Ways to Bid with Confidence
Construction professionals, more often or not, approach project bidding by offering the lowest possible cost for the job needing to be completed. In recent years, the bidding process has become more involved with multilayered projects and projects with multiple variables. This can leave contractors frustrated as they try to position themselves to win construction bids in such a competitive market.
Here's a secret- having the lowest bids doesn’t always mean you’re bidding competitively. In the end, there's more to a bid than just coming in under the competition. Here are six ways you can maximize your chance of winning more construction bids with fewer proposals:
Bid first and know your competition like the back of your hand
The early bird gets the worm (most of the time). This isn't just a saying, it's a code to live by when your business is based in presenting bids. When you are focused on the needs of your industry, you create the opportunity to step in before your competition. This allows you to create an opportunity to give them what they need before anyone else does.
You do this by:
- before they need it.
- before someone has a chance to get in front of them.
It is also smart to embrace the number of jobs you bid on with a sense of "less is more" don't bid on every construction job available. Reduce the number of proposals you submit and focus on improving the quality of your bids. You should also select projects with a higher chance of success for your business and not anything/everything that comes your way.
Know your niche.
It's okay to specialize. Focusing on projects that will create repeat business is always great. If you know you've got a crew that does excellent at one thing, make that your anchor service. It's okay to showcase their passion and skills to help your business grow.
Don't bid on what you don’t know
This is pretty easy, but it does happen. You need a job so badly that you bid on it without having someone that can do the work. It's okay to say you can't perform specific parts of a job. Just give them reliable recommendations on who can do those tasks in conjunction with what you do, and customers will respect you more.
Build trust with decision makers
Don't waste time by working with non decision makers. You should know who you are talking with at all times. Try to get face-time with the people that can make decisions for the services you offer.
Remember that people want to do business with someone they trust and they feel is being honest with them. Build personal relationships with your prospects to be more than just a contractor.
Highlight your qualifications and deliver value
Don’t be afraid to show off your qualifications! Be straightforward in explaining why your team is right for the job. When you showcase your organization's experience, you'll set yourself apart from other companies. If two bids are close, sometimes reputation is what will tilt the scales in your favor.
You can also focus on promoting your value and not that you have a low price. Construction professionals should sell the fact they have a competitive advantage over other companies. For instance, showcasing that you use RoofScope is a great way to set yourself apart from everyone else.
This is part of your brand so market that your crew is built with responsive experts in your field. Customers love working with experts!
Do your homework and explain ROI
When submitting a bid, understand expectations. This will help you sell your customers on ROI and help you build trust. This is one way you can also build relationships.
Also, do your homework and talk to others who have worked with the owners/clients to get a feel for their preferences and pain points.
You should also show them more than a lump sum bid in your presentation. Break down the costs so they highlight all the value and everything that you can do for them. It’s all about giving a potential client the right perspective and not a significant number at the end.
Return on investment or ROI is always huge. Show them what they’ll benefit from by working with you. You'll also need to show information that's backed up with hard data. Case Studies are a great way to do this.
Embrace technology to boost productivity
Having the right technology that supports multiple things you need to do can help you control construction costs and increase your team’s efficiency. Our Scope's can help you with many of those tasks, and ProDocs can help you organize them all.
Don't assume you lost a bid to a competitor simply based on cost. Team productivity is always a factor in the construction bid process. Boosting productivity helps to reduce costs, which in turn allows you to deliver more competitive bids.
Final Tip! Have confidence
Bidding is stressful and complicated. When you use the tips we've presented, you can help get a leg up when it comes to winning projects. Always have confidence in your people and services! This will help you build a foundation for a great business!