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The value of the Tender Process |
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Friday, 24 June 2011 08:00 |
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Tendering versus Direct Sales and networking is becoming an interesting conflict. The value of the direct sales market is billions of pounds each year but dependant on the market and credit structure for most companies, as opposed to the guaranteed spend from central and regional government.
In the EU the value of the Public Sector Purse is over 1,800 billion Euro’s and in the UK that value is estimated between £175 billion and £220 billion worth a second glance. In a recent study of the cost for an SME’s to grow by £1,000,000 through direct sales has been calculated as between £97,000 and £133,000, without the marketing and ancillary costs. However the cost of tendering for contracts in a year through dedicated staff or through a consultancy ranges between £23,000 and £45,000. |