Your Market Value Assessment
Before sitting down at the negotiation table, it is important to establish the right target.
In order to do so, it is helpful to understand how your experiences, skills, achievements, and potential contributions are valued in the market. Conducting your own independent information gathering to obtain this data is known as a market value assessment. This information sets the foundation for the background and data required to effectively support your ask and allows you to better judge the overall quality and fairness of your options and offers.
As industries are trying to adapt and navigate the current pandemic economy, roles are being redefined, projects reprioritized, and opportunities shifted. It is worth taking the time to update your market value.
So, how do you determine this target? Here are some key data points that can inform your market value:
your current or recent salary
years of experience
outstanding offers
the value of your skills, expertise or knowledge
salary ranges for similar positions
your substitutability - how difficult would it be to replace you?
I recommend weighting the factors that make the most compelling case. For example, a seasoned professional should emphasize her 20+ years experience delivering impactful products. However, a recent college grad with no professional experience should highlight her skills, education, and any competitive offers she has received.
When researching salary ranges for similar positions, I encourage you to look beyond the standard salary sites (e.g., Glassdoor, PayScale, etc.). These online sources tend to yield broad, outdated, non-specific, and skewed ranges. To obtain higher quality and more relevant salary ranges, consider reaching out to trusted connections in your network (e.g., recruiters, hiring managers, etc.). “Does this range sound right to you?” People who have domain knowledge or a successful track record in your field can help validate your findings. They can also provide you with other uniquely valuable insights that could help you succeed during the negotiation process.
It’s essential to arm yourself with the right information in order to feel empowered and confident when advocating for yourself. Start by having a firm grasp of your market value. This data is key to convincing others (and more importantly yourself!) what you fairly deserve.
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