Definition, Meaning & Synonyms

lowballing

verb

/ˈloʊˌbɔːlɪŋ/

Definition

Lowballing refers to the practice of offering a price that is significantly lower than what is expected or than what is fair, with the intention of negotiating up to a more reasonable amount.

Examples

When negotiating for the car, he started lowballing to see how low the seller would go.
Lowballing can backfire if the other party feels insulted by the initial offer.

Meaning

The term is often used in business and negotiations to describe a tactic where one party initially proposes a low price to create a basis for further negotiation.