When most businesses think about winning public sector work, they think about one thing: tenders.
Find an opportunity. Write a bid. Submit it. Hopefully win. Except that’s only one route into working with the public sector.
Many businesses spend years chasing tenders without realising there are other ways to access public sector contracts. Depending on your business, those routes might be quicker, less competitive or simply a better fit.
Understanding the different routes to market can help you build experience, grow your credibility and ultimately win more work.
What Is a Route to Market?
A route to market is simply the way your product or service reaches a public sector buyer.
Different organisations buy in different ways, and different industries rely on different procurement routes.
A construction company may win most of its work through open tenders. A software provider may find that framework agreements generate the majority of its opportunities. A specialist consultancy may build a successful public sector client base through subcontracting or under-threshold opportunities.
There isn’t one route that works for everyone. The key is understanding how your customers buy and making sure your business is positioned in the right place.
Open Tenders
This is the route most people are familiar with. A public sector organisation advertises an opportunity, suppliers submit bids, those bids are evaluated, and a contract is awarded.
Open tenders often represent some of the largest contract opportunities available, but they’re also usually the most competitive. Depending on the size of the procurement, you could be completing dozens of quality questions, pricing schedules, policies, method statements and supporting documents.
That doesn’t mean you should avoid them, far from it. Winning tenders can transform a business. Just don’t make the mistake of believing they’re the only way into the public sector.
Under-Threshold Opportunities
One of the biggest opportunities for SMEs is often the one they overlook. Not every public sector requirement becomes a full tender.
Buyers regularly purchase lower-value goods and services using simpler procurement routes such as Requests for Quotations (RFQs), Quick Quotes and other under-threshold processes.
These opportunities may be smaller in value, but they can be incredibly valuable for growing businesses.
Why Under-Threshold Opportunities Matter
Winning smaller contracts helps you:
- Build relevant experience
- Develop customer references
- Create strong case studies
- Build relationships with public sector buyers
- Demonstrate successful delivery
When buyers evaluate larger tenders, one of the things they’re looking for is evidence that you’ve successfully delivered similar work before. Under-threshold opportunities help you build that evidence.
Sometimes the real value isn’t the contract itself. It’s what winning that contract allows you to bid for next.
Framework Agreements
Framework agreements are often described as pre-approved supplier lists.
Suppliers compete to secure a place on the framework and, once appointed, buyers can purchase from those suppliers without running a completely open procurement every time.
Being on a framework doesn’t guarantee work. It simply means you’ve earned a place in the pool of suppliers buyers can choose from.
When opportunities arise, you’re usually competing against other framework suppliers rather than every business in the country.
Many framework agreements only open every few years, so it’s worth keeping an eye on upcoming opportunities if they’re widely used within your sector.
Dynamic Purchasing Systems and Dynamic Markets
Dynamic Purchasing Systems (DPSs) and the newer Dynamic Markets work in a similar way to frameworks but with one significant advantage. Unlike many frameworks, suppliers can usually apply throughout the life of the agreement. That means you don’t have to wait years for another application window.
For SMEs, start-ups and businesses entering the public sector for the first time, this can be an excellent way to gain access to future opportunities.
Getting accepted doesn’t guarantee contracts. You’ll still need to compete for opportunities as they arise. But at least you’ve secured your place in the market.
Partnerships
Many SMEs assume they need to deliver everything themselves. In reality, some of the strongest public sector bids are built through collaboration.
Working with another business allows each organisation to contribute its own strengths. You might bring specialist technical expertise. Another business may already have public sector experience, customer relationships or complementary services. Together, you offer buyers a stronger overall solution than either organisation could provide independently.
Choosing the right partner is important. Successful partnerships rely on trust, clear responsibilities and a shared commitment to delivering great outcomes.
Teaming
Teaming is similar to a partnership, but it’s usually focused on a specific opportunity rather than a long-term relationship.
Imagine you’ve identified the perfect opportunity. Your software solution is exactly what the buyer needs. The challenge is that the contract also requires training, implementation, change management and ongoing support.
Rather than turning the opportunity down or trying to do everything yourself, you team with another supplier who specialises in those services. Separately, neither of you offers the complete solution. Together, you become a much stronger proposition.
For specialist businesses, teaming can open doors to opportunities that would otherwise be difficult to pursue.
Subcontracting
Not every business working in the public sector holds the main contract. In fact, many large government contracts rely on networks of subcontractors.
The prime contractor manages the contract with the public sector buyer while specialist businesses deliver specific parts of the overall solution. This can be one of the quickest ways for SMEs to enter the public sector.
Instead of asking:
“How do I win work from government?”
Ask:
“Who is already winning the work I want to be involved in?”
Becoming part of an established supply chain allows you to build experience, develop relationships and strengthen your credentials for future opportunities.
Which Route to Market Is Right for Your Business?
The answer depends on where your business is today.
If you’re new to public sector procurement
Focus on opportunities that help you build experience and credibility, including:
- Under-threshold opportunities
- RFQs
- Partnerships
- Teaming
- Subcontracting
If you’re an established SME
Consider expanding your strategy to include:
- Framework agreements
- Dynamic Markets
- DPSs
- Strategic partnerships
If you’re already experienced in the public sector
Open tenders and frameworks may naturally become a larger part of your growth strategy.
The important thing is understanding how your customers buy and aligning your business development strategy accordingly.
Don’t Put All Your Eggs in One Basket
Tendering is an important route into the public sector. But it isn’t the only route.
Some businesses spend years chasing large tenders when they could be building experience, relationships and credibility through smaller opportunities, partnerships or subcontracting.
Public sector success rarely happens overnight. It’s usually built one opportunity at a time. The businesses that succeed aren’t always the ones writing the most tenders. They’re the ones who understand how their buyers purchase and position themselves where those opportunities exist.
