Using Public Sector Procurement Rules to Win More Contracts
Public sector procurement can be complex but by understanding the procurement rules and value thresholds, you can develop strategies to win more public sector customers.
Risk-Based Procurement Approach for Lower Value Tenders
Public sector bodies often adopt a risk-based approach to procurement, particularly for lower value contracts. This means that for contracts below certain thresholds, the procurement process may be simplified, allowing for more flexibility in supplier selection. Understanding these thresholds can help you identify opportunities where traditional sales approaches can be effective.
For example, contracts below £25,000 may only require a single quotation, while those between £25,000 and £100,000 may need three quotes. By engaging with public sector buyers through targeted marketing and relationship building, you can increase your chances of being invited to quote for these lower value contracts.
Maximising Opportunities through Framework Agreements
Framework agreements are a valuable tool for businesses looking to grow their public sector customer base. These agreements establish a pre-approved list of suppliers that public sector bodies can use to purchase goods, services, or works without running a full tender process.
By winning a place on a relevant framework, you can benefit from streamlined procurement processes and potentially win contracts through direct awards. To maximise your success with frameworks:
- Identify relevant frameworks in your sector and monitor upcoming opportunities to join them.
- Showcase your unique value proposition and demonstrate how you meet the framework's requirements.
- Once on a framework, actively engage with public sector buyers to promote your services and encourage direct awards.
- Deliver high-quality services to build a strong reputation and increase your chances of winning future contracts through the framework.
Using Transparency and Feedback in Public Sector Procurement
One of the key benefits of public sector procurement for suppliers is the transparency and feedback provided throughout the process. Even if you are unsuccessful in a tender, the feedback you receive can be invaluable in helping you improve your bids and win future contracts. To make the most of this opportunity:
- Carefully review the feedback provided by the public sector body. Identify areas where your bid fell short and consider how you can address these weaknesses in future submissions.
- If the feedback is unclear or insufficient, don't hesitate to request further clarification. Public sector bodies are obliged to provide transparent and constructive feedback to help suppliers improve.
- Use the feedback to refine your bid writing processes, ensuring that you focus on the key criteria and requirements that matter most to public sector buyers.
- Incorporate the lessons learned from previous tenders into your future bids, demonstrating how you have addressed any shortcomings and strengthened your offering.
Creating a Public Sector Sales Strategy
To effectively win public sector contracts, it's essential to develop a targeted sales strategy that aligns with procurement rules and value thresholds. Consider the following approaches:
- Focus on building relationships with key decision-makers in your target public sector organisations. Attend industry events, join relevant networks, and engage in thought leadership to establish your expertise.
- Tailor your marketing messages to address the specific needs and priorities of public sector buyers. Highlight how your solutions can help them achieve their objectives, deliver value for money, and comply with procurement regulations.
- For lower value contracts, invest in targeted direct marketing campaigns, such as email outreach and telemarketing, to generate leads and secure opportunities to quote.
- For higher value contracts, monitor tender opportunities through portals like Find a Tender and ensure you have the resources and expertise to submit high-quality bids that meet the specified requirements. Tender Pipeline is our free tool for finding tenders.
- Continuously evaluate and refine your sales strategy based on your successes and lessons learned. Seek feedback from public sector clients and adapt your approach accordingly.
By understanding public sector procurement rules, value thresholds, and the importance of transparency and feedback, you can develop targeted strategies to win more contracts and grow your business. Leverage the risk-based procurement approach for lower value tenders, maximise opportunities through framework agreements, and create a tailored public sector sales strategy that aligns with procurement regulations.
If you need expert guidance and support in navigating the complexities of public sector procurement, Thornton & Lowe can help. Our team of experienced bid writers and procurement specialists can assist you in developing winning strategies, crafting compelling bids, and securing more public sector contracts.