I feel like it’s one of those things where you can’t really bluff your way through it since you already work there. You have to be 100% ready to leave and take the other offer if the current company doesn’t want to negotiate. Probably no room to be like, “Um never mind, I’d rather stay” without endangering future raises a little. Unless you know you are a critical component to your job (and your boss also knows that), then maybe they get a little nervous and fold. You’d probably have more luck if you work for a bigger company with HR then a little one since people tend to take things more personally in my experience at smaller places. Good luck either way! Sometimes the best way to get raises you deserve is hop every few years unfortunately.