Hey! General Contractors: HOW TO GET MORE BIDS EACH WEEK
It’s generally accepted within the construction market that the best way to submit a construction project bid is to provide the most accurate quote and then deliver the lowest possible bid based upon that cost estimate. But in a competitive environment, general contractors win only 1 out of 6 bids and subcontractors only 1 out of 7 bids using this tactic. For some contractors, bid win rate is as low as 1 out of every 35. No wonder construction pros often claim they can’t win bids in such a competitive environment, grumble that they’re tired of cutting bids to beat the competition, or worry they simply can’t make enough money to survive.
There is a bright side. Construction is one of the largest industries in the United States today. Ken Simonson, of the Associated General Contractors of America, says that there are over 650,000 employers and over 6 million people employed in the construction industry today. He adds that over 1 trillion dollars worth of buildings are created in the industry annually. In this saturated climate, the tools and software one chooses often plays a significant role in setting them apart from the competition.
What if you could actually start winning more construction bids every week, based on speed and communication, as opposed to providing a low bid? With the 3Dazer Pro laser measuring device and project management app, it has never been easier to give yourself a competitive edge on the competition and get more bids each week while also managing your business more efficiently than ever. In an extremely competitive environment like the construction business, you need to do more than just submit the lowest bid. You need to go the extra mile: you need to start bidding competitively. 3Dazer Pro helps achieve this from every angle of the process beginning with the pre-sale bidding moments to working its way through project management and process of completely the project.
No more low balling! It is not always the way to get you the job. To bid more competitively, you’ll need typical strategy and the right tool, which includes accurately estimating costs and improving your speed and accuracy.
You’ll need a short cut to the bidding process.
Short cut #1: Get Productive
Once the pre-sale process begins, 3Dazer Pro instantly makes an efficient impact on the business of construction project managers. This is because the fast and easy laser measurement technology saves the recorded data right onto the app. It is a fact that at least 40% of companies don’t understand or track their costs, and if you’re losing more construction bids than you’re gaining, you should ask yourself if you truly know the costs of executing a construction project. More importantly, you should know if you could execute your bidding of the project more cost-effectively. But the best way to bid more competitively is not just to track costs so you can provide more accurate estimates — it’s to improve your overall productivity. By improving your construction productivity, you’ll reduce your costs so you can bid more competitively. This means getting the bidding estimation done quickly and getting the bid to the client fast. This not only saves the construction project manager a ton of time but also reduces equipment, supplies, and employment costs and allows the contractor to go from job site to job site creating bids from more and more clients every week.
By making even small improvements to your productivity on the job site, you can expect to experience significant cost and time savings.
Short cut #2 - Getting There First
Once the 3Dazer pro is in the hands of the sub-contractor, it becomes effortless to send estimate info and measurement data back and forth among limitless job sites and projects. This makes the process of receiving pricing information and vendor/supplier estimates as easy as sending a text or email featuring a link to the bid at hand. When all parties from the contractor to subcontractor, vendor to client are all using 3Dazer Pro, the communication becomes seamless and there is little to no room for error due to detailed, drawn out floor plans, shared photos with attached notes and voice memos, and actual laser-accurate measurements. 3Dazer pro helps manage projects with laser-like precision before the actual project even begins. One of the easiest ways you can win more bids is to get there before the competition. Yes, you need to be there FIRST. It’s difficult to win a bid against 20 or 25 competitors, but what about 3? The more bids a general contractor proposes, the greater likelihood they’ll lose the bid. By using construction networks and referrals to find jobs and projects before your competition becomes aware of them, you can be there first and increase the probability that you’ll win the bid, especially if the client is in a hurry.
Short cut #3: Bid the Right Project for You
Just because a job exists, doesn’t mean you should bid for it. One of the worst mistakes many contractors make when submitting construction bids is to bid on every job they find. The Project management phase of utilizing 3Dazer pro adds so much to what your construction business is capable of. It allows you to use voice to text function for taking invaluable notes about the job site, as well as document notes in real time next and pin as many as you want to each specific photo of the project. As an added bonus, these photos and all other info gathered won’t take up any space on the storage of an iPhone or android. This is due to the fact that 3Dazer Pro uses cutting edge cloud sharing technology so as to make the experience for the construction project manager that much easier and give all other parties involved even less to worry about. While it’s easy to assume that competitive bidding is a volume game, meaning, the more you put in, the more you’ll get out, in many cases it’s actually not the case. By narrowing your list of bidding opportunities, you’ll be able to improve the profit of your bids and select bid opportunities with a higher probability of converting those bids into customers. Bid on your niche. By that I mean you should figure out what you’re best at and bid only on those jobs. Stop bidding on projects you can’t win. There are some projects that you can’t win no matter how much energy and effort you put into your proposal. Take the time to find out and make a decision to bid only on jobs with fewer than 5 competitors.
Shortcut #4: Be Valuable
3Dazer Pro also allows for the project to be tracked daily which not only allows for the contractor to keep tabs on many projects at once, but also holds subcontractors accountable and can give clientele daily updates as to the status of their project. With the ability to keep project managers, subcontractors, vendors, and clients updated daily on all projects, 3Dazer Pro allows for an immensely elevated level of communication and efficiency that no other product on the market can rival. The way this communication and efficiency is able to come to fruition is via sharing documents and photos, messaging, and marking up plans all on the unique interface of the 3Dazer Pro app. Sell “price” less and “value” more. Expertise and experience — Do you and your team have the most skills and experience when it comes to the type of project you’re bidding on? What about quality and the size of the team — Do you have a highly skilled people working for you now? How readily would you vouch for them? Do you have a good Reputation? This is huge. Your reputation means others have trusted you and people will pay for peace of mind and financial security.
According to the Bureau of Labor Statistics, in 2016, there were over 200,00 documented carpenters, 300,000 plus construction laborers, 400,000 electricians, and 300,000 plumbers and pipefitters. With so many contractors and sub contractors all with various projects to attend to on a daily basis, you will need to show your value through productivity, efficiency, and accuracy of any project with ease.
Lastly, now that the PM has generated more business using 3Dazer Pro, there are notably more clients to attend to daily. The 3Dazer Pro app allows constant and clear communication with all clients on all projects and increases the quality and ease of business immensely.
In today’s competitive climate, construction professionals often find themselves struggling to win bids while maintaining profits. Many try to solve this problem by increasing their bidding volume but succeed only in wasting precious time, money, and resources. While developing a bidding strategy that will increase your odds of winning more bids, by using the short cuts above, you’ll be well on your way to winning more construction bids with fewer proposals.
-Head of Sales, Co-Owner at 3Dazer