Your ‘Bid-Hit Win Ratio’ is a scoreboard that displays your win-loss percentage for jobs that you propose and bid on. If your scoreboard indicates a Bid-Hit Win Ratio of 4 to 1, you’re averaging one contract award for every four jobs you bid on. If you’re a formwork company Sydney features, you should pay attention as we’ll be divulging some insider tips.
Construction firms that negotiate a lot of business have lower Bid-Hit Win Ratios, but they also have to pay more for marketing, sales, pre-construction services, customer development, and public relations. The list of formwork companies that obtain the majority of their work through competing on public works projects or consistently compete against a lengthy list of rivals have greater Bid-Hit Win Ratios and, on average, more estimators on staff, which offsets the less marketing dollars they spend.
To be successful, you must first understand and measure your win percentage by work and client type, and then seek ways to enhance it.
What’s your strategy to improve your win ratio?
Being the most sought-after formwork company Sydney features starts by submitting the right proposals.
To enhance your Bid-Hit Win Ratio, start recording the job kinds, clients, work sizes, and project locations you compete on, as well as the competitors you bid against. By getting on the correct bid lists, you may locate projects and clients where your bid odds are the best.
Concentrate your efforts on jobs with short bid lists and little competition by competing with an amateur list of formwork companies in Sydney. These tasks are often simple as compared to those that have a high barrier to entry, are tough to obtain on bid lists, require pre-qualifications, require more paperwork or certificates, are more complicated to create, are only accessible to project experts, or need a connection with the decision maker.
Do you frequently submit tenders for building construction and concrete formwork? Tenders need a significant amount of staff work to do properly – they can attract new business, you’re undoubtedly upset – and if you’re not getting results, you’re wasting your time.
Create a winning offer that stands out for all the right reasons – here are seven pointers to help you get started:
- Take time out to network. Many businesses select a vendor with whom they already have a connection. When it comes to landing a job, there is no replacement for meeting individuals in person. Examine industry events, organizations and memberships, LinkedIn, or ask your network for leads.
- Read the tender instructions carefully – and follow them! Tenders are formal papers that are used to separate the wheat from the chaff. If you do not follow the guidelines to the letter, your submission will be rejected right away.
- Consider each question carefully. Each component of your tender has been intended to help you identify the best company for the job. Always address the selection criteria and try to read between the lines to figure out what the customer truly wants.
- Do your research. Take the time to learn everything you can about the prospective client’s company. Who is their intended audience? What are their values and objectives? Is their company seeing growth? Begin your search online and tap into your network for relevant information.
- Write succinctly, clearly and directly. Every response should be concise and to the point. Use images to help you understand complex ideas and concepts. Keep to the word count asked – when a reviewer has to go through hundreds of complicated entries that don’t meet their particular demands, yours will stand out as a breath of fresh air.
- Be accurate. Sign whatever you’re meant to sign, and don’t forget to spell check everything. If it comes down to a contest between you and another firm, the more professional entry will always win. If in doubt, use a professional tender writer or editor to polish your writing.
- Submit early. Never delay your tender process till the last minute — this is a definite way to make blunders. Plan your available time methodically, allowing for unanticipated hitches – you don’t want to be hastily typing out the final response just before the deadline, or fretting about whether the courier will have enough time to bring your tender to its destination. Make a good first impression on the customer by submitting ahead of the competition – even if you’re only handing over a file to a receptionist, news about your professional demeanor will travel to the decision makers.
- Build a tender file. A copywriter and graphic designer may help you get ahead in the tender submission game by creating a business profile, capability statement, unique selling point statement, value proposition, and other basic corporate papers ahead of time. Keep them on file in case you need them – though each tender is unique, they will most likely share components within the same industry.
Other winning ways to improve your odds
Making difficult decisions is another strategy to boost your proposal’s chances of success. Never spend considerable time bidding on projects for customers unless you have a good possibility of landing the contract. Eliminate bidding on contracts that you will not win no matter how low you quote, projects with too many bidders, or tasks where the customer has utilized the same contractor on the last 15 tasks in a row. Determine how many competent and professional rivals you wish to face by reviewing other formwork contractors.
Before you begin working on a preliminary budget, estimate, or bid, always strive to establish a commitment and understanding from clients on how the contractor will be picked. Also, don’t bid on tasks when your organization isn’t viewed as an expert in a project type, you’re not a local contractor or subcontractor, or you don’t have enough.
Determine the appropriate task size to target by establishing the desired profit margin by establishing the minimal contractor overhead and profit fee. This will remove tiny jobs that you don’t really want and that take a long time to bid on. By focusing on certain project sizes, your estimating department will become more productive and competitive.
Offer MORE than pricing, service, and quality in your proposal whenever feasible. Service and quality construction are anticipated and will not provide you a competitive edge. Give customers a differentiating reason to hire you instead of your competition. Give customers what they want, help solve their problems, provide total solutions, reduce their risk, offer a guarantee and set your company apart.
Never bid on a job without first meeting with the decision maker. This is my major concern for private construction projects. Don’t spend your time and pass up the chance until you can meet with the decision maker before beginning work on an estimate. When you meet, inquire whether they would negotiate, who else is bidding, who they utilized on their last five projects, how the bids will be opened and assessed, what the selection criteria are, and what the most significant component is.
Not all of these strategies will work for you. But give them a go; you’ll be pleased with the results as they enhance your Bid-Hit Win Ratio and help you earn more employment. This way, you have the chances of landing more jobs and quickly be on your way to becoming a top-rated formwork company Sydney can boast of.