Growing your business and securing new contracts is what keeps a government contracting company alive.
Growing your business and securing new contracts is what keeps a government contracting company alive.
But if it were easy, everyone would be good at it.
Between compliance demands, limited resources, and tough competition, success can seem like a massive hurdle. But the application of time-tested, winning strategies mixed with modern technology can turn your strategies and plans into a winning reality.
Let’s talk about some actionable business development strategies – supported by insights from the 2024 GAUGE Report – to help you improve the way in which you secure new business, strengthen relationships, and leverage technology to increase your win rates.
Building relationships in government contracting is how successful GovCons are built. According to the GAUGE Report, 74% of contractors rely on personal relationships as their primary way of finding new opportunities.
To turn those relationships into contract wins, be intentional and strategic:
Tools like GovTribe or LinkedIn can help you identify program managers and contracting officers relevant to your targets. Understanding their priorities, pain points, and current projects then leads to meaningful outreach.
Instead of sending generic emails, craft tailored messages that address specific challenges your prospects face. Show how your solutions can directly solve their problems.
Relationships aren’t built overnight. Set reminders to periodically check in with your contacts—offering relevant updates, insights, or simply maintaining the connection. Having software in place that tracks your relationship history - to include vital prospect data and communication records – helps achieve this.
If you’re pursuing a contract without sufficient past performance, partner with firms that complement your capabilities. Teaming up can enhance your credibility and help fill performance gaps.
Taking a focused, personalized approach to relationship management allows you to develop the trust and influence necessary to stay top-of-mind for upcoming contract opportunities.
Efficient business development is a necessity when resources are limited – a challenge highlighted by 45% of GovCon firms in the GAUGE Report. To derive the most value out of the resources available to them, business development teams need to embrace technology that can automate manual tasks and provide strategic insights.
Consider these kinds of tools:
Tools like Unanet’s CRM help simplify the proposal process, from automating RFP tracking to generating standard responses. This reduces time spent on administrative tasks, ensuring faster, more consistent submissions.
Ensure your CRM is connected with your opportunity tracking software. This integration gives you a real-time view of client interactions, proposal status, and upcoming deadlines—all in one place.
Instead of relying on spreadsheets, use a platform that tracks RFP statuses, sets reminders for deadlines, and flags changes in contract details. This ensures nothing falls through the cracks, even when managing multiple opportunities.
With the right tools, you can reduce the burden on your team, allowing them to focus on higher-value activities like proposal writing and relationship building.
Balancing compliance with growth is a persistent challenge, especially as regulations become more stringent. The GAUGE Report highlights compliance pressures, with nearly 40% of firms spending over 40 hours a month on compliance activities. Managing these demands while keeping your business development efforts moving will keep you successful.
Start by listing all compliance requirements for each solicitation, including cybersecurity certifications like CMMC 2.0, which is expected to take effect in 2024. Getting a clear picture of requirements from the start helps avoid delays.
Tools like Unanet’s project-based Unanet GovCon ERP can help manage compliance tasks by tracking contract clauses, certification renewals, and required reporting. Automated alerts ensure your team is always informed and ready to act.
Regulations like CMMC 2.0 are critical for GovCons looking to stay compliant and competitive. Prepare your team by offering regular training on compliance updates, ensuring that everyone is aligned with the latest requirements.
Embedding compliance into your business development process from the beginning helps avoid last-minute rushes and position your team as a reliable, compliance-ready partner for government agencies.
Data-driven decision-making can maximize your business development efforts. However, many contractors are missing out on key insights because of poor data quality.
The GAUGE Report notes that about 40% of GovCon firms are not confident in the quality or accuracy of their data, hindering their ability to make informed decisions. Here’s how to get your data working for you:
Ensure your CRM and opportunity tracking systems are up to date by removing duplicate entries, updating contacts, and correcting any errors.
Clean data helps avoid missteps and provides a more accurate picture of your pipeline. Having software in place that enables your entire organization to access real-time, precise data is a must.
Break down your opportunities by factors such as agency, contract size, and past performance. This helps identify trends where you have strong opportunities and which areas require more attention.
Use analytics tools to evaluate your win/loss patterns. Are there certain agencies where you perform better? Are certain contract types more profitable? Understanding these patterns allows you to focus your efforts on high-probability, high-value opportunities.
Define key performance indicators (KPIs) for your team, such as the number of proposals submitted, win rates by agency, or average time spent per proposal. Tracking these metrics will help identify areas for improvement and ensure you stay on track with your business development goals.
By improving your data management processes, you’ll be able to make more informed decisions and target the right opportunities, ultimately increasing your win rates.
AI is quickly becoming an essential tool for government contractors looking to scale efficiently. According to the GAUGE Report, AI is already making a significant impact, with 25% of the firms surveyed saying they already use it for business development and marketing. Here’s how to integrate the capabilities offered by AI-powered systems into your business development efforts:
Use AI tools to generate standard proposal sections, such as compliance narratives or past performance summaries. This frees up your team to focus on more customized, strategic aspects of the proposal.
AI can analyze historical performance and market trends to predict the likelihood of success for each opportunity. This allows your team to prioritize high-probability contracts and avoid wasting resources on less promising bids.
Use AI to automatically review your proposals for compliance with solicitation requirements, flagging any missing sections or discrepancies. This reduces the risk of non-compliance and ensures your proposals meet all requirements.
AI tools can assess RFPs based on your firm’s past performance, resource availability, and competitive positioning, helping you quickly triage and prioritize opportunities. That way, you don’t just pursue every opportunity – you pursue the opportunities you are most likely to win.
Success in government contracting requires a blend of relationship-building, smart use of technology, and data-driven decision-making. The 2024 GAUGE Report highlights the growing role of AI, compliance automation, and data management in driving business development success.
Implement these strategies and your team will be better positioned to win more contracts, build stronger partnerships, and achieve sustained growth.
Looking to make business easy while freeing up more time to do the work that matters? Learn how Unanet can help. Schedule a demo today.