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Bidding Tactics: Let Prospective Clients See Your Best

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An invitation to submit a proposal for an upcoming project is always a big deal. You’re excited and want so much for your bid to be accepted but even if you don’t make it this time, the opportunity to be a serious contender for a contract is always a vote of confidence. The bidding process itself is your opportunity to shine. At every facet of your proposal package, you have a chance to make a favorable impression. Step by step, you can give your prospect reasons to say yes to you!

You win the prize by telling the story of your company in a way that communicates your expertise and dependability. Your strategy is to first anticipate the questions that project decision-makers can be expected to have about a candidate and second, provide information that is likely to make the decision-makers feel confident that your organization is right for the role. In sum, you want to package and present your company in a way that radiates credibility.

First, you must decide whether or not you will submit a proposal for the assignment. It is important that you understand the company and the project before immersing yourself in developing a proposal. A reading of the project specifications will confirm if the assignment is a fit for your organization. A tour of the company website will familiarize you with the company’s products, services, mission and values and indicate whether you’ll be comfortable working closely with this company.

It’s also advisable to ask your contact at the organization to share with you the primary goals of the project, so you’ll gain a perspective of what the project means to company leaders. Finally, ask your company contact to share with you the metrics that will be used to measure project success. These insights will help you to decide whether or not to submit your proposal.

If you decide that this is a go, you want to give the decision-makers for the project every reason to select your proposal. Below are documents and other information to include in your proposal package that answer nearly every question about your entity, products and/or services and as it communicates your Experience, Expertise, Authoritativeness and Trustworthiness and advances a narrative designed to please the project decision-makers (and also the Google algorithm).

Capability Statement

Capability Statements are used to evaluate and weed out contract applicants, so submitting one that’s eye-catching and presents your company’s strengths can be the difference between winning and losing an assignment. Furthermore, a Capability Statement can help you to identify and describe your core competencies and unique value proposition.

Succinctly introduce yourself and your company’s products and/or services and tell the project decision-makers your story—exactly what your organization can do for them and why your organization is the best option. Your story must clearly demonstrate that you (and your team, if applicable) are capable and prepared to produce the deliverables on time and within budget, happy to provide excellent customer service and a pleasantly memorable customer experience.  Below are attachments that can accompany your Capability Statement and enhance its impact.

  • Bio
    A personal introduction to you, your (usually one page) bio will provide a concise overview of your most relevant educational and professional qualifications and accomplishments.
  • Client List
    If you have prestigious, high-profile clients in particular, list them (unless there is an expectation of client confidentiality). If you have very few clients, add jobs and your employers, projects and volunteer work, focusing on assignments and posts that relate to the project you would be hired for.
  • Portfolio
    Include relevant and persuasive samples of your work, to demonstrate that you are qualified and can be expected to excel in the role. 
  • Testimonials
    Ask those with whom you’ve worked closely, whether clients or those who have supervised you. Three to five recommendations is ideal.
  • Workflow
    This section shows clients you have a process, a system for writing and working on projects. It tells clients you’re a professional and gives them clear expectations. Most important, as they read it, they begin imagining what it will be like to work with you.
  • Schedule of Estimated Investment
    AKA, your pricing. Prospective clients will be interested in the scope of products and/or services that your company offers and the range of your fee schedule.

Once you’re hired (and you will be hired because you are the best candidate!) you can take a few steps to streamline and enhance your on-the-job performance:

  • Task Prioritization Begin by identifying your most critical tasks and deadlines. To-do list tools, project management apps (e.g., Asana or Trello), or time management techniques like the Eisenhower Matrix can help you prioritize effectively.
  • Project Calendar develop a project calendar to visualize deadlines and milestones for your your project. This helps you allocate time appropriately. For example: A Freelance digital marketer can create a calendar to manage social media campaigns for the client, ensuring posts are scheduled strategically and are uploaded according to plan.
  • Time Management Time management is the engine of successful Freelancing. Learn to allocate your time wisely and pace yourself to ensure that you maintain the energy, concentration and creativity that are the foundation of your professional expertise.
  • Time-Tracking Tools Utilize time-tracking apps (e.g., Clockify or My Hours) to monitor how you spend your work hours. This also helps identify areas where you might be losing productivity.
  • Communication Maintain timely and clear communication with your clients. Keep the project point person informed about your workload, progress, achievement of milestones and any potential delays or obstacles.

Regularly Update Your Portfolio Periodically refresh the content of your online profile with updates that display the most current examples of your best work and simultaneously demonstrate the demand for your products and/or services. Writers will provide links to recently published articles and those who’ve worked on a big project or worked with a prestige client will document the experience to verify your professional expertise and the power of your brand.

When to Say No Avoid taking on too many projects simultaneously and overextending yourself. Politely decline offers that you can’t accommodate without compromising the quality of your work. Effective management of your Freelance assignments is essential for sustaining success and maintaining a healthy work-life balance. By prioritizing tasks, managing time efficiently, staying consistent and handling multiple projects strategically, you can thrive in the Freelance sector.

Thanks for reading,

Kim

Image: © Shutterstock Asianmaninterview.jpg

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“What’s In the Budget For This Project?”

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Hallelujah! A prospect you’ve courted for quite some time has finally agreed to consider using you for a project. You’ve been invited to meet with a couple of members of the project team. You’re preparing for the meeting like a seasoned pro and that includes asking questions that show the prospective client’s priorities matter to you. You’ll ask about the ideal outcomes for the project, how the project fits in with long-term company goals and how a successful project is expected to promote brand awareness and grow the customer base. You’ll ask who will make the decision as to the vendor and when that decision will be made.

You know the right questions will ensure that you understand what the project is expected to achieve and confirm your ability to produce the deliverables. The right questions also signal to the prospect that you intend to meet or exceed expectations. But after you’ve inquired about the project specs, remember to ask another question, an essential question that is sometimes neglected—-the amount of money that’s been earmarked for the project budget. Without ascertaining this vital piece of information, you cannot move forward. To think that you can write a credible proposal without first discussing at least a ballpark price is unfair to both yourself and the prospect. Do you shop without looking at the price tags? Of course not.

The budget is a critical component of the project specs and there must be transparency. Without knowing how much money can be made available, neither you nor the prospect will know if either can afford to do the project until the proposal has been sent and that is too late. When the money talk is omitted from the project specs discussion, decision-makers and stakeholders waste time.

Money talks are intimidating for many. You’re thrilled to be invited to meet with a prospect and you want to make a sale, you want to get to yes. However, if you’re going to be a successful Freelance consultant, you must learn how to discuss money. The money talk brings on the big reveal—-can the prospect afford to work with you (and the flip side, can you afford to work with this company)?

As you know, attitudes about money are an emotional issue and you won’t know how the prospect will respond until you go there. Some prospects are comfortable being up-front and transparent about the budget. Others are not that evolved—- they jolly well know their budget, but they don’t want to tell you. Oh, well!

Nevertheless, you must face up to your money talk and tiptoe through whatever emotional baggage your prospect may have. Here are three direct but polite money talk icebreakers that are guaranteed to make it comfortable for your soon-to-be client to be candid about the budget before you write the proposal. If you’ve done it right, you and the prospect will first discuss the pertinent matters, including budget, and your proposal will confirm in writing what the parties have agreed to.

  1. Is your budget in the hundreds or the thousands?

This question quickly helps you understand the resources that your prospect is willing and able to invest in the project. If the response in the thousands, you can further clarify by asking if an amount that seems reasonable would be in the thousands or tens of thousands?

2. Are you thinking $500, $5,000, or $50,000? 

This question encourages the prospect to verbalize a spending range for the project. Remember, these are not your actual prices; these are numbers that make it easier and less intimidating for the client to express what s/he can afford.

3. Would an amount somewhere between $7,000 and $10,000 be affordable?

Suggesting to the prospect a range that’s close to the higher end of what you’d likely charge for that type of project is another good tactic. This question lets you know what type of services the prospect can afford and will make it clear to both of you if it’s worth moving forward with you as the project vendor. Fish or cut bait.

Finally, if you choose to give a verbal estimate, say the price, or the range, and be quiet. Silence gives your prospect an opportunity to consider the price and respond. Silence also communicates that you have confidence in your price. The worst thing you can do is announce your price and then offer to negotiate it down before the prospect has had a chance to say yes or no. Resist the urge to say, “Will that work for you?” Or “We can negotiate that if it’s too much!”

The best lesson you can learn as a Freelance consulting professional is that your time and talent are worth money and you deserve to exclusively work with clients who value what you bring to the table. Those who who attempt to wheedle or bully you into accepting a price that does not reflect your estimation of the value of your services is best avoided. Have the courage and the self-respect to walk away, as disappointing as it is. There’s no point in wasting it on a proposal for a client who can’t afford you.

Having money conversations is not an art–it just takes confidence and practice.

Thanks for reading,

Kim

Image: Anand Purohit/Getty Images. An Indian lady is shopping and is ready to pay in rupees.

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Talking Your Way into the Sale

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Selling is an inescapable part of life and plays a significant role in your personal and professional sectors. Selling is a foundational life skill and your mastery of it can be a game-changer. When you’d like to get your hands on something that you value, it’s often necessary to sell a decision-maker and persuade him/her to agree that you deserve what you want—the acceptance of your proposal, approval of your promotion, or maybe just agreeing to have Italian food for dinner tonight instead of Mexican. But if the decision-maker declines to give you the green-light, you are left with two choices:

1.) Give up and walk away, perhaps to wait for a favorable outcome that might emerge in the future.

2.) Develop a strategy that might persuade the decision-maker to approve your request. Presenting the right information to the right person can open doors.

Because you are a savvy Freelancer, I am confident that you will not accept no for an answer. Your DNA tells you to climb through a window when the door shuts in your face. Achieving success usually requires a strategy, a road map and a script designed to overcome obstacles and objections. Those of you whose livelihood involves boots-on-the-ground selling must devise a proactive sales strategy, one that is finely attuned to the prospect’s needs, goals, competitive landscape, anticipated objections and budget availability.

In this era of economic uncertainty, prospects are inclined to scrutinize every dollar spent. Selling is more than ever an uphill climb that entails a delicate balance of relationship-building, negotiation and communication skills. Here are five steps you can take to help you persuade prospective clients to spend money when budgets are tight:

1. Stakeholder perspective

Because the most successful sales pitch is personalized and addresses the unique needs and concerns of those who will hear and discuss it, ask your prospect if you might schedule a 10 minute conversation with one or more of the project stakeholders in advance of submitting a proposal and/or having a meeting. At the very least, ask your prospect to supply background info that provides context.

You would be wise to learn, for example, what the stakeholders hope will be the expected impact on the prospect’s organization when the chosen solution is implemented? You would also be wise to ask how the stakeholders define success and, on the other hand, find out what worries them?

Your purpose is to get an indication of the perhaps unexpressed expectations that stakeholders have for the project. Once you figure out what’s going on behind the scenes , you’ll incorporate that information into your written proposal and talking points for the meeting.

2. Articulate benefits

Again, what do the stakeholders really want to see happen when the chosen solution is implemented? Is your solution expected to improve the company’s competitive position, create excellent PR and significantly enhance brand awareness and reputation? Or is your solution expected to position the company for growth or expansion?

Your proposal and sales pitch should clearly describe your solution, detail how it will achieve the prospect’s goal or resolve the problem and how it will also satisfy stakeholder expectations and concerns. Provide examples of tangible and intangible benefits that your solution will deliver and what the results will mean in terms of ROI.

The idea is to make it as easy as possible for your prospect, the stakeholders and the final decision-maker to agree that your solution is the ideal choice. When spending money is an issue, focusing your proposal and sales pitch talking points on the value your solution delivers and the return on investment derived is the best strategy.

3. “Now is the ideal time”

When persuading others to take action, it is wise to create a sense of urgency. The background info that you learn in pre-meeting talks with stakeholders and your prospect will help you to communicate the cost of lost opportunity if the stakeholders and decision-maker fail to step up and approve the necessary funding for the project. Remind the stakeholders that enabling the project to move forward with your proposed solution will not only ensure that the problem will be resolved or the goal achieved, but the organization will reap substantial benefits as well.

Consider how you can persuasively describe how delaying a decision or under-funding a credible solution will be more costly in the long term. How can you demonstrate to your prospect and the stakeholders that they can’t afford to not take advantage of your solution?

4. Anticipate objections

Again, your off-the-record talk with the prospect, along with conversations you have with stakeholders before you submit a proposal and/or sit down for a meeting, will likely give you insights into any objections that lurk. In fact, you should directly ask if anyone opposes the project and what causes that hesitation.

You can take on matters that concern the naysayers in your proposal and in your talking points for the meeting, but it’s wise to be prepared for anyone who is not convinced by initial attempts to quell objections. I recommend the “feel, felt, found” technique, which shows empathy as you present a rebuttal:

  • I understand how you could feel that the solution proposed might not be entirely effective for this aspect of the problem/ goal.
  • Others have also felt that the solution proposed might not perform well in such challenging circumstances.
  • However, those who were initially reluctant, once they became aware of the documented efficacy of this solution, gained the confidence to move forward and found that the desired outcome was achieved.

5. Propose a logical next step

Once the objections have been settled and removed or, if there were none, once the benefits have been accepted by the stakeholders as likely to occur, move to conclude your meeting with a suggestion of next steps. Honestly, you want to get out of the room before someone gets the bright idea to raise a red herring issue that undoes your deal. Your purpose is to help the decision-maker and stakeholders see themselves successfully implementing your solution.

Ti that end, you might confirm the project timetable and ask when your proposed solution will be implemented (and note that your organization can adhere to the prospect’s preferred schedule). You might also ask if, since the stakeholders agree that your solution will be effective, s/he who has the authority to sign the contract would like to do so now, or on a date in the near future? Preparing a hard copy contract for your (we hope!) soon-to-be client to review and sign is another way to politely and firmly steer the decision-maker and stakeholders toward confirming that they’ll choose you.

Thanks for reading,

Kim

Image: French actor Jean-Paul Belmondo (1933-2021) and American actress Jean Seberg (1938-1979) in Breathless (France, 1960). Directed by Jean-Luc Godard (1930-2022)

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Self-Promotion that’s Savvy, Not Shameless

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If you do not put the word out about your talents, achievements and (perhaps discreetly) your ambitions, or if you do so ineptly, you are leaving money (and also a satisfying life, I think) on the table. Despite what some people would have you believe, no one finds success on their own. The self-made man is a myth. You are going to need some help along the way and to rally influential people to your side, you must let them know what you can do.

Bill Gates’ mother held a job at IBM that gave her access to a powerful person in the company, who agreed to meet with her son and his friend Paul Allen so that the two could explain the special project they were working on. As we know, their project eventually became Microsoft.

How to deliver your self-promotion

Effective self-promotion is a subtle and powerful communication skill. I consider it an art. It can be learned. Maybe we should start with what to avoid?

It’s frightfully easy to come off as obnoxious when telling others about how fabulous you are and the riveting details of your long list of magnificent, truly enviable, accomplishments. Most of us know that outright bragging is not cool, but we have also heard more than enough hyper-ambitious people pretending to be modest as they trot out a humble brag act at every opportunity.

Witnessing either spectacle usually induces an eye roll, if not a headache. But how can you show finesse and talk yourself up in a way that doesn’t turn off friends and colleagues?

A good Karma method is to be generous and share credit for your successes with those who helped you achieve them. There is a huge benefit associated with this generous act—- you gain allies. Your allies, because you’ve made it clear that you value them and their work, will be inclined to do you the enormous favor of promoting your magnificent achievements for you, which gives you much more credibility and influence than if you say it all yourself. So as you climb the ladder, not only will your allies help you, they’ll recruit more allies for the cause.

When to self-promote

Choose the politically correct time to self-promote. There are situations when one is expected to do so, but be aware that there are only so many opportunities available. Employees are invited to discuss their accomplishments at their annual performance review, when campaigning for a raise, or when seeking to interview for a promotion. Freelance consultants, when speaking with prospective clients or writing proposals with the aim of winning projects, are expected to spell out and sell their competencies, relevant experience and achievements.

What to promote

Make it known that you’ve earned a new educational degree or professional certification, the date, time and place of an important presentation you’ll deliver, or should you be invited to join a prestigious board.

Other self-promoting without penalty opps include announcing your appearance on a podcast, webinar, or panel. Announcing that you’ve written and published, or edited, a book is also a self-promoting bow you’re expected to take. Launching a workshop (that you must sell!) is another self-promotion gateway.

Where to self-promote

Especially since face2face events remain limited, savvy people know that social media is an acceptable self-promotion tool. Update your profiles as you upgrade your skills and announce your showcase events as appropriate.

Again, bring in some good Karma and acknowledge the achievements of your connections and contacts as they appear in your feed, so that your communication is not all outbound. Self-promotion, no matter how skillfully delivered, still requires good relationships in order to capitalize on your good work.

Thanks for reading,

Kim

Image: Steve Martin in The Jerk (1979) directed by Carl Reiner and written by Steve Martin

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Surviving Rejection—Lemons to Lemonade

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“To be, or not to be—that is the question. Whether ’tis nobler in the mind to suffer the slings and arrows of outrageous fortune, or to take arms against a sea of troubles and, by opposing, end them?”   Hamlet (William Shakespeare), Act III, Scene 1

Shakespeare understood so much about the problems and pleasures of life. I suppose that explains why, 400 years after he died (1564 – 1616), he remains the best-selling fiction author of all time, with an estimated four billion copies of his works sold (Wikipedia).  Shakespeare knew that life is about learning and sometimes the lessons presented to us are, or seem, harsh.

He understood that in order to build a satisfying life, we must learn to become ethical, wise and compassionate humans who are also equipped to take good care of ourselves and our families and manage to be good company along the way.  In his sonnets and plays, he showed us that resourcefulness and resilience, good judgment and good humor will help us to find the courage to face up to our faults and fears and learn how to overcome obstacles and disappointments.

Shakespeare’s lessons apply not only to the personal, but also to the professional zone of life.  Freelance consultants and business owners have many opportunities to show the world that we are capable leaders who can make our own way in the world, but there are the inevitable set-backs.  Acquiring a skill set that helps you move beyond rejection and defeat, as you make note of what you might have done differently, is the most effective way to bounce back from adversity.

Be objective

Realize that it was not you, the person, who has been rejected, but your business proposal.  There are numerous reasons that may cause a prospective business partner, investor, or client to turn you down in the final stage of evaluation, even if it seemed certain that you’d get the green light.  It is very painful to be unexpectedly denied and the incident can rock your self-confidence.  It is likely that once the facts were laid out and analyzed, the investor/ partner/ prospect realized that either s/he does not have the resources to participate, or that business strategies will require that they take a different direction and so your proposal must unfortunately be decline

Separate yourself from the proposal, look at what you might have been able to do better, if anything, and if you’ve found something lacking, and that could mean your choice of whom to do business with and not your proposal itself,  think about how to recognize a more promising prospect, or imagine how your intended might evaluate your proposal, so that you can correct obvious gaps or avoid potential misunderstandings.

Lessons learned

Depending on your comfort level with the prospect who rejected your proposal/ funding request/ partnership offer, you can ask why that was the case?  What is it that you are lacking, or what did you misunderstand? Maybe you can retool and make yourself a more viable candidate in the future.? Or maybe it is not a viable option for you after all and you finally accept that your efforts could be more generously rewarded elsewhere.

Without berating yourself, you can take stock of the new reality, even though it is not to your liking and devise a way to pick yourself up after disaster has laid you low.  You might choose to stay the course, with some adjustments (More specific talking points? A different target market?), or identify a new approach.  Maybe you can perform a beta test, or ask questions of a trusted colleague or client before you gamble on a roll-out.

Moving forward

If your proposals have been rejected rather regularly, consider that your intended target client group is not the best for you and that you might be well-advised to offer another product or service to a different cohort of clients, or pursue other types of business partners or investors.  If you are unable to get to yes with at least one or two clients, you must discover the problems and challenges that those in the target category really want to be resolved, regardless of what they admit to.  It could be so simple as the jargon used to describe either the problem or the proposed solution is not accurately expressed by one party or the other.

Disappointment is not easy to accept, but it is a part of life, part of the growing process.  How you handle yourself in the face of disappointment can help you to become resilient and resourceful and ultimately, better prepared to pursue and achieve success for your goals.

Thanks for reading,

Kim

Phaedra and Hippolytus, Pierre Narcisse Guerin (c. 1802)                                                   Image courtesy of Harvard Art Museums/ The Fogg Museum, Cambridge, MA

 

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Why Won’t the Client Call You Back?

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You were thrilled to be invited to submit a proposal for a project that will bring in a good amount of billable hours wrapped in a most respectable fee structure.  In the meeting with your prospective client, you asked all the right questions–

  • Confirmation of the decision-maker, s/he who can green-light the project
  • Details of the project timetable and deadline
  • The approximate start date
  • The value of the project outcomes and deliverables to the organization
  • The project  budget

You have every reason to believe that the project is legitimate and that there is organizational money and motive to get it done.  You may have worked previously with this client and you relish the prospect of working with him/her again.  Or, you’ve not worked with this client before and the project represents a step-up for you.  You can’t wait to add this brand enhancing and validating client to your roster and you plan to do whatever it takes to exceed expectations and become a preferred vendor.

Because you met with the project advocate and decision-maker, your comprehensive and professionally presented proposal is essentially a confirmation of what was discussed and agreed upon.  The deliverables and deadline are confirmed.  Your proposed financials are within budget.  You’ve submitted on time.  You were told when the answer would be given.

But uh, oh, that date passed three weeks ago and you are now tense with worry.  Where are they?  You try sending a diplomatically written email, but receive no reply.  A week later you call the project advocate and s/he has stopped answering the phone, regardless of when you call, early or late.  In resignation you leave a voicemail and of course, there’s no reply to that, either.

Why do clients play these passive-aggressive games? What the hell are they made of? Here are some behind-the-scenes reasons that will let you see the other side and I hope, avoid feeling like a failure and a fool.

  1. There’s no answer yet

Just because your prospect told you that s/he is the decision-maker does not mean that s/he is the sole decision-maker.  Group decisions are the norm.  Your prospect is most likely one of three or four “decision-makers,” the one who is assigned to speak with all vendor candidates, or maybe just one or two.  Alternatively, your prospect may be one of several team leaders who at the end of the month (or whenever) sit down and review all pending projects and discuss proposals received.

Depending on what is going on at the organization, the team leaders will agree to move forward on certain projects, delay one or two and put the remaining on hold.  Your prospect may advocate for funding, but a project that is more urgent, or more favored by other team leaders, could overrule your prospect and kill your project.  Your project advocate will speak with you only when a definitive answer can be given to you.

2.  Waiting for a favored vendor

One of the group of decision-makers may have the power to push in a vendor candidate with whom s/he has worked previously (and who may have the inside track).  That vendor candidate might be a late entry and no decision will be made until his/her bid is received and reviewed.  One of the vendors might have a powerful friend on the decision-making team and that friend plans to push his/her preferred vendor candidate into the project (whether or not that vendor is the best qualified, or offers the most competitive price).  Your prospective client is too busy politicking to speak with you.  S/he would like to say yes, but a battle must first be won, s/he hopes.

3.  Your decision-maker advocate has had an unexpected emergency 

Things happen.  An unexpected problem or opportunity may draw your advocate’s attention away from your project, which is no doubt #1 in your life, but is only one of many possibilities that exist in the constantly shifting landscape that is the new economy.  Short-term priorities and putting out fires are the order of the day.  Your prospective client is too busy to speak with you.

4.  An unexpected loss of support

Second-guessing is practically an Olympic sport in organizations today.  I’m sorry to say that it doesn’t take much to pour cold water on a project and reverse a decision that once earned the favor of the decision-making team.  It could be that the heaviest heavyweight on the team, when all is said and done, does not feel that the project ROI is worth the investment of time, staff attention and money.  Your advocate and perhaps others may believe in the project and they’re scrambling to keep it alive and included on this year’s calendar.  Your project advocate is too embarrassed to talk; s/he feels humiliated and powerless.

5.  Project funding may not yet be officially awarded, or has been lost

Your project advocate and prospective client may have spoken too soon about the availability of an adequate budget for the project.  There could have been a last-minute decision to fund another project that is now perceived as more important by one or more of the decision-making team.  Maybe a project that was previously put on hold will now be given the green light?

Your advocate must now 1.) Confirm if there will be available money in this fiscal year, or the next, and 2.) Confirm the amount of money that will be earmarked for your project.  Your prospect is too frustrated to speak with you now; s/he has lost face.

6. Your proposal was used to get pricing info and to create a budget

Sometimes a Freelancer gets no respect and it’s a terrible thing.  Prospects who are not ready to commit may nevertheless wonder how much it would cost to get a certain job done and so they’ll seek out a Freelancer or two and request a proposal.  They ask Freelancers who they don’t know.  Avoid sending a proposal to an unknown “prospect” who mysteriously sends you a Request For a Proposal The Unexpected RFP .

7.  You were not awarded the project

Your proposal was not selected and the prospect who was not meant to be wants to avoid disappointing you.

Thanks for reading,

Kim

 

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Proposal Writing Primer

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Periodically,  a Freelance consultant must write a proposal.  Some organizations,  especially government entities,  will publicly announce that a project is available and request bids that must be submitted in proposal form.  Occasionally,  one may receive a direct request for a proposal  (RFP)  from an unknown party.  Experience will eventually teach you to not respond to a surprise RFP.  Invariably,  an unexpected RFP is sent by a phantom client who is either fishing for pricing information,  or seeking to obtain additional proposals when it has already been decided who will be hired for the project in question,  but company policy mandates that a certain number of proposals must be reviewed.

Submit proposals only after you’ve spoken with the decision-maker and received an invitation.  If you’ve set it up right,  the proposal will serve as a confirmation letter that spells out project details that have been previously discussed and agreed-upon.  See my March 26, 2013 post on unsolicited RFPs  https://freelancetheconsultantsdiary.wordpress.com/2013/03/26/the-unexpected-rfp/.

A proper invitation to write a proposal is an opportunity for you to shine.  Showcase yourself,  your brand and your expertise and write a powerful document that reveals your analytic ability,  writing ability,  practicality and creativity.

Study the requirements

If there is a written RFP,  study the requirements and make note of the submission deadline.  Is the project a good fit for your organization?  Do you have time to write a worthy proposal? If you meet with the client to discuss the project,  take good notes and confirm that you understand the goals,  specifications and expectations involved.  Do you have the expertise and resources to do the job?  Can you achieve the goals within the time frame?  Can you do the job within the budget?  Must you subcontract work out and if so,  will you be able to make a profit on the project?

Confirm the desired outcomes

Interview the client and confirm the desired and expected outcomes of the project and assess what achieving the project goals means to the organization.

Evaluate your proposed solution

Make sure that your approach to producing the deliverables will please the client.  What is the primary criterion for the proposal?  Is it speed of completion,  price,  or something else?  Present a methodology that reflects what means most to the client.

Outshine competitors

Be advised that a proposal is a sales document.  Highlight your strengths in the context of project goals and address any potential reservations that might prevent your proposal from being accepted.

Proposal must-haves

Some proposals specify that a certain format must be followed.  If there is no such rule,  include the following elements:

  • Give an overview of the current situation that has given rise to the need for the project.
  • State the goals of the project,  expected outcomes or deliverables.
  • Describe why you and your organization are uniquely qualified to successfully complete the project.
  • Describe your proposed methodology for achieving the aims of the project.
  • Explain the timeline and cost  (the justification of your proposed fee).
  • Describe the benefits associated with achieving the project goals,  outcomes,  or deliverables.

Finally,  make sure that your proposal addresses all elements of the RFP or client needs.   Check your spelling and grammar.  Go on-line and view examples of proposals;  find a format that visually communicates you and your brand and make that your template .  If hard copy must be submitted,   print your document on good paper stock.

Thanks for reading,

Kim

 

 

 

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The Less Than Zero Pricing Tactic

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Psychology counts when pricing a product or service.  Take note that in every store,  the price of items always ends in .99,  .98,  or .95 and never .00.  Number psychology research has persuasively shown that buyers do not like zeros.  Stores do not sell items for $100.00,  they sell them for $99.95,  because customers associate zeros with premium prices that they’d rather not pay.

Furthermore,  the phenomenon called the left digit effect causes our brains to misinterpret that $99.95 as having a value closer to $99.00,  instead of $100.00.  Lindsay van Thoen,  columnist for The Freelancer’s Union,  says that our clients are like any other consumer and Freelance consultants should bear that in mind when pricing contract proposals.

When we are invited to submit a proposal,  we are all excited.  Here comes money!  The last thing we want to do is to wind up in a wrestling match with a client who wants to nickel and dime.  We take pains to itemize the major components of the project and provide the rationale for the total project fee.  Nevertheless,  haggling may ensue.  According to van Thoen,  Freelancers are wise to follow the lead of retailers,  cut the zeros from our proposals and make it easier for clients to agree to our price.  Resist the temptation to price your project at $5,000.00.  Instead,  price the project at $4825.00 or $5175.00.

Unfortunately,  clients sometimes feel that Freelance consultants pad price quotes,  even when an itemized accounting is provided.  A figure that does not appear to be rounded-off,  but appears to be specifically customized to the service requested and contains few zeros that may imply that we’ve  “rounded-up”  the fee,  can be more trust-inspiring and believable to certain clients.

Other ways to make it more palatable for clients to accept our proposals are to  1.) Ask the client for the project budget and work with them to provide services that you can afford to provide within that valuation and  2.) Provide three levels of service: good,  better and best,  so that clients can choose services according to needs and budget.

Pricing pundit Rafi Mohammed,  founder and CEO of the consulting firm Pricing for Profit in Cambridge, MA,  offers two valuable pieces of advice to keep in mind about pricing.  First,  prices must reflect the value that clients place on the service.  Second,  different clients place different value on a given service.  Offering  “good, better,  best”  options allows the client’s need for the service to be met in a way that is in line with the value placed.  A good pricing strategy is an important part of your marketing plan.  It sets the stage for building a profitable enterprise.  It is imperative to set prices that reflect the client’s value of what we sell and,  equally important,  to help the client perceive that listed prices are trustworthy.

Happy 4th of July!

Thanks for reading,

Kim

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Your Brilliant Idea, the Set-up and the Pitch

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You envision a project concept that has the potential to significantly benefit both you and a particular organization.  You wrangle a meeting with either the decision-maker or one who has influence.  Convincingly,  you show that the proposed project will add money or prestige to the organization and that you are uniquely qualified to put the plan in motion and make it work.  You are invited to submit a formal proposal and you see dollar signs twinkling for all concerned.  Needless to say you are stunned when the proposal,  which you perceived to be a confirmation letter since you received the decision-maker’s unqualified invitation to submit,  is shot down.  What the heck happened?

Kimberly Elsbach,  associate professor of management at University of California / Davis,  has done research that shows it’s not only the perceived value of the project that is at issue,  but also the perceived value of the seller—you. According to Elsbach,  the decision-maker makes a judgment about your ability to generate a genuinely creative and beneficial idea and that prejudgment diminishes its perceived value.

Elsbach reached this conclusion when she studied the Hollywood film industry,  where filmmakers regularly  “pitch”  movie concepts to studio executives.  She also attended meetings where entrepreneurs pitch business concepts to venture capital investors,  yet another venue where brilliant ideas are proposed to those with the potential to fund them.

Elsbach emphasized that there are no reliable criteria on which to base creative potential,  so decision-makers rely on purely subjective and often inaccurate evaluation stereotypes,  which kick in very early in the pitch meeting.  From that point on the decision is made,  no matter what they tell you.

However,  Elsbach discovered that there is sometimes a way to redeem oneself.  The trick is to make the decision-maker feel that s/he is participating in an idea’s development.  In other words,  rather than bringing it in all wrapped up in a red ribbon,  showing that you’ve thought things through and you’re basically ready for the roll-out,  devise something for your decision-maker to do to feel needed and  important.  Make the decision-maker feel like a creative collaborator.

First,  set the stage and gain the decision-maker’s empathy by finding common ground or perspective.  If you’ve worked with this person before,  then mention some shared memory of mutual success.  “How is that program going these days?  I so enjoyed working on that project.  It is great to know that your customers have responded well…”  If you’ve not worked with this person previously,  go to their LinkedIn profile and look for common ground there.  After the greeting and other pleasantries,  slip into a shared experience or perspectives story,  whether it’s a project you did for him/her,  or an accidentally-on-purpose reference to a company that the two of you worked at  (“So you worked there, too? I remember the days…”)

Second,  when you segue into pitching your proposal,  show the proper level of excitement and passion.  Moreover,  resist the temptation of being so thorough that you don’t give your decision-maker,  who has an ego,  a chance to put their hands in it and impact the project.  As you are enthusing about the features of your proposal,  ask qualifying questions that will engage your decision-maker in a discussion of what the organization and its customers really need from the concept you are pitching and together with the decision-maker be willing to improvise and compromise on your original proposal.  If you can make the decision-maker feel some ownership,  s/he is much more likely to identify with and support you at the meeting where projects and proposals are reviewed and the executive team finalizes what gets funded and what doesn’t.

Coming up with a brilliant idea is the easy part.  Selling the idea to the organization with the means to fund that idea is the hard part.  Psychology is a sales resource and the successful sales professional makes expert use of it.

Thanks for reading,

Kim

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Transform No Into Yes

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Here is the scenario: Percolating in your brain is an idea for an interesting initiative that you are certain will work well in the organization of a good and steady client.  You figure that you may be able to sell them on it and create a paying project for yourself.  You speak with a couple of people and identify the decision-maker and key influencers.  You vet your idea through an influencer,  who supports it and gives you the green light to approach the primary decision-maker.  You make the appointment.

Over coffee,  you make your pitch.  The decision-maker is pleasant,   yet starts backing away from your concept,  even though you’ve verified its usefulness via your influencer.  How do you get to the heart of your client’s objections,  successfully overcome them,  save the sale and get paid?

The late,  great sales guru Zig Ziglar,  motivational speaker and author of several sales training books,  once said that every sale has five obstacles: no need,  no money,  no hurry,  no desire and no trust.  The Freelance consultant as salesperson’s  job is to uncover and overcome whatever mix of these objections and persuade the client that the proposal is worthwhile and will make the client look good to superiors and peers.

Realize that  “no” does not always mean  “no”.   Sometimes clients say no when there is limited time and energy available to evaluate what has been proposed.  The need may be relevant,  but other matters take precedence and your proposal is not perceived as urgent.  As a result,  the decision-maker is not inclined to address the issue in the near future and it is easier to decline.

Alternatively,  you may not deliver a sales pitch that inspires either desire or trust (confidence).  Homework may have been done to confirm the need and identify key players,  but it is still necessary to communicate a narrative that will convince the decision-maker to take that leap of faith and put him/herself on the line for your proposal.

Budget constriction is another frequent objection,  regardless of the state of the economy.  When conferring with your influencer,  it is always important to find out if  there is available budget to support your proposal and also gauge what will motivate your decision-maker to petition for funding.

When selling,  it is necessary to present the details that the client needs and wants to make the decision,  no more and no less.    It is important not to give too much information,  or you could confuse the client or open up a can of worms that will turn on you.  Neither can one be vague.  Give all relevant information and express it clearly and concisely.  Describe the benefits that you expect will be important to the client and paint a picture of what’s in it for him/her.

Steve Strauss,  business attorney and columnist for Entrepreneur Magazine and USA Today newspaper,  recommends that you  diplomatically let the client know that you know your proposal is a good one for the organization because you’ve taken the time to verify its usefulness.  Don’t immediately fold your tent if the client hesitates or declines.

Instead,  ask if there is any additional information you can provide,  or some other accommodation you can make to allow him/her to feel  comfortable with approving the deal.   Show the client that  you are prepared to confront and resolve questions and doubts.  You might save the sale and even if you don’t,  you may be able to position yourself to successfully get another proposal approved when timing and funding are on your side.

Thanks for reading,

Kim