Onvia’s recent special report, The State of Government IT: Buying and Selling Technology in B2G, provides intelligence for vendors looking to sell technology or telecom products or services at all levels of government.
Many of the most successful vendors in IT find that dividing their efforts across all government agency types is a winning strategy. A 2016 survey of 365 government contractors, including more than 50 IT companies, found that these companies typically look for opportunities across the board, from federal agencies to SLED (state, local and education).
Each type of government agency requires a unique strategy in order for companies to succeed at winning government IT bids or RFPs. Below are some specific insights, drawn from Onvia’s State of Government IT report, for IT vendors targeting state, local, education and federal government agencies.
As state governments move to improve their cyber security systems, modernize legacy systems and invest in key areas like cloud, mobile services and data analytics, they are struggling to find and keep talent to manage projects and vendors.
These agencies are altering their procurement strategies as a result. States are putting out fewer traditional bids and leaning towards offering more cooperative purchasing, piggybacking opportunities and statewide master contracts.
Counties, cities and special districts make up the local government agency group. These agencies represent a large source of demand for IT products and services, but interested vendors must adopt a focused and data-driven approach in order to succeed.
Since local governments tend to be more focused on civic engagement and transparency than state agencies, this makes them a good target for vendors who supply things like mobile applications, online portals and open data.
School districts are a major market for many contractors in SLED government. Education technology, or EdTech, covers a wide range of purchases including hardware, software and telecom solutions.
Many technology purchases from school districts are funded by the federal E-Rate program. E-Rate related technology bids are often advertised on the Universal Service Administrative Company (USAC) website, but vendors interested in bidding on E-Rate projects can get notifications as soon as the bids are posted with Onvia 7, the portal for businesses into our B2G Intelligence System (B2GIS).
Purchases at the federal government level often happen through long-range master contracts awarded to multiple vendors. These contracts, administered by the General Services Administration (GSA) are worth tens of billions of dollars in total.
The most common types of federal IT bids – 57.3% in total – are for IT hardware products. Often times, the top federal vendors are not found in the list of top vendors in SLED, which points to the uniqueness of the federal market.
Full Report Contains Contracting Trends, IT Hotspots and More
This report contains valuable intelligence for B2G buyers and sellers, such as insights into seasonal purchasing trends and how IT compares to other industries selling to the government. Request a copy of this report today to better understand how to succeed in IT government contracting.