{"id":40291,"date":"2022-07-26T14:50:08","date_gmt":"2022-07-26T12:50:08","guid":{"rendered":"https:\/\/stryfes.com\/roi-of-bid-tooling\/"},"modified":"2023-03-03T12:14:08","modified_gmt":"2023-03-03T10:14:08","slug":"roi-of-bid-tooling","status":"publish","type":"post","link":"https:\/\/stryfes.com\/en\/roi-of-bid-tooling\/","title":{"rendered":"ROI of Bid Tooling"},"content":{"rendered":"<p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-1 fusion-flex-container nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-flex-start fusion-flex-justify-content-center fusion-flex-content-wrap\" style=\"max-width:1372.8px;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-0 fusion_builder_column_1_1 1_1 fusion-flex-column\" style=\"--awb-bg-size:cover;--awb-width-large:100%;--awb-margin-top-large:20px;--awb-spacing-right-large:1.92%;--awb-margin-bottom-large:20px;--awb-spacing-left-large:1.92%;--awb-width-medium:100%;--awb-order-medium:0;--awb-spacing-right-medium:1.92%;--awb-spacing-left-medium:1.92%;--awb-width-small:100%;--awb-order-small:0;--awb-spacing-right-small:1.92%;--awb-spacing-left-small:1.92%;\"><div class=\"fusion-column-wrapper fusion-column-has-shadow fusion-flex-justify-content-flex-start fusion-content-layout-column\"><div class=\"fusion-text fusion-text-1\"><p>Today, there are tools for all tasks. Almost everything can be made more digitally convenient. Those tools just cost money. Of course, there are free tools, but they usually don&#8217;t provide handy features. So is investing in a Bid Management Tool a <strong>good investment<\/strong>? What is the ROI (Return on Investment) of a Bid Management Tool? And when does it pay to use a tool?<\/p>\n<p>Are Bid Management Tools financially attractive to you? You calculate that in the following way:<\/p>\n<h3>Step 1: Cost release Bid without tool<\/h3>\n<blockquote>\n<p><strong><span style=\"color: #e35a31;\"><em>Bid costs<span style=\"color: #000000;\">= <\/span><\/em><\/span>Average Hourly Spending per Bid<\/strong> * <strong>Internal Hourly Rate<\/strong><\/p>\n<\/blockquote>\n<ul>\n<li><strong>Average time commitment<\/strong>: How many hours does your staff spend answering the bid. It is the total number of hours. So at a meeting where three employees are present, you count this time 3x.<\/li>\n<li><strong>Internal Hourly Rate<\/strong>: What is your employees&#8217; internal hourly rate? Usually, it is between 50 and 85 euros.<\/li>\n<\/ul>\n<h3>Step 2: Savings<\/h3>\n<blockquote>\n<p><strong><span style=\"color: #e35a31;\"><em>Savings<span style=\"color: #000000;\">= <\/span><\/em><\/span>25%<\/strong> X <strong>Bid costs<\/strong>*<strong>number of bids<\/strong><\/p>\n<\/blockquote>\n<ul>\n<li><strong>25%<\/strong>: From our experience, we know that the minimum savings on a bid are 25%. In some cases, these savings are many degrees higher. But for this calculation, we are considering the minimum savings of 25%.<\/li>\n<li><strong>Bid cost<\/strong>: See step 1<\/li>\n<li><strong>Number of bids<\/strong>: average number of RFPs you participate in<\/li>\n<\/ul>\n<h3>Step 3: Cost Bid Tool<\/h3>\n<blockquote>\n<p><strong><span style=\"color: #e35a31;\"><em>Tool costs<span style=\"color: #000000;\">= (<\/span><\/em><\/span>Monthly price of the tool<\/strong> * <strong>12 months)<\/strong> + <strong>Annual maintenance cost<\/strong> + (<strong>Implementation costs<\/strong> \/ 3)<\/p>\n<\/blockquote>\n<ul>\n<li><strong>Monthly price of the tool<\/strong>: The user fees x the number of users, taking into account the different licenses within the tool<\/li>\n<li><strong>Maintenance costs<\/strong>: The cost required to run the tool. With a SaaS solution, these costs are included in the monthly price, but this is not included with a version running locally<\/li>\n<li><strong>Implementation cost<\/strong>: The cost you incurred to implement the tool. These are often internal and external costs if you use a consultant for implementation. We amortize these costs in 3 years for a good comparison<\/li>\n<\/ul>\n<div class=\"fusion-separator fusion-full-width-sep\" style=\"align-self: center;margin-left: auto;margin-right: auto;width:100%;\"><\/div>\n<h3><span style=\"color: #e25a31;\">Example:<\/span><\/h3>\n<p>Number of hours per bid: <strong>250 hours<\/strong><br \/>\nInternal Hourly Rate: <strong>65 euros<\/strong><br \/>\nNumber of bids per year: <strong>3 bids<\/strong><br \/>\nMonthly price tool: <strong>3 users x 150 euro = 450 euro<\/strong><br \/>\nMaintenance cost: <strong>none<\/strong><br \/>\nImplementation costs: <strong>15,000 euros<\/strong><\/p>\n<p><strong>Savings:<\/strong> 250 hours x 65 hours x 3 bids x 25% = <strong>12,187.50 euros<\/strong><br \/>\n<strong>Cost Bid Tool<\/strong>: 450 euros x 12 + 0 + 15,000 \/3 = <strong>10,400.00 euros<\/strong><\/p>\n<\/div><div class=\"fusion-title title fusion-title-1 fusion-sep-none fusion-title-text fusion-title-size-two\" style=\"--awb-margin-top-small:12px;--awb-margin-right-small:0px;--awb-margin-bottom-small:24px;--awb-margin-left-small:0px;\"><h2 class=\"fusion-title-heading title-heading-left\" style=\"margin:0;\">Conclusion<\/h2><\/div><div class=\"fusion-text fusion-text-2\"><p>In this example, we see that with the three bids, it already lends itself to using a tool. We leave out conversion improvement. A bid management tool also <strong>positively<\/strong> impacts the conversion of responses into a deal. That&#8217;s because you save time per bid, leaving more time to do a better response and you start reusing good texts. Yet how significant that extra impact varies significantly from company to company. It&#8217;s somewhere between 10 and 50%.<\/p>\n<\/div><div class=\"fusion-text fusion-text-3\"><p><strong>Other articles of interest:<\/strong><\/p>\n<ul>\n<li><a href=\"https:\/\/stryfes.com\/en\/how-many-questions-do-you-ask-in-a-tender-or-rfp\/\">How many questions do you ask in a tender or RFP?<\/a><\/li>\n<li><a href=\"https:\/\/stryfes.com\/en\/submitting-a-bid\/\">Submitting a bid<\/a><\/li>\n<li><a href=\"https:\/\/stryfes.com\/en\/implementation-bid-tooling\/\">Implementation Bid Tooling<\/a><\/li>\n<li><a href=\"https:\/\/stryfes.com\/en\/overview-of-all-bid-management-tools\/\">Overview of all bid management tools<\/a><\/li>\n<\/ul>\n<\/div><\/div><\/div><\/div><\/div><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-2 fusion-flex-container has-pattern-background has-mask-background hundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-center fusion-flex-justify-content-center fusion-flex-content-wrap\" style=\"width:104% !important;max-width:104% !important;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-1 fusion_builder_column_1_1 1_1 fusion-flex-column fusion-flex-align-self-center\" style=\"--awb-padding-top:40px;--awb-padding-right:40px;--awb-padding-bottom:40px;--awb-padding-left:40px;--awb-overflow:hidden;--awb-bg-color:#e25a31;--awb-bg-color-hover:#e25a31;--awb-bg-size:cover;--awb-border-radius:12px 12px 12px 12px;--awb-width-large:100%;--awb-margin-top-large:20px;--awb-spacing-right-large:1.92%;--awb-margin-bottom-large:20px;--awb-spacing-left-large:1.92%;--awb-width-medium:100%;--awb-order-medium:0;--awb-spacing-right-medium:1.92%;--awb-spacing-left-medium:1.92%;--awb-width-small:100%;--awb-order-small:0;--awb-spacing-right-small:1.92%;--awb-spacing-left-small:1.92%;\"><div class=\"fusion-column-wrapper fusion-column-has-shadow fusion-flex-justify-content-center fusion-content-layout-column\"><div class=\"fusion-title title fusion-title-2 fusion-sep-none fusion-title-text fusion-title-size-two\" style=\"--awb-text-color:#fff;--awb-margin-top-small:12px;--awb-margin-right-small:0px;--awb-margin-bottom-small:24px;--awb-margin-left-small:0px;\"><h2 class=\"fusion-title-heading title-heading-left\" style=\"margin:0;\">you are not a techie. Right?<br \/>\nSales leader \u2013 that\u2019s you<\/h2><\/div><div class=\"fusion-text fusion-text-4\" style=\"--awb-text-color:#ffffff;\"><p>But even you know: the battle to win the hearts of your customers happens in the digital field these days. <em><strong><span style=\"color: #f2f2f2;\">Do you know who wins that battle?<\/span> <\/strong><\/em>The companies that use tech and tools to do their marketing and sales. These are 5x as successful as their analog competitors. <strong><span style=\"color: #f2f2f2;\"><em>No Joke, 5x<\/em>.<\/span><\/strong><\/p>\n<p style=\"text-align: left;\"><em><strong><span style=\"color: #f2f2f2;\">Want to win?<\/span><\/strong> <\/em>We all do.<\/p>\n<p>Choosing, implementing and adopting that tech stack? Nobody wants that. <em><strong><span style=\"color: #f2f2f2;\">Except for us<\/span><\/strong><\/em>. At Stryfes, we help companies get more sales in less time. All thanks to sales tools and tech. Is that what you want? If so, please get in <a style=\"color: #000000;\" href=\"https:\/\/stryfes.com\/contact-2\/\" rel=\"\"><b style=\"color: #ffffff;\">touch<\/b><\/a> with us without obligation.<\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/p>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":39483,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","_wds_title":"ROI of Bid Management Tooling? What returns are you getting now?","_wds_metadesc":"Is an investment in a Bid Management Tool a good investment? And when does it pay to use a tool? Probably you have such questions. Please read our article for answers to your ROI questions.","_wds_focus-keywords":"roi","_wds_meta-robots-adv":",","_wds_meta-robots-noindex":false,"_wds_meta-robots-nofollow":false,"_wds_meta-robots-index":false,"_wds_meta-robots-follow":false,"_wds_autolinks-exclude":false,"_wds_canonical":"","_wds_redirect":"","_wds_opengraph":[],"_wds_twitter":[],"wds_primary_category":0,"footnotes":""},"categories":[212],"tags":[181,182,206],"class_list":["post-40291","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-rfp-en","tag-rfp-en","tag-roi-en","tag-tools-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/posts\/40291","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/comments?post=40291"}],"version-history":[{"count":2,"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/posts\/40291\/revisions"}],"predecessor-version":[{"id":40588,"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/posts\/40291\/revisions\/40588"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/media\/39483"}],"wp:attachment":[{"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/media?parent=40291"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/categories?post=40291"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stryfes.com\/en\/wp-json\/wp\/v2\/tags?post=40291"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}