Question

Topic: Strategy

How To Market To The Government And Gov. Agencies?

Posted by Anonymous on 250 Points
Hi all,
I would be interested to hear about ways to market to the Government and government agencies???

Do you market to them as you would any other 'large' organisation?? Or are there other techniques / methods??

Is it a case of some form of lobbying (and if so - what do you think a small company could go about doing that?)?

Further details:
We have services we believe we can help reduce costs for government - how do we market to them?
We tender to the Governement for some services. This can take a long time - how do we remain in their mind while not interferring with due process or the sales cycle?

Thanks in advance
To continue reading this question and the solution, sign up ... it's free!

RESPONSES

  • Posted on Accepted
    My company sells exclusively to government organizations (and has for more than 50 years).

    The best advice I have for you is the same for any industry: know your customer. What are their pain points, what does their day consist of, where are they looking for information, how do they normally find vendors? Keep in mind that this may be very different if you're selling to federal agencies or small towns, etc; or if you're trying to reach directors/mayors or city clerks.

    It will take research and then planning to meet them where they are. Just remember B2G, while it has many similarities to B2B, will be very different. Adjust accordingly, and you'll do great.
  • Posted by ilan on Accepted
    I know from experience that "marketing" to gov. isn't easy.
    First, you have to be on a list of suppliers in order to qualify for participation in rfp's.
    How you reach that list is a whole different story, but it does come a full circle to being a lobbyist.
    In some cases you have to prove that you have a certain amount of income and assets, in others you have to prove that you have more than 250 employees, or overseas branches...

    A more practical way, but not one that could be considered "marketing", is through an inside contact.
    Any person who can introduce you to the right decision maker is of value.
    Try to follow the specific departments you want to sell to, get on their website, contact them via e-mail, see if they provide any numbers to call, try to get an appointment. After all, you are a citizen and have the right to start the process from that angle.
  • Posted by CarolBlaha on Accepted
    First understand that the feds take about 90 plus days to pay. I did one sale and the final po stated clearly "if you can't wait 90 days for your money, do not accept order".

    What is your industry? Are you on GSA? They make it extremely easy to buy if you are. And, GSA Advantage assures quick payment. I have a product on there and we are paid upon placement of order-- before deliver or even shipment. They use a credit card. They get 25K a year to spend on that product and buy $25K of it every year right at the end of the fiscal year.

    But being on GSA is just a hunting license and is no guarantee of a sale. They do not have to buy GSA. But, you'll have to give them good reason to go from something so automatic. Either way, you have to call on them as any other org. But they are very transparent and finding the right contact is very easy. Most areas have local GSA offices-- the VA, bases, and IRS are also autonomous with buying.

    Lobbying is not a term that is relevant here. Lawmakers create budgets and each group has authority to purchase within that budget. There are plenty of rep orgs that specialize in govt sales. You'll have to woo them like any client. To find one, I'd call on any agency and ask who they like to work with. That way you'll avoid the lazy ones and find one this agency already has told you they like to work with them.

    It can be a slow process-- but consultative sales can be. Remember in sales you don't "interrupt" the sales process-- you control it. That is the difference from sales and order taking.

    Sell Well and Prosper tm

  • Posted by telemoxie on Accepted
    There are some excellent points above.

    The good news is that the federal government is the largest buyer of goods and services in the world.

    From my perspective, it seems to me that many people want to make their own rules when selling to the government. Yet government agencies prefer to do business their way rather than your way.

    Many many books have been written about how to sell to the government and we cannot give you all the answers in just a few paragraphs. However I would like to add that in general the government prefers to buy things rather than to be sold. In my opinion, generally speaking, most commercial sales are initiated by the selling company, while most federal sales are initiated by the federal government.

    In other words, the federal government publishes their requirements and asks you to respond to their requirements. There are many companies who make a good living building long-term relationships with agency officials and providing whatever products those officials desire.

    If you have a specialized or unique product, it may be a good idea for you to approach those who already have these relationships with federal agencies.

  • Posted by CarolBlaha on Member
    To expand on Telemoxie's post. In large federal buildings and via email there are free or low cost guides published on how to do biz with the federal govt. There are even directories of agencies and contact people.

Post a Comment