How to Win the Tender Process
Our 10-point marketing checklist for construction contractors
Tendering can be a major opportunity to win new construction projects however, it can also be a huge drain on resources and leave you feeling frustrated. As a small or medium sized contractor, you will more than likely be judged against tender proposals from far larger firms, with big marketing budgets to match. To help you hit the target, we have created a simple checklist that outlines some of the marketing steps in the tender process you can take to increase your odds of success.
RULE OF THUMB: Tender win rate ratios
- Above 1:5 – You are tendering for the wrong work, or you are not creating a good tender
- 1:5 – OK
- 1:4 – Good
- 1:3 – THE HOLY GRAIL
10-point checklist to marketing in the tender process
- Plan Growth
Bring the tender team together, this includes the estimator / bid writer / marketer.
Conduct an internal audit. Consider short term and long-term goals. The % of business that will come from existing VS new clients. Carry out a competitor audit / audience profiling / projects audit. Consider best fit. If you have an existing relationship, use your marketing agency for a 3rd party reality check.
Ask, what type of project do you want to win? Scale, sector, value. Do you have the know-how and resources to win the work? Make sure you have eyes wide open. Can you win this?
- Brand Building
Have a clearly defined USP and strong brand messaging. Demonstrate you have value synergies with the main contractors you aspire to win tenders from. Corporate social responsibility, team, environment etc. Can you align environmental, recruitment, apprenticeship, community support / charity projects with your target audience? Work hard to establish an emotional connection.
Raise your profile, ensure you look the part. Website, LinkedIn, email, brochure, vans, uniform, networking opportunities, events to attend, community events to support.
If your client is likely to be a local authority, utilise existing conduits such as FSB or local Chambers of Commerce to build relationships. Utilise platforms such as Barbour ABI to pinpoint projects at the right stage for you. Build relationships with main contractors and don’t leave it to the main contractor to make assumptions about you and your capabilities.
- Selection Process
Power-up the prequalifying questionnaire. Include a bank of impactful case studies. Include a spotlight on your teams’ experience & knowledge. Make the most of their personal experience, prior to joining your firm. Demonstrate your experience of effective cost value engineering.
- Tender Document
The aim here is to win the battle of the words. Communicate a compelling story that is driven by the employers’ requirements (including H&S, CSR, employment, methodology etc). Go back to the tender document to understand exactly what buttons you need to press, what their criterion for selection is. This is another opportunity for you to ask yourself…do I want to price for this project? Be in control!
Have a midterm review. Ask yourself is this still a project we want to win? Has risk level gone up, have terms & conditions changed?
- Tender 2.0
Wring out the value. Share the tender with all of the four or five main contractors tendering for the project BUT take time to ensure you tailor the document to align with individual contractors’ requirements – do not just forward as is.
- Feedback Loop
Reach out to your contacts to understand why you won, or why you did not. Use the playback loop to enable improvements to the process for next time.
Be persistent. It is not easy but view this as an opportunity to work your way into prospects consciousness. On average it takes seven touch points to build a relationship. View feedback as one of them. Do not be afraid to pick up the phone.
- Pre-Start
Commencement. Share your story to demonstrate capabilities to the wider audience. Social media, email newsletter etc – use this as an opportunity to align yourself with the main contractor and other sub-contractors, tag in, create conversation around the project.
Map out a project story timeline from win, through to programme delivery and completion. Capture ‘before’ images, scale, and type of works. If you have a strong culture of collaborative working, then it will radiate. Demonstrate core values and culture again here.
- Monthly Cycle
Key milestones, successes to demonstrate quality control, communication, expertise, and the flexibility to overcome challenges throughout. If photography is acceptable, document the entire story. Demonstrate support of main contractor. Make them look good. How you are managing up, pulling together as a team with the entire supply chain. Adapting to supply chain pressures, proactively problem solving.
Social media, email newsletter etc – use this as an opportunity to align yourself with the main contractor and other subcontractors, tag in main contractor and other subcontractors.
- Completion
Photographs, video, testimonial, case study. This is another opportunity to demonstrate support of the main contractor and make them look good.
Social media, email newsletter etc. More case studies to populate your library for the future selection process. Ensure all content is logged so it can be accessed easily by the marketing & bid writing team. Consider media outreach to talk about pioneering work on projects and demonstrate innovation.
A case study should always demonstrate strength in value engineering, sequencing, collaborative working, communication & quality. HIGHLIGHT anything unusual, innovative or headline grabbing.
- Elevation
With so many strong success stories – now you can consider awards to enter, creating a PDF expertise document / brochure, thought leadership content, and speaker opportunities at industry events.
Having a strong brand and demonstration of culture and core values will help as you grow the team and recruit talent.
If you are a specialist – build relationships early with specifying designer. Could you now offer services free of charge at design development stage in return for being named in the specification?
Hopefully you’ve picked up some useful insights from this guide.
Or…leave it up to the experts…
Email info@attractandengage.co.uk or talk to us on our socials.
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