Best Practices for Winning an RFP

In the world of business, the Request for Proposal (RFP) is a common method used by organizations to solicit competitive bids from potential suppliers or service providers. Winning an RFP can be a great opportunity to showcase your expertise, expand your customer base, and grow your revenue. However, it can also be a challenging and time-consuming process that requires careful planning, research, and writing. In this article, we'll explore the steps and strategies for winning an RFP.

Identify an Advocate

Historically, the odds of winning an RFP are low. According to Loopio, 44 percent of organizations win RFPs. Based on my personal experience and feedback from my network, that number is overly generous. I expect to win 10-20 percent of RFPs (where my business was not an incumbent and we’re going up against multiple vendors). As such, it is essential to identify and leverage an internal advocate. While some marketing agencies will not respond to RFPs as a policy, many more agencies I know will only respond if they already have an internal advocate to give them an advantage.

Understand the RFP Completely

The first and foremost step in winning an RFP is to thoroughly understand the document. Take the time to read it multiple times, highlighting key requirements and deadlines. Pay attention to evaluation criteria, mandatory qualifications, and any specific guidelines. A deep understanding of what the client needs is essential to craft a tailored proposal. Reach out for clarification if any part of the request is unclear. Your proposal should demonstrate a deep understanding of what the client is looking to achieve.

Build a Winning Team

Assembling the right team is crucial. Depending on the complexity of the RFP, you may need experts from various departments such as sales, project management, legal, and finance. Each team member should have a clear role and contribute their expertise to the proposal. Collaborative effort often leads to a more comprehensive and compelling response.

Research the Client

Before you start crafting your proposal, take the time to research the client. Understand their industry, business challenges, and goals. Tailor your proposal to showcase how your solution aligns with their specific needs. Demonstrating that you've done your homework can set you apart from competitors. Thoroughly understand the audience and decision criteria, which may require deeper conversations with the company contacts.

Outline Deliverables and a Project Plan

Create a comprehensive, realistic project plan that outlines deliverables, timelines, milestones, and measures of success. Estimate reasonable costs for completing the work. Demonstrate you have thought through how you will execute the project. Lay out your approach for addressing the client’s needs and highlight your methodologies, ideas, and proposed solutions. Go beyond simply stating what you can do and explain how you will do it. Back up your claims with evidence and outline the next steps.

Tell A Story

While facts about your product or solution may help make a case, crafting a compelling narrative will help sell your offering. Create a story where the prospect is the hero when they partner with your organization. That may include customizing your solution or getting a little ‘creative’ with your storytelling. Avoid the one-size-fits-all approach at all costs. Address their pain points directly and highlight the unique value you can provide. Use case studies, testimonials, or previous project success stories to reinforce your capability and narrative.

Be Clear and Concise

Answer all questions thoroughly and with flair, yet your response should be clear and concise. Use simple language and avoid jargon or overly technical terms that the client may not understand. Better yet, utilize language you know the client and their customers use to demonstrate knowledge of the industry and its business. Ensure that your proposal is well-structured, making it easy for the evaluators to find the information they need.

Comply with All Requirements

Pay close attention to formatting, length, submission guidelines, and other RFP requirements. Proposals that don't follow instructions run the risk of disqualification, so your proposal follows all instructions, from submission format to content requirements. Make sure you address every question and requirement thoughtfully and accurately.

Go Above and Beyond

While complying with all requirements is critical, it can be beneficial to over-deliver in strategic ways. For example, be prepared to provide customer testimonials and references, regardless of whether the RFP requests them. The same is true for case studies, success stories, online reviews and references to relevant materials such as blog posts, articles, webinars and white papers. Don’t forget to incorporate industry awards and recognition to validate your credentials.

Provide a Competitive Pricing Strategy

While you want your proposal to shine in terms of quality and innovation, pricing is a significant factor. Be competitive without compromising your profitability. Offer a transparent pricing strategy that clearly outlines costs and any potential cost-saving measures. One strategy that can be very effective is to respect the proposed budget or range with your proposed solution, yet outline creative options above and beyond, to demonstrate your vision, scope of offerings and ability to grow with the client.

Review and Edit Thoroughly

Once your proposal is ready, have it reviewed and edited by multiple team members, if not a professional editor. A polished, professional response makes a strong impression. Typos, errors, or inconsistencies can detract from the professionalism of your submission. A fresh pair of eyes can catch issues you (or software) might have missed. Have both subject matter experts and general proofreaders review for accuracy, if available.

Submit on Time

Meeting the submission deadline is non-negotiable. Late submissions are often disqualified. Prepare well in advance and have a buffer for any unforeseen issues that may arise on submission day. If possible, set a premature deadline for submission and deliver the response as quickly as possible to control the narrative and set the bar. RFP responses that arrive late are less likely to get similar consideration.

Follow Up

After submission, follow up with the client to confirm receipt and inquire about the evaluation timeline. It's also an opportunity to clarify any questions or provide additional information if necessary. Reiterate your interest and commitment to the project. Time allowing, continue following up with related news or updates to build rapport with your client contacts (being sensitive to RFP contact rules and personalities).

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Winning an RFP is a challenging but rewarding process. It demonstrates your company's ability to provide value and meet the needs of your clients. By understanding the RFP, customizing your solution, and delivering a clear, well-structured proposal, you can increase your chances of success. Remember that even if you don't win a particular RFP, the effort put into the process can lead to valuable insights and relationships that benefit your business in the long run. Each completed RFP provides a learning opportunity to increase your chances of winning future business.