Mr. Seller, my value is not based on what I can do, or what you authorize me to, but rather what--AND WHO--I KNOW.
This is actually a post that I have needed to write for a while.
(and i just did) 

How do you really know what your agent is saying to prospective buyers and other agents? The truth is ... you don't.  

There are plenty of discounters out there. The value I bring is in my knowledge and experience. What the experience tells me is that people get what they pay for. What I offer my clients is not a fast-food drive-through experience in listing a home for sale. My documented approach is proven to net sellers more money. The service I provide is priceless. My clients will attest to that. 

You are correct. Sellers do have the final say. What say you? Do you want cheap or do you want a seasoned professional to manage the sale of what may likely be your most valuable asset? 

I can't tell you what they would do, but I can tell you what I would do.

When you work for less, the tendency is to do as little as possible.

What Candice A. Donofrio said. I don't discuss commissions until I've done my listing presentation. At the end of that, if they don't get why I'm worth what I ask for, I'd rather they go elsewhere. Interestingly enough, I'm virtually never asked to cut my commission once I've explained my value.

"God go with you! We don't have the time."

Mr/Mrs. Seller, is about the value proposition I bring to the table, my extensive experience and knowledge, and my ability to negotiate the highest  price possible for your home.  What incentive would an agent have if they have to reduce their commission out of the gate?  Do you really think they are going to work hard for you?

the seller is right on that one.... the agent can't give anyone's money away!!

a potential listing agent can say "NO" to a reduced commission...and if the listing presentation shows that it's worth the full fee, there's no discussion needed.... 

we have discount agents in our area, we never lose a listing to them.... you DO get what you pay for....

You have many great answers here.

  This is my price; this is what I will do for you.  Sign here and let's get your house sold!

Thanks for reposting a question that has been asked many times BECAUSE we all need to be reminded of our value. I think this question should be asked of us monthly.

You get what you pay for, and in 30 years of investing I would never work with an agent who was so desperate that they sold themselves out before the project even got started.

The Negotiations start long before the seller has the opportunity to make those decisions, with pricing, promotion, conversations with the other agents and many other ways.

Do you really want an amateur in charge of getting the best offer and the best deal on your property, or do you want someone with 30 years of negotiating great deals?

... commission is "incentive"... so why make the "incentive" a "disincentive" by offering a low fee?

.. when the marketing, the price, and the incentives are in place the "money will flow" and agents will show up... and at the end of the day you have "more" net dollars not "less" ... fees are 1 of the 3 essential items.

... the last things you want is a bunch of grumpy agents showing your home.  We want them ALL in the property with bells on, showing the property enthusiastically.... it is a win win.

Unfortunately in Dallas many people just look at the bottom line, which is the fee.  Only when they get into a situation and their realtor is not spending the time to assist them that they come to a realization how important a realtor service, time, and knowledge are.  I've had people calling me asking for suggestions but I'm not their agent and they complain their agent isn't there for them.

Great replies below Tony and Suzanne Marriott, Associate Brokers, from Kathleen Daniels, Candice A. Donofrio, and Ken Jones, ASA, SCGREA.  I have heard of agents lowering their commission from sellers that we have talked to, as the sellers are very willing to share that information, when others do a Sales Presentation.      

What Candice A. Donofrio said. And, it's not even the 'price' that you're giving me to counter, it's the professional knowledge & data that I use in conjunction with your monetary counteroffer to make the negotiation POINT altogether.

When human beings get into tight, unrehearsed spots, who & what they really are comes out along with all their considerations. I guarantee that if you squeeze someone going in, it will work against you when you need it not to. Pay someone well and they have to perform first to self and then others

That question is like, 'Where do you point the hose ofter the house has burned down?"

The battle was lost when the agent implied 'won't fight for their commission therefore won't fight for you equity?" This is a LOSING strategy. And, to be blunt, is UNBELIEVABLE.

It is in essence an invalid question.

The agent knows 'What is the cost?" is one of the questions every owner has. The agent needs to establish their value during the presentation. A presentation that literally removes the question.

The presentation, encompassing the other four predictable questions, creates the trust needed so when the agent says, "Here are the questions I know you have, did I answer them completely?"

They say yes, and yes to the "Let's get started now." directive.

But, your question IS about the house burned down.

"I make the decisions!" declares the owner.

"You are right. So let's take a look at PPT #117. I'm sure you will understand then.'

Slide 117 shows the difference between FSBO sold price and MLS listed sold properties. "Ahhh, Hold on, I need to take this call!"

There is a difference between dependency and reliance. I wouldn't take the listing because I have to depend on them on offers and no way I do that. If they are so smart then sell it themselves.

Everyone knows what they are worth and what they bring to the table for that amount.

haha, I like the question and visuals. Haha. That is the difference between a negotiator and someone who is just following instructions. 

Tony and Suzanne Marriott, Associate Brokers - you are right, Candice A. Donofrio nailed it....

You do make the ultimate decision but it takes partnering with an agent that has your best interests as their primary interest to get you to your goal. I don't compare my fees to other's fees nor my services to other's services. All I know is that I can get the job done. Period.  

Of course, Mr. Seller, the final decision is 100% yours in all negotiations.  However, having been in this business for a long time, I am able to see all the problems that might arise and you are paying for my expertise and past experience.  Agents run their businesses very differently, so I would just caution to you compare apples to apples before you decide on a Realtor. 

I tell people they get the service they pay for and that my marketing is unsurpassed. 

Read Bernice Ross book, "Waging War on Real Estate's Discounters". I expect the "discount" question and am prepared for it and deflect it DURING my listing presentation. Bernice has a terrific response to all of your questions in this regard. For years I replied, "I charge 3% for my services, marketing plan and professional guidance when I market your home. Now we just need to discuss what you are willing to pay to keep all of those buyer's agents motivated to sell your home!" 

So far 10 people nailed this one

As Arnold said after they signed with the discount; "I'll be back"!

In order to make any decisions, your agent first has to bring a buyer with a robust offer to the negotiating table.

Then, I suggest you go that low-priced agent... you get what you pay for. So … you plan to own the home forever then?” If it's not sold in 45 days, call me and I'll get it done for you.

Have you read this other agents property marketing plan? Did you ever receive a copy? Does this agent have a marketing plan? 

Have you seen my property marketing plan? Here's a copy. 

“To begin with, I personally know I’m a better agent. But if you need a tangible example of what I’ll do better, here is everything I’m going to [do to] sell your house. Did your other agent do all these things, too?”

Sure, I can match that low commission. Lets go over my property marketing plan and remove all the activities that cost money and so I can match that rate...

Some people shop at Walmart, others at Nordstrom. Which one are you?

Managing your money and your asset is a bit like brain surgery. You may not want the cheapest surgeon to work on your brain.

There's a reason why this agent charges less. Find out why. Maybe it's the only way they can get any business. There's a reason why I don't have to.

What is your focus and desired expectations? Are you focused on paying less commission or focused on results such as the best price offer, terms, the least amount of time, and conditions?

If you were chosing a date to hire for the evening, you want the reduced rate cheaper one or the more expensive one? 

What do you do for a living? Why do you charge that rate?

I don't use the first agent reply !!!!

I'm all about Maximum Exposure = TOP DOLLAR

True, but it's about how well they negotiate on your behalf.

Wow..great answers! Love Kathleen Daniels ..sounds like something I'd say.

I tell tell potential clients that there is more to being a Real Estate agent than just selling your home...do you want Professional or do you want run of the mill.

One of the facets of why you hire me is for my expertise in negotiating.  I do this every day of the year, sometimes multiple times.  I have a wealth of negotiating experience to share, and I would hope that you would find my counsel valuable.

Really good answers! I love the think tank here!

Good answers

There is so much more to the negotiations than the spoken or written word. I speak all the languages.

Tony and Suzanne Marriott, Associate Brokers This is a red flag. This seller is going to micro manage everything you do. They are only interested in the lowest fee agent. I would walk.

Over the phone? No- no. Only in person and during presentation.

I go into all I will do for the client, and usually after I share my list they don't have anything else to say.