I am frequently told “I lose all bids, because the competition is submitting extremely low prices to get the job. There is no way that they can possibly do the job for the submitted price!”
First of all, there are and will always be companies that bid low to get the job. But there are many times that we price ourselves out of the game. Simply put, if we offer the same service as everyone else than all the customer is going to consider is the price.
In your proposals do you include the benefits of doing business with you? Or, do you only emphasize all the features of your company?
Think about the last major purchase you made. Did you wake up in the morning and just decide to purchase an item? Or was there a point in the decision making process where you made a comparison of all the features and benefits of several competing products and then made your decision?
Provide your prospects with as many reasons as possible to chose you over the competition. If you offer everything the competition offers and nothing more, than the customer has no choice to make. But if you offer additional services that can help make the prospect’s facility cleaner, healthier, Greener, reduce other costs, or make it more sustainable, than even if your price is higher, you may still be awarded the contract.
