The GSA Contract submission process is extensive, that cannot be denied. But what is the most difficult part? As a professional GSA Contract Acquisition company, we face many challenges, and the largest is finding the sweet spot in price list preparations. These prices are ultimately going to be negotiated once the GSA Contract is submitted, so it is important to get it right the first time.
Here are some of the strategies we apply when preparing a price list for our customers.
Market Analysis
When you apply for a GSA Contract, your prices will be compared to similar products and services to decide their value. We simulate this process to make sure the GSA prices offered are going to be competitive, but still profitable in the federal market. We achieve this by taking price point samples; taking random samples out of your pricelist at different dollar values to compare to similar products already existing on GSA Advantage.
Is the Discount important or the final price?
The most important issue when a federal buyer is comparing prices is their faith in their decision. The government attempts to only buy on a fair-value-based system, in which price, warranty, company background, etc. are taken into account and the final decision is made. Companies with a GSA Contract have a giant advantage because their fair-value is easily accessible to government buyers, while open-market purchases are seen as a more risky fair-value assessment. In conclusion, discounts do not affect the success of a federal contractor as much as price and fair-value.
