibilities without overstating: We're exploring a few different directions...
• Reference potential alternatives early, before numbers start flying
• Let them assume you have options without explicitly claiming them
Avoid outright lying about alternatives. Hint at possibilities, don't fabricate certainties.
Takeaway
Sometimes the possibility of power is as good as power itself.
Reply with your best "phantom alternative" story—
we might feature you (and send a mug).
