Jun 17, 2019
Why you have to check out today’s podcast:
- Learn how the Business to the Government (B2G) procurement process happen to help you understand how to sell to governments
- RFP: Cost Plus Pricing Model and Business Case-Based Pricing: Learn more about how value pricing model works when dealing with government
- Negotiation in public procurement: Crafting alternate proposal and why government procurement teams do not sometimes consider it
Chris Street is a value expert, an experienced analyst within the aerospace and defense sector. He can be found driving the implementation of Position-to-Win and Value-Based Pricing across Thales UK with occasional cameos in Paris. He earned his Business Studies at the University of Brighton.
In this episode, Chris shares his expertise when it comes to Business to the Government (B2G) procurement process. He will also give us an overview of the procurement process every government sector goes through and use that knowledge to gain an unfair advantage against competitors in a bid to win contracts.
“Always understand your competition, understand what makes them different, what makes them special, but then understand what value you're bringing and what makes you special as well. If you don't understand the competitive environment, you've got no way of being able to articulate why you're different, what makes you special.”
– Chris Street
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Topic Covered
01:27 – Chris sharing his career background
04:10 – The best pricing value of a product to be sold to government or military
04:58 – The request for quote process and the important details about it
05:48 – How to figure out a competitors pricing model
07:21 – How much profit margin are you willing to have to secure the government's contract with them
08:23 – Explaining the Business Case-Based approach
09:40 – Discussing the Cost Plus Pricing approach and sole source bid
10:01 – The advantages of going competitive rather than a sole source bid
13:13 – Relevance of metrics in the CRM and RFM
15:25 – Thoughts on "government or anybody writing RFP are not experts"
18:00 – Procurement team power: B2B versus B2G
19:45 – How many proposals to give when responding to RFP
22:16 – What transpires after you win a contract with the government
Key Takeaway:
“Everyone thinks their own technical features are unique and amazing, but ultimately if your competitors are doing the same thing, you've got no differentiation, you've got no ability to grab someone at a premium. So my advice is, keep an eye on what those competitors are up to. Make sure that you're staying one step ahead.” - Chris Street
Connect with Chris Street:
Connect with Mark Stiving
Email: mark@impactpricing.com
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