1. Stop caring what people think of you
Many people hesitate to haggle because they don't want to seem cheap. But are you really willing to pay top dollar just so you can preserve the esteem of total strangers? You're only meeting them this once, and you'll probably never meet them again. Even if you're shopping with people you know, they might raise an eyebrow when you start haggling, but they'll sure be jealous when you get a better price than they did!
2. Bring cash
A lot of times, offering cash upfront will entice a retailer to meet your price. Split your cash in increments so that you can show the seller the money you're offering without them seeing how much more money you have sitting in your wallet.
3. Show hesitation about buying the product
Even if it's the perfect item, the moment the seller sees that wistful look in your eyes, they'll know they've got the upper hand. Appear interested, as if you're willing to buy the product if the price is right, but you can certainly live without it as well.
4. Pretend to consult with a reluctant partner
When the seller makes an offer that is almost what you want, look distressed and say "Oh, okay. Well, let me ask my husband/wife/mother/father. I've been dying to get one of these for months now, but they keep saying it's too expensive." If you have a cell phone, pull it out and call your partner in crime, or even fake the call if you have to: "Yes, but it's what I've been looking for...I don't know...OK...Yes, fine..." End your call, turn to the seller, and say "I can buy it for..." giving a price that is slightly below what they've offered.
5. Keep the conversation going
Besides smiling a lot, it is important to keep the conversation going while actively pursuing your desired price. Keeping talking makes the seller feel more at ease and makes him/her confident that you are sincere with your offer. Don't ever go quiet, this makes the seller believe you have lost interest and he will no longer tend to your requests.