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4 Reasons Why Procurement Isn’t Seeing Optimal Bid Participation

Friday, January 24, 2025  

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.

About the author:

Picture of Pete Gorman
Pete Gorman

Sr. Product Marketing Manager, Procurement — OpenGov