It’s often said that first impressions matter most in negotiation—but first offers can be even more powerful.
Psychologists Amos Tversky and Daniel Kahneman famously identified the anchoring bias: the tendency for an initial number—no matter how arbitrary—to act as a psychological reference point that pulls subsequent discussion in its direction.
In price negotiations, the first number on the table often shapes the entire bargaining zone.
But one question long went unexplored:
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Should your anchor be a single number—or a range?
Imagine you’re selling your used car. Research suggests its fair market value is $5,000–$6,000. Should you open with:
- A specific price: “$7,000.”
- Or a range: “I could sell it for $6,500 to $7,500.”
According to a 2015 study published in the Journal of Personality and Social Psychology by Columbia University professors Daniel R. Ames and Malia F. Mason, expressing offers as a carefully designed range can be a powerful move in distributive negotiation.
What Is the Anchoring Bias in Negotiation?
The anchoring bias occurs when:
- The first offer sets a psychological reference point.
- Counteroffers gravitate toward that anchor.
- Even extreme anchors influence outcomes.
Research consistently shows that negotiators who make the first offer often achieve better economic outcomes—provided the anchor is credible.
The question is how to structure that anchor.
Three Types of Range Offers
Ames and Mason identified three common types of price ranges used in bargaining:
- Bolstering Range (Bold and Aggressive)
A bolstering range places your single-figure target at one end and extends upward to a more ambitious number.
Example:
Instead of asking $7,000, the seller asks $7,000–$7,500.
This stretches the anchor upward.
- Backdown Range (Cautious and Conceding)
A backdown range places your single-figure target at one end and extends downward to a less ambitious number.
Example:
Instead of asking $7,000, the seller asks $6,500–$7,000.
This signals flexibility—but weakens the anchor.
- Bracketing Range (Balanced)
A bracketing range surrounds your target figure.
Example:
Instead of $7,000, the seller asks $6,800–$7,200.
This signals moderation but does not strongly shift the anchor.
In a pilot study of nearly 400 participants imagining a used-car sale:
- 51% created bracketing ranges
- 29% created backdown ranges
- Only 17% created bolstering ranges
Most negotiators instinctively use cautious ranges—precisely the ones least likely to maximize outcomes.
Why Bolstering Ranges Work
Across five experiments, Ames and Mason found that bolstering ranges produced superior outcomes for sellers.
In an online used-car negotiation simulation:
- Sellers made either single offers, bracketing ranges, or bolstering ranges.
- Buyers responded with counteroffers.
Buyers who received bolstering-range offers:
- Made larger concessions
- Offered more conciliatory counteroffers
- Assumed sellers had higher reservation prices
In other words, the upper end of the range strengthened the anchor.
The Psychological Advantage
Bolstering ranges do two things at once:
- They set a high anchor.
- They signal flexibility.
This combination is powerful.
Buyers perceived range-makers as more cooperative than those making a single aggressive demand. Recipients also felt more social pressure to respond within the suggested range rather than dramatically below it.
A single high number can feel combative.
A high range feels negotiable.
Avoiding Reputational Damage
One risk of aggressive anchoring is reputational harm.
Extreme single-number offers can:
- Appear greedy
- Damage trust
- Trigger hostility
Bolstering ranges soften that perception.
Because a range implies movement and dialogue, it offsets the assertiveness of the higher anchor. Sellers benefit economically without appearing rigid.
Limits of Bolstering Ranges
The strategy is not foolproof.
Ames and Mason found that bolstering ranges lose effectiveness when:
- The range is too wide (e.g., $6,000–$9,000 for a $6,000 car).
- The lower bound is already extreme (e.g., $8,000–$9,000).
Optimal bolstering ranges typically span 5%–20% above the base figure.
In short:
- Ambitious but credible works.
- Extreme and unrealistic does not.
When Should You Use a Range Instead of a Single Offer?
Bolstering ranges work best in:
- Distributive negotiations (price-focused deals)
- One-time transactions
- Situations where anchoring power matters
- Negotiations where you want to appear flexible
They may be less effective in:
- Highly collaborative, integrative negotiations
- Situations requiring deep trust-building
- Contexts where precision is valued over flexibility
The Bottom Line on Anchoring with Range Offers
The anchoring bias remains one of the most powerful forces in negotiation.
Ames and Mason’s research adds an important refinement:
A carefully constructed bolstering range allows you to claim more value while preserving goodwill.
Instead of asking for $7,000, ask for $7,000–$7,500.
You anchor high.
You signal flexibility.
You increase concessions.
You reduce backlash.
Not bad for a simple tweak in phrasing.
Have you used range offers in negotiation? Did they help you anchor more effectively—or did your counterpart push outside the range?
Claim your FREE copy: Negotiation Skills
Build powerful negotiation skills and become a better dealmaker and leader. Download our FREE special report, Negotiation Skills: Negotiation Strategies and Negotiation Techniques to Help You Become a Better Negotiator, from the Program on Negotiation at Harvard Law School.
