How do you conduct a market survey for tenders?

A market survey is a process by which you gather information about the market, competition, and potential contracting authorities to optimize your bidding strategy. In the context of procurement, market exploration helps you understand trends, market needs, and competitor behavior. This allows you to better align your bid with contracting authority expectations and strengthen your position against competitors.

Why is market research important in procurement?

A thorough market exploration helps you better understand what the contracting authority is looking for and how to differentiate your bid. It allows you to make strategic decisions that increase your chances of success, such as adjusting your plan of action, developing your USPs (Unique Selling Points), and assessing the competition. By exploring the market in advance, you can avoid tendering in a way that does not match the specific needs and requirements of the contracting party.

Benefits of market exploration:

Understanding competition: By exploring the market, you get a good idea of your competitors, their strengths and their weaknesses. This helps to improve and better position your own offering.
Better align with award criteria: Market exploration allows you to better understand the award criteria of the tender and respond to them in your bid.
Risk management: By identifying market risks early, you can take proactive measures to manage these risks and strengthen your risk analysis.
Strategic benefits: Market exploration can uncover new opportunities, such as niche markets, changing customer needs or innovations that you can use to strengthen your entry.

How do you conduct a market survey?

Gather information about the contracting authority: Start by gathering as much information as possible about the procuring entity. This can include previous procurements, the company structure, mission and vision, and their priorities. Analyze what types of contracts they issue and which suppliers have won before.
Research market trends: Look at the trends going on in the sector in which you operate. These could be technological developments, changing regulations or economic changes that affect procurement. By understanding the trends, you can better align your offerings with the future needs of the contracting agency.
Analyze the competition: Study your competitors thoroughly. Look at their previous bids, strengths, weaknesses, and how they position themselves. You can do this, for example, by analyzing their websites, studying public references, or even researching feedback on their previous projects. It is also helpful to look at competitors' EMVI elaborations if they are public, to learn what works and what doesn't.
Involve internal expertise: Involve experts within your own organization who have knowledge of the market and the specific procurement. This input can be invaluable in further refining your strategy. Consider project managers, sales teams or technical specialists who have previously dealt with similar tenders.
Conduct a customer analysis: Analyze the specific needs and expectations of the contracting agency. What exactly are they looking for? What problems do they want to solve? By understanding what the customer cares about, you can make your tender more focused and emphasize your USPs that address this.
Use market consultations: Some contracting authorities hold market consultations prior to the formal solicitation. This provides an excellent opportunity to engage with the contracting authority, ask questions and deepen your understanding of their needs. It also allows you to provide feedback that can influence the final procurement criteria.
Use external sources and reports: Use market reports, surveys, and external data to get a complete picture of the market. These sources can provide valuable information about trends, market shares, and customer needs that may be relevant to your enrollment.

Applying the results of market exploration

Optimize your bid: Use the insights gained to tailor your bid to market needs and the specific requirements of the contracting authority. Adjust your plan of action to better meet the award criteria and make your tender stronger.
Strengthen your positioning: Highlight your strengths and work on your weaknesses. By knowing well where your competitors are underperforming, you can further emphasize your own strengths in your entry.
Adjust your pricing strategy: Market research can also provide insights that will help you refine your pricing strategy and make it more competitive. You can do this by seeing what are common prices in the market and how you can justify your price with added value.

Common mistakes in market research

Research too limited: Often market research is conducted too superficially, missing important information. Be sure to look broadly and use a variety of sources.
Take no action on insights obtained: Market research is only useful if the information obtained is applied in your enrollment. Make sure you translate the results into concrete improvements.
Failure to anticipate change: The market is constantly changing. Keep in mind changing trends and adjust your strategy when necessary.

Conclusion: How do you conduct a market survey for tenders?

A thorough market survey is an indispensable part of any successful procurement strategy. By thoroughly understanding the market, competitors and the contracting authority, you can optimize your bid and increase your chances of success. It allows you to not only meet the requirements of the tender, but to excel your bid and put down a winning offer.