There are a few essential components to keep in mind when putting together a proposal response in order to maintain your competitive edge, including research, the unique selling point of your company, fair pricing and following the guidelines of each individual RFP.
By Matthew S. Hollis
Through a Request for Proposal (RFP), companies can find suppliers to provide the various services that they are seeking. Publishing an RFP allows a company to hand select their vendor based on certain criteria. Businesses will look at each individual proposal that is submitted, and compare price, operations, commitment, performance and experience. They then decide which company would be the best fit for their criteria, considering the fundamental requirements that they are seeking in a company. Overall, a typical, formal Request for Proposal (RFP) is a way for a company to gain a better understanding of a supplier’s capabilities and pricing for services that the company desires to procure.
Specifically in the waste and recycling industry, customers are putting out RFPs to understand vendor options for handling their waste streams and recycling needs. This could be anywhere from traditional waste hauling, to waste handling equipment options, to cardboard recycling. There will be an outline of what exactly that company is looking for, along with questions for you on various available services and equipment to best suite them from a sustainability and cost perspective.
It is important for vendors to always be on the lookout for RFPs so you can submit your company in a timely manner in order to win more business and grow your portfolio. There are a few essential components to keep in mind when putting together a proposal response in order to maintain your competitive edge, including research, the unique selling point of your company, fair pricing and following the guidelines of each individual RFP.
Research
There are a large variety of companies who look for suppliers to handle their waste stream by putting out an RFP, along with a large variety of services that an RFP might encompass. When faced with a new RFP, first understand that you need to allocate resources into researching the potential client and their needs. Also research your competition so that you can strategize on the best way to get a leg up on what they might be submitting. Due diligence is definitely required in order to remain a viable option. We see a lot of vendors that will drive by the existing location(s) to confirm enclosure sizes and that the current information being provided is accurate. When it is not, they will bring that to the attention of the client and ask how they want them to propose the services (according to the bid, or according to what is actually on site). This is the perfect example to display the importance of doing the dirty work before sharing opinions or facts on what changes need to be made or on services you can provide. It would be hard to provide recommendations on how to improve the handling of the waste stream without fully understanding it first. When you are seeking to provide a service in fulfillment of an RFP, one of the most essential parts is doing the research work to demonstrate to the other party the commitment and performance that you are promising.
The Proposal
When a Request for Proposal is publicly available, be advised that there are numerous companies who will be submitting their services, hoping to win the business. That being said, figure out what it is that your company is really good at (equipment, service, alternative disposal methods, etc.) and be sure to highlight that in your response.
You want to be sure that your unique selling point comes across in the proposal and that you acknowledge your edge or advantages over other companies offering similar services in a fair and professional manner. It is important to not bash your competitors. To showcase your advantages, use customer testimonials in your proposal as well. There is no better way to assist your potential client in forming a positive opinion of you than taking a step back, and just letting the business hear from people who have experienced working with your company directly, including no negative mentions of the competition.
It is also essential to price your services correctly. If you are a hauler, take the time to understand the stop and route density in order to ensure that your pricing is as competitive as it can be. Ask the company representative to give you the opportunity to match to win, or have a last look if you are the incumbent vendor so that you can work with them on the pricing.
To sum it up, doing your homework on the company is the first step. Knowing what your company excels in will be the backbone for your proposal, along with suggestions for handling waste in a more sustainable and cost effective manner. Having a fair price will keep you in the running. Ask the potential client for feedback and the opportunity to work on any aspect of the proposal that is not well received. All of these combined should help ensure that your response is ahead of your competition and that you are setting yourself up for success to win the business.
Pitfalls
Demonstrating all of your experience in the waste industry prior to the request for proposal at hand will allow the business to trust your company. However, there are pitfalls every once and awhile when submitting proposals that you should keep in mind.
Be sure to read, re-read and re-read again the RFP to make sure that you are submitting exactly what they are asking for, and in a timely manner. Submitting a late proposal will likely cost you the business. In addition, be sure that you understand formatting and follow the guidelines listed in the RFP. Understanding and following directions will make a great first impression, before your proposal is even read. A simple mistake can diminish your competitive advantage.
Becoming High in the Ranking
Though each Request for Proposal (RFP) may vary, the essential tips and best practices to keep a competitive edge stay the same. Do your research, highlight your strengths, be conscious of your competition, price fairly, communicate with the company, and avoid common pitfalls. With these in mind, your company will be high in the ranking for being the chosen vendor and acquiring new clients.
Matthew S. Hollis is the President of Elytus (Columbus, OH), an innovative waste management company committed to helping their clients #wastenothing. For more information, visit the www.Elytus.com or their social media page, @Elytus.
Be sure that your unique selling point comes across in the proposal and that you acknowledge your edge or advantages over other companies offering similar services in a fair and professional manner. Photo courtesy of Unsplash.