How to Win More Construction Bids

Increase your bid success rate with these proven strategies.

Understanding Bid Success

Typical Win Rates

If you're below average, there's room to improve.

Why Bids Fail

Common reasons contractors lose:

1. Price - Too high (or sometimes too low)
2. Incomplete - Missing information or requirements
3. Late - Missed deadline
4. Qualifications - Not perceived as capable
5. Relationships - Competitor had inside track
6. Errors - Math mistakes, wrong scope

Strategy 1: Be Selective

Bid on the Right Jobs

Not every job is worth bidding:

Bid when:

• Project matches your experience
• You have capacity
• You want this type of work
• You can be competitive
• Payment risk is acceptable

Don't bid when:

• Outside your expertise
• You're already overloaded
• Client has bad reputation
• You'd have to "buy" the job
• Terms are unreasonable

The True Cost of Bidding

Each bid costs $500-5,000+ in estimating time. Bidding everything wastes resources on jobs you won't win.

Strategy 2: Know Your Customer

Research the Owner

Before bidding:

• What have they built before?
• How do they select contractors?
• What do they value? (price, quality, schedule)
• Who have they hired in the past?
• What's their payment history?

Research the Competition

Know who you're bidding against:

• Their typical pricing
• Their strengths/weaknesses
• Their current workload
• Your history against them

Build Relationships

The bid is often decided before bid day:

• Meet owners before projects
• Stay in touch with architects
• Network at industry events
• Ask for feedback on lost bids

Strategy 3: Perfect Your Estimate

Accuracy Wins

Mistakes lose bids:

• Too high = lose on price
• Too low = win money-loser or seem unqualified
• Missing scope = questions your capability
• Math errors = look careless

Competitive Pricing

To price competitively:

1. Know your costs - Track actuals from past jobs
2. Get competitive sub quotes - Multiple bids per trade
3. Sharp material pricing - Build supplier relationships
4. Right-size overhead - Don't over-burden small jobs
5. Appropriate profit - Match risk and market

Review Process

Before submitting:

• Complete scope coverage
• Math double-checked
• Sub quotes verified
• Material quantities reasonable
• Overhead and profit appropriate
• All forms completed
• Requirements met (bonds, etc.)

Strategy 4: Professional Presentation

First Impressions Matter

Your bid package reflects your company:

• Clean, organized format
• Clear, professional writing
• All requested information included
• Easy to evaluate

What to Include

Beyond the numbers:

• Relevant experience (similar projects)
• Team qualifications
• Project approach
• Schedule commitment
• Safety record
• References

Differentiate Yourself

Stand out with:

• Specific value-adds you offer
• Problems you've solved on similar jobs
• Testimonials from past clients
• Awards or certifications
• Innovative approaches

Strategy 5: Follow Instructions

Read Everything

Carefully review:

• Instructions to bidders
• Bid form requirements
• Submission requirements
• Deadline (time AND place)
• Required attachments

Common Disqualifiers

Bids rejected for:

• Missing required forms
• Wrong number of copies
• Late delivery
• Missing bid bond
• Unsigned documents
• Mathematical errors (if unacceptable)

Checklist Before Submission

• Bid form complete and signed
• All addenda acknowledged
• Required attachments included
• Proper number of copies
• Envelope marked correctly
• Delivery method confirmed
• Arriving well before deadline

Strategy 6: Competitive Subcontractor Bids

Sub Pricing Makes or Breaks You

Subs often represent 50-70% of your bid. Getting competitive sub prices is critical.

How to Get Better Sub Quotes

1. Build your bid list - Know good subs in each trade
2. Send complete packages - Don't make them guess scope
3. Give adequate time - Rushed subs pad prices
4. Follow up - Confirm they're bidding
5. Collect bids early - Before bid day if possible
6. Level bids - Ensure you're comparing same scope

Sub Coverage

Have backup quotes:

• At least 2-3 per trade
• More for major trades
• Don't rely on one sub

Strategy 7: Learn from Losses

Always Get Feedback

After every loss, ask:

• Where did we rank on price?
• What could we have done better?
• Would you invite us again?
• Any concerns about our bid?

Track Your Performance

Monitor over time:

• Win rate by project type
• Win rate by owner/architect
• Average spread from winning bid
• Common feedback themes

Adjust Based on Data

Use feedback to improve:

• If always too high: sharpen pricing
• If losing on qualifications: better presentation
• If losing to same competitor: study their approach
• If missing requirements: better checklist

Strategy 8: Negotiation Skills

For Negotiated Work

When you can negotiate:

• Understand their priorities
• Offer options/alternatives
• Be willing to value-engineer
• Know your walk-away point
• Build trust throughout process

Handling Bid Shopping

When asked to match a lower price:

• Ask what scope they're comparing
• Explain your value/differences
• Offer alternatives to reduce cost
• Don't cut below your floor
• Be willing to walk away

Strategy 9: Technology Advantage

Faster, More Accurate Bids

Use technology to:

• Takeoff faster with digital tools
• Reduce errors with automated calculations
• Generate professional output
• Maintain pricing databases
• Track bid history

Bid More, Bid Better

Digital takeoff lets you:

• Complete estimates 50-70% faster
• Bid more opportunities
• Double-check quantities easily
• Revise quickly for addenda
• Maintain consistent quality

Strategy 10: Play the Long Game

Building Reputation

Over time, aim to be:

• Known for quality work
• Known for reliability
• Known for fair dealing
• The contractor people want to work with

Relationship Value

Strong relationships lead to:

• Negotiated work (higher win rate)
• Earlier notice of opportunities
• Benefit of the doubt on close decisions
• Repeat business
• Referrals

Action Plan

This Week

1. Review your last 10 bids - what patterns do you see?
2. Contact 3 owners/architects to build relationships
3. Update your sub bid list

This Month

1. Create bid/no-bid criteria
2. Improve your bid presentation template
3. Track your win rate by category

This Quarter

1. Analyze your estimating accuracy
2. Build relationships with 5 new subs
3. Implement digital takeoff if not already

Next Steps

• Creating Quotes - Professional estimates
• Takeoff Tools - Faster, accurate measuring
• Estimating Guide - Pricing fundamentals