As per the increasing competition to get the contract the contractors try to bid more and offer the lowest possible cost. Contractors think that biding more or biding with the low prices will get them the contract, but it is not the right way. With the increase in complexity, it is essential to know how to win the bids within the profit.
To win the bids it is also essential to have the best and accurate estimate. For this, you can consider mechanical, plumbing, or electrical estimating outsourcing services. It usually happens that the contractors avail the best Takeoff services for their estimate but results in losing the bids. Bid winning also depends upon the estimate you provide. If are having the best-estimating services for mechanical estimating, electrical estimating, or any other estimate and still losing the bids you should follow the key point given below to win more bids.
5 points That will increase your bid winning ratio
- Do not Bid for Every Job
- Know Your Job Costs
- Highlight Your Qualification
- Use Technology to Increase Accuracy
- Track Your Bid-Hit Ratio
Do not Bid for Every Job:
Biding by just seeing the open window is not a good practice. You should focus on less amount of biding on the right-suited projects than bidding on the project that is not suitable for you. Reducing the count and enhancement in the quality is one of the key points to win the bid. While biding try to focus on your niche because it is what you do best. During the bidding process try to focus on the projects that are from existing customers because retaining them will be easier than having new ones.
Know Your Job Cost:
While delivering a bid, focus on the costs of the job, always try to handle the job cost in a way that can make your bid profitable. As mentioned earlier there is a lot of competition in bid winning so you should manage the cost-efficiently to win the bid within the profit margins. For this purpose, try to use software for job cost. It will track your labor and material cost and will identify the profit for you.
Highlight Your Qualification:
While writing the proposal you should mention your qualification, tell them about the milestones your team has achieved. This will be a positive point in your favor, and it will tell the reader that your team is the best fit for the job under consideration.
When you showcase your work, it will make you stand up against other companies in your competition. When there would be someone close to your bid, your mentioned qualification will let you have the bid.
Use Technology to increase Accuracy:
While availing takeoff services for mechanical estimating or for any other estimate ensure the use of to latest technologies. The reason behind this is the accuracy, the use of technology will increase the accuracy which will result in the ultimate success of the bid. Try to use the latest tools available for the bid preparation to ensure the full coverage of each desired point. Our clients who managed electrical estimating outsourcing tell us that the estimates they got using the software were more beneficial than the ones is performed on the paper.
Track Your Bid-Hit Ratio:
The most important point to keep account of is the track of your bid-hit ratio. Most of the contractors do not know about their exact bid-hit ratio which is not a good thing. Keeping account of the bid-hit ratio will allow you to measure the success rate of your bidding. The tracking of the number will not do any good for you. Instead of numbers you should check your bid wins and analyze what have you done differently in the bids won. This will help you do the same for the bids under consideration and your bid winning ratio will boost amazingly.
Conclusion:
All the above-given points conclude that just biding more or biding the lowest prices is not the key to win the bids. For enhancement of bid winning ratio, you should adopt a smarter bidding strategy and the above-mentioned points will help you make one.
