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How to Win Tenders- The 4 Key Factors

Nigel Dennis, BidWrite Pty Ltd
24 April, 2019
The following blog has been written by Nigel Dennis from Bid Write Pty Ltd. BidWrite is Australia’s leading specialist tendering consultancy, bringing together tender response (seller) and tender request (buyer) expertise in one organisation.
 

Winning tenders involves more than just wrapping up a price on a nice cover. By Blog images.pngapproaching tendering in a strategic way, you will dramatically increase your chances of success.

First, ask yourself: do you have a good chance of winning? Look at the number of bidders, the strength of the competitors, and the strength of your competitive position/offer. If you decide to proceed based on this assessment, you will need to put together a submission that reflects these assessed outcomes.

So, what does it really take to win? Positioning your company with your client, before the tender is even issued, is a great start. Successful tenders are, then, a combination of compliance with the client requirements, persuasion to demonstrate how your offered benefits make your company the best fit for them, and a competitive price. Here are four key factors that help you win tenders:

Key factor

What to do

Why it matters

Positioning

Understand the client, the opportunity and the market; close any assessed strategic competitive gaps before the tender is issued.

  • Investing time and resources in targeted opportunities is more effective than submitting a response for every opportunity and will increase your success rate; 
  • Having a defined bid/no-bid process means you can validate your targeting and properly qualify those ad-hoc opportunities that you want to progress;
  • Gaining relevant knowledge of the client (and improving your relationship with them) is much easier before a tender is issued—and typically results in more success.​​​​​​

Compliance

Tick all the boxes and provide all the requested information. This makes sure you don’t lose on technicalities.

  • Remove the risk of your tender being set aside because
    you didn’t answer all of the questions. Compliance may
    not in itself help you win, but it can keep you in the race; 
  • Writing a compliant bid that answers all questions in a
    clear, concise and relevant way makes easier for clients
    to evaluate it.

Persuasion

Provide a compelling story that will set you apart from your competitors.

  • Don’t just tell your client how good you are: Make your
    bid client-focused. Evaluators are looking for suppliers
    who understand their requirements and can best meet
    their needs;
  • Persuasive bids with good differentiators (benefits that matter to your client) are completely different from “sales-y” documents with lots of jargon, empty promises and unsubstantiated claims;
  • Bids are evaluated and awarded by people with views and emotions—no matter how objective the stated evaluation process may appear to be. Writing persuasively helps tap into these views and emotions.

Price

You must be in the ballpark. This makes sure your offer is considered ‘value for money’.

  • Clients will look for competitive prices but they also need to feel assured that the job will be done effectively and with minimal risk;
  1. Many buyers of non-commoditised goods and services are becoming more strategic and are looking for the best value or return on investment over the effective life of a product or service. Thus, the up-front price is likely only part of the equation.

To learn more about effective bidding, please get in touch with us today.
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Liked this blog? Check out the three Cs of winning bids. 

Tender Tips: Three Cs of Winning Bids

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