Bargaining is an art. And you'll need to practise it if you intend to travel in India.
During my travels, I've bargained with everyone from trinket-sellers to auto-rickshaw drivers to book-sellers to guesthouse-owners to government officials trying to extract bribes (the bargaining was for the bribe amount!). It's not for a margin of just 10% or 20%, the final price could be as less as half (oh, by the way, it could be even lesser) of the initial quoted amount. So, you could be saving a lot. Especially if you are a tourist, or more importantly, look like a tourist - you will always be perceived by the locals as an easy prey.
Having grown up in India, I feel I am 'okay' at bargaining (you should look at my dad, then you'd know what its really all about), and self-certified to give free advice. So, here are my tips on bargaining:
1. Do a background check: You should have some idea of the value of the article you want to buy. There's a chance that a thing which costs Rs 10 is quoted as Rs 50, and you start bargaining from Rs 20, reach Rs 25 as the final price and feel smug about it. So, it's always better to have a fair idea about what you are buying and how easily it is available in other shops.
2. Do not buy from the first shop you step into: I often end up making this mistake because I hate shopping and want to get it over with. However, often there's a good range of prices for the same object even in adjacent shops, and the fact that you're putting a good amount of effort in buying makes it more difficult for the seller to assume that you are just another dumb tourist. Also, at times, the prices are exponentially higher in the shop right next to the sightseeing place and you should check out shops a bit far away as well.
3. Do not quote your starting amount right from the word go: If the quoted price is Rs 100, do not straight away ask for it for Rs 50, the price might be still lower. Delay your quote by saying things like 'Nah, too costly' or 'It's much cheaper in the shop down the lane'. When you start feeling a decent amount of resistance in lowering the price, then quote your price which should be lower than the best estimate you think you can get.
4. Be careful! : If the final bargained price looks too good to be true, do not start celebrating! Stop and examine your purchase again. If it's too good to be true, it probably isn't. These guys are seasoned sellers and always make a good margin, so watch out!
5. Be ruthless: It's a dog-eat-dog world, you've got to be ruthless. The seller will claim everything from imminent poverty to hunger to near-death. As I said before, he will still be making a good profit out of you. You must not let down your defence, keep bargaining until you get the satisfaction you deserve.
6. Well, try enjoying it: It can be a harrowing experince if you do not do well at it initially and feel cheated. After some practise, when you start getting good deals, you might even start having fun bargaining! Good luck!
Note to self: If this article ever gets published, don't forget to bargain with the publisher for a good price! ;-)
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