The Importance of a Focused Government Sales Strategy for Small Businesses
Many small business owners feel that their company does not have the time or resources to enter into the government marketplace. The truth is that government sales can be very beneficial to a small business but the process is not always as straightforward as one might think. It is important that small businesses develop a focused government sales strategy before diving head first into the government marketplace.
The government marketplace is very crowded and hypercompetitive. Commercial vendors, especially small businesses, must be able to draw attention to their company and market their products and services effectively. Government buyers often have different priorities than commercial buyers, and businesses need to market their brand to specifically meet these needs. A small business needs to be able to focus on what makes their company different from the rest in search of the same contracts.
When developing a government sales strategy, a small business must understand the advantages it has in dealing with the government. The federal government has purchasing goals to award at least 23% of all contracts to small businesses. GSA also has set aside policies for small businesses that are minority owned, women-owned, veteran-owned, in areas of economic strain and more. Larger firms also often seek to partner with small businesses to use as subcontractors.