The Bid Determination Tool is designed to guide anyone in a revenue generating role through a strategic questioning exercise to determine the appropriate level of pursuit (low, medium, high) per the current situational knowledge of the existing prospect/account. 
 
The tool will ask you ten questions to help you determine if you should pursue it, continue to build upon key details necessary for a chance at closing, or pass on it all together. Those basic questions are:
 
Who is the POC (point of contact)? Do you have the correct POC? Can they ultimately make the buying decision?
Additionally, how many additional stakeholders and/or influencers do you know?
 
You understand the prospects primary stated goals, which could include improved service/delivery, more effective account management, etc.
You can’t assume your pricing will be the most competitive. Further, do you want to simply win business by being the lowest cost option within the market?
 
You have identified that your prospect is dissatisfied with their current vendor, and that they’re not simply at the end of a current contract with their incumbent.
Many times customers will go back to market due to expiring contracts, with no other reason than to gain market-rate bids to help position a lower cost with their current incumbent, which they don’t intend to move away from.
 
Are you helping solve a problem that you’ve identified while meeting with the prospect? 
If you’re not helping solve a problem, you’re much more of a commodity purchase, which means the percentage of retention of that client over a longer-term is much lower. 
Additionally, if you haven’t identified any problems or challenges, you’ll have a hard time positioning your services/deliverables as differentiating, or as a more effect option.
 
You have an understanding on the prospects financial condition, whereas there don’t appear to be any “red flags.” You can speak with other suppliers or vendors that the prospect has worked with to get a vendor-perspective on a specific prospect’s financial condition.
Additionally, if you don’t have an idea of what a prospects budget or spending power is for your solution/project, how will you effectively position your offering without being too expensive?
 
The account is geographically desirable, or easily accessible for you to provide your service/deliverable.
 
The account has a strategic value that’s like other work that you’ve done, such as in a similar vertical, or providing the same type of service/deliverable that you’re already producing for other customers.
Additionally, you’ll be able to provide ample references because you have other clients within the same strategic arenas.
 
Lastly, you have a good understanding of the prospect’s timeline. If you’re unaware of their urgency to buy, you may jeopardize your credibility by pushing too soon, or following up too slowly, if they’re looking to move quickly.
 
By answering these questions, the Bid Determination Tool will give you a score from 0 – 10. 
 
Scored bids that fall from 4 to 0 should be avoided. Scored bids that fall from 6 to 5 should be considered. Scored bids that fall from 10 to 7 can be considered. 
 
Ultimately, each bid will have to be independently evaluated. Scoring outcome is an estimated process and not meant to be a 100% accurate representation of how a prospect will ultimately react to your services/deliverable.
 
If your organization seeks guidance on how to implement appropriate bid determination, please reach out to Sales Homie (contact@saleshomie.com).
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You can find out more information about Sales Homie on it’s website (www.saleshomie.com).