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| Home > Competition Management > Price to Win |
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In any proposal competition, price is a key variable. But determining that "winning" price and making sure it's competitive and profitable is one of the most difficult challenges businesses face. SM&A offers Price-to-Win solutions that help you define that right balance of capability versus price and to deliver the value your customer wants.
Our Price-to-Win approach may use any of the following techniques:
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+ Algorithmic models
+ Expert judgment
+ Analogy
+ Parkinson methodology
+ Top-down/bottom-up analysis
+ Competitor pricing estimation
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We tailor our approach for price to win based on several factors starting with whether or not we have a design baseline.
If the design baseline has not been completed, our proposal development process allows us to develop preliminary proposal products and the price to win efforts when we start developing the win strategy. We use a Cost as an Independent Variable (CAIV) approach to arrive at a design baseline and price to win target.
In situations where the design baseline has been completed, we start by creating a funding profile based on the nature of the contract. In addition, databases of similar contracts and competitive straw-man analysis are utilized to determine market norms. Our next step is to develop an initial 'should cost' using design baseline and parametric tools. Finally, SM&A will help your design team zero in on a pricing structure that satisfies the financial goals of both you and your customer.
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Two Price to Win Options.
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| SM&A’s Price-to-Win solutions offer a significant competitive advantage in any proposal competition.
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| + To see our past projects, click here |
| + To contact SM&A please click here |
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