Negotiate MBB offer

Dear WSO-ers,

I've been extended an offer to join MBB in one of their European offices as an BA/Associate Consultant/Associate. While I know it's unusual to negotiate an offer for an entry level position, I believe that I am not the typical 'fresh-out-of-undergrad-with-no-real-work-experience' candidate.

I am currently working in another strategy consulting firm (tier 2) and I already have more than 1 year of experience. I also have a non-business masters degree.

I would like to negotiate my compensation package (base salary and/or signing bonus) because I received the standard package and am a bit disappointed that they did not make any allowances for the above, particularly my directly relevant work experience.

Don't get me wrong, I really am grateful to have received an offer and it's a fantastic opportunity, but I want to make sure that my pay is fully reflective of my value and I do think that I can make a compelling case. This is my one reservation before fully committing to this firm. If they were willing to budge, even in a minor way, I think I would commit right away. [To pre-empt any questions about leveraging other offers: I am still in the process with the other two MBB firms, and I probably wont have my final rounds until the middle of January next year]

I've never negotiated an offer before, can someone please give me some guidance on how I go about doing this? I'm not even sure how to bring it up - should I allude to it in an email to the recruiting head and ask to discuss over the phone? Also, am I supposed to put forward exactly what I'd like my compensation to be, or do I just ask them to vaguely reconsider a higher figure? If it's the former, do I put forward an absolute number or a percentage increase? What's normal?

Sorry for the barrage of questions, many thanks for your help!

 
Best Response

You cannot negotiate on salary, it is set for everyone at the same level and entry point.

1 year of exp at Tier 2 will not buy you into 2nd year position, and frankly you may be shooting yourself in the foot if you do. There may be many similarities between consultancies but all the MBB have very strong cultures and views on how to do things. At 2nd year you would be expected to know all of this, and would quite likely fail to perform to expectations.

I would also be wary of trying to start a bidding war between MBB offers, it's quite likely to back fire with a "great, you should absolutely take their offer" kind of response.

Quite frankly, the entry level position at MBB is one of the best opportunities at starting a career - would suggest being very happy with your accomplishment and stop trying to nickel and dime it.

 

I would take the offer - the $ amount at this stage in your career is less important that the branding and trajectory you put yourself on.

Not necessarily applicable to your situation, but when it is time to negotiate your salary, watch this: http://www.wallstreetoasis.com/blog/how-to-negotiate-your-job-offer-pro…

 

Thanks for the input! I'm not going to negotiate for a 2nd year position - I know that there are a lot of reasons/benefits to starting from scratch at MBB.

However, I have reason to believe that there is a bandwidth in salaries, even for entry positions. I know people in my firm and MBB who have started entry level positions on slightly different salaries. I'm going to give it a try. You never get anything in life unless you ask for it.

 
Blueskyoasis:

However, I have reason to believe that there is a bandwidth in salaries, even for entry positions. I know people in my firm and MBB who have started entry level positions on slightly different salaries. I'm going to give it a try. You never get anything in life unless you ask for it.

I work in MBB, and I have reason to believe that you are flat-out wrong.
 
devildog2067:
Blueskyoasis:

However, I have reason to believe that there is a bandwidth in salaries, even for entry positions. I know people in my firm and MBB who have started entry level positions on slightly different salaries. I'm going to give it a try. You never get anything in life unless you ask for it.

I work in MBB, and I have reason to believe that you are flat-out wrong.

+1. They probably just started at different times.

 

Great advice here, just wanted to add:

1) Yes, I would do this over the phone 2) Yes, give them an exact amount (no more than 10%-12% above what they offered) 3) Prepare to offer some solid, specific reasons to why you deserve it 4) Know how to 'read' the conversation and pull back if you feel like it is heading downhill

They're a top tier company and know they have the upper hand as a brand that many want to start their careers in. Like others have said, I doubt they'll cave, but it's worth a shot. I've never heard of someone getting their offer rescinded when (a) being reasonable in the negotiation and (b) having a good reason to ask.

Best of luck!

 

You may want to try and talk to people who have actually worked at the MBB for your level (or around your level) to get a first hand idea of whether salaries differ. I imagine salaries differ by region and between rank, but these things are typically pretty structured at the junior or pre-MBA level and any difference between say two same-level junior professionals in an office is probably fairly immaterial.

You should also get a feel of the person you ask (whether they are going to be receptive to this or not) because you could just get a negative impression from the get go (i.e. this kid is trying to get more money in a street-standard package?). The only time I can think of where you can negotiate money is in the case of some form or relocation or housing package and whether you can be entitled to one. Or money when you're more senior in rank - when a person's 'worth' vs. 'title' is much more of a gray area and is up for discussion.

Otherwise, the only thing that you can negotiate is level title (e.g. 1st/2nd/3rd yr). That is reasonable and won't reflect poorly (because you had experience and comparing experiences is subjective). But since you're not doing that, you should probably just take the offer.

 
Blueapple:

Great advice here, just wanted to add:

1) Yes, I would do this over the phone
2) Yes, give them an exact amount (no more than 10%-12% above what they offered)
3) Prepare to offer some solid, specific reasons to why you deserve it
4) Know how to 'read' the conversation and pull back if you feel like it is heading downhill

They're a top tier company and know they have the upper hand as a brand that many want to start their careers in. Like others have said, I doubt they'll cave, but it's worth a shot. I've never heard of someone getting their offer rescinded when (a) being reasonable in the negotiation and (b) having a good reason to ask.

Best of luck!

Per this argument...I'm not sure.

The answer to your question is 1) network 2) get involved 3) beef up your resume 4) repeat -happypantsmcgee WSO is not your personal search function.
 

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