The Bidder Truth
For
decades, bid networks have been a vital nexus between public
procurement and suppliers, helping agencies get the necessary goods and
services that keep jurisdictions running smoothly and safely. Buyers are
well aware of the broad spectrum of bid networks across the country,
each offering (what appears to be) a similar user experience to buyers
and suppliers alike. There are, however, some critical differences in
accessibility and functionality that have a major impact on supplier engagement and competition. Let’s review some of the most common vendor roadblocks we see within most bid networks.
Roadblock #1: Pay-to-play Vendor Accounts
Nearly
every bid network promotes “free registration and bid alerts from
selected agencies.” The good news? It’s true! Vendors can register and
receive free bid alerts from the agency of their choice. This appears to
be an ideal setup as public procurement is focused on equity,
accessibility, fulfilling DBE initiatives, etc., right? Well, sort of.
Did
you catch the nuance within the phrasing and use of “agency” in the
singular? It’s okay if you didn’t; this is clever marketing at its
“finest.” So, what happens when a vendor tries to sign up to receive bid
alerts from a second government agency? The bid network prompts the
vendor with a payment screen, encouraging them to sign up for “premium
alerts,” which will grant them the ability to receive alerts from
multiple agencies. Premium alerts often cost vendors between $350-$1,800
per year. Understandably, this is a massive barrier of entry for many
small and often local businesses who simply can’t afford to pay fees
just to review bid details. Moreover, there’s usually 3-6 bid networks
in any given region (you can do the math).
Consider using a
network that never charges vendors to get alerts from multiple agencies.
It’s common for agencies to see a 2-4x increase in supplier engagement
simply by removing the aforementioned pay-to-play model, which (if we’re
honest) is the antithesis of equity and accessibility. Not to mention,
it could be preventing agencies from meeting their DBE goals and
capturing federal funding.
Roadblock #2: Unique Vendor Logins for EVERY Agency’s Bid Portal
It’s
hard to believe, but many bid networks require vendors to provide a
unique login to access bids from the agencies they’ve subscribed to.
Let’s
say you’re a construction contractor who’d like to view bid alerts from
every jurisdiction within the county you’re located in (seems
reasonable!). Next, imagine there are 15 jurisdictions within that
county. This means the contractor must create 15 unique logins with 15
unique passwords and monitor email alerts from 15 accounts (unless they
pay for premium alerts, of course)! This setup can be encumbering,
making it very challenging for the contractor to keep up with current
bid opportunities. I know I can barely keep pace with one email account.
On
the contrary, some bid networks offer free universal login AND never
charge vendors to receive alerts from more than one government entity.
So, in this case, the contractor could log in to a single bid portal and
easily access bid opportunities from each of their agency
subscriptions. This streamlined, centralized, and equitable approach
results in better vendor relations and increases bid views by a
significant margin.
Roadblock #3: Support
Most
bid networks offer some level of support to agency users. Often,
agencies are given a dedicated customer service representative, an
e-mail for support, and even a number they can call for assistance. But
what about the vendor experience? Shouldn’t they be treated like
customers, too?
The best bid networks support features and
services that delight vendors. For example, are they guided through the
bidding process with intuitive workflows and automation, or does the
experience more closely resemble a file-transfer program? Does the bid
network include error-checking, or are buyers responsible for contacting
vendors to complete their bid response? When vendors have technical
questions, can they seek help through live chat support, or do they need
to call the agency? A thoughtful user experience, automation, and
strong bid network partner can save buyers several hours in a given week
while fostering more completed, compliant bid responses.
Roadblock #4: Hunting and Pecking for Bid Details
How
easily can suppliers view bid details to see if their company is a good
fit for a given opportunity? Unfortunately, most bid networks offer a
dated user experience where suppliers must:
Log in to see basic bid details
Download several large PDFs
Rifle through dozens of pages to find sections of interest
This
process lacks the modern user experience folks are used to on their
phones, which leads to frustrated suppliers and lower, slower response
rates.
Modern bid networks allow suppliers to see basic bid
details without having to log in. Suppliers can easily review and
qualify bids using their mobile devices without having to download PDFs.
Basic solicitation data is easily accessible (not hidden with PDFs) and
organized in an intuitive step-by-step setup. This method has been
proven to boost bid views and responses, increasing competition and
ultimately empowering Procurement to get the best value.
In short,
try taking a walk in your suppliers’ shoes. See what it’s like to
respond to your agency’s bid opportunities and highlight the previously
mentioned roadblocks that may be affecting equity, accessibility, and
competition. There may be some adjustments you can make to your process,
or, perhaps, other modern solutions that provide an optimal bid
response experience that leads to more equitable, fruitful outcomes.
See more information on OpenGov Procurement or watch a Product Demo.