As the IT services market becomes increasingly competitive, MSPs (Managed Service Providers) are constantly searching for ways to stand out and secure new business. Many MSPs and VARs have found success utilising special bids and tenders. Tenders and special bids are mechanisms used by vendors and distributors to offer resellers, VARs (Value-Added Resellers), and MSPs discounted pricing on products and services. These special pricing arrangements aim to help resellers, VARs, and MSPs win competitive deals or target specific market segments, ultimately increasing sales for both the reseller and the vendor.
In this blog post, we will explore the top three benefits of utilising special bids and share insights on how to maximise their value to your MSP.
1. Win new business:
By leveraging special bids, MSPs can offer their end-user customers more competitive pricing and other incentives than their competitors. This can be especially important in highly competitive markets where end-users are looking for the best value for their money. A special bid can make all the difference in winning a deal and securing new business.
Another way MSPs can use special bids to win new business is by offering bundled packages that include hardware, software, and services at a discounted price. By providing a one-stop-shop for end-user customers' technology needs, MSPs can simplify the purchasing process and provide a seamless experience that is hard for competitors to replicate.
Winning new business is critical for the growth and success of MSPs, and utilising special bids can be an effective strategy for standing out in a crowded market and securing new customers.
2. Increase profitability:
Special bids improve MSP profitability by providing access to discounted pricing or incentives, especially important with thin margins on hardware and software products. Negotiating better pricing on products from vendors and distributors translates into higher profits on each deal. For example, a 10% discount through a special bid can be passed on to the end user while the MSP still makes a profit.
Optimising resources and reducing costs are additional benefits of special bids. MSPs securing special bids on software products can purchase them at lower costs than competitors, offering competitive pricing while maintaining profit margins. Utilising special bids is an effective strategy for increasing profitability and improving the financial health of MSPs. By negotiating better pricing and optimising resources, MSPs can improve their margins and strengthen their financial position for long-term success.
3. Strengthen relationships with vendor and distributor partners:
Special bids are not only beneficial for MSPs in terms of increasing their profitability, but they can also help strengthen their relationships with vendor and distributor partners. By negotiating special pricing and other incentives, MSPs can demonstrate their value as a partner and build stronger, collaborative relationships with their partners.
Strong vendor and distributor partnerships are crucial for the success of MSPs, as they provide access to products, services, technical support, and other resources that MSPs need to deliver high-quality services to their customers. Utilising special bids can help MSPs gain valuable insights into industry trends, new products and services, and other information that can help them stay ahead of the competition and expand their offerings or enter new markets. By leveraging special bids, MSPs can create a win-win situation that benefits all parties involved and strengthens their long-term success.
Special Bids with Salesbuildr
Special bids can be a total game-changer for MSPs. They help you win new business, make more money, and strengthen relationships with your vendor and distributor partners. However, managing special bid pricing can be time-consuming, and a bit of a hassle.
Salesbuildr simplifies the process of working with tenders and special bids by enabling users to import these pricing structures directly into their catalogues, customer-specific pricing books, or even into proposals. This helps address some common pain points, such as:
- Time-consuming price updates: Salesbuildr streamlines the process of updating prices based on special bids, reducing the time and effort required to keep catalogues and proposals up to date.
- Consistency and accuracy: By importing special bids directly into the platform, Salesbuildr ensures consistent and accurate pricing across all customer-facing documents, reducing the risk of errors or discrepancies.
- Improved profitability: Salesbuildr enables resellers, VARs, and MSPs to take full advantage of special bids, offering competitive solutions to their customers while maintaining profitability.
- Enhanced collaboration with vendors and distributors: Salesbuildr facilitates better communication and collaboration between resellers and their suppliers, helping them secure the best possible pricing and terms for tenders and special bids.
- Contract compliance: With the addition of special bids and "valid from" and "valid to" dates, Salesbuildr ensures that quotes and proposals sent to customers with contracted special pricing for specific time frames are checked against any pricing books set up for that customer, ensuring compliance with contractual agreements.
Salesbuildr makes it easy for MSPs to upload special bid pricing to their sales proposals. Simply copy and paste pricing from the spreadsheet sent to you by vendors/distributors. Once the pricing is uploaded to Salesbuildr, you can use the pricing in two ways. You can easily create a quick, professional-looking quote using our template-based quote builder. To see how easy that is watch our on-demand demo here.
You can also use special bid pricing for creating tenders. Using Salesbuildr’s “Customer Pricing Books” you can import/create a list of products and services, with a cost price and sales price, for a specific customer, for a specific period. This ensures that every quote that goes out is aligned to what you agreed with the customer for the length of the contract.
Alongside product management, customer storefronts, sales analytics and reporting tools, Salesbuildr is the solution for MSPs looking to manage what they sell, who they sell to, and how they sell it.
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