Recently I had the honor of being asked to participate as a seminar panelist at Pro Production 2005. The invitation arrived via an e-mail from Kevin Mitchell, who is a seminar coordinator, and it began:
Dear Baker,
On behalf of Pro Production 2005, I'd like to invite you to be a panelist on one of the 90-minute seminars "Bidding Strategies: How to Get the Gig," at this year's event in February. It's an incredibly important topic… Everything about the e-mail thrilled me. Not only was I asked to be a panelist, but, as Kevin stated in regard to the panel, it is also "an incredibly important topic." Those of you who know me are aware that this could not be more perfect for me, as I have an innate ability to make the most innocuous subject matter into an incredibly important topic. To dramatize the importance of the subject matter, I even envisioned myself sitting up on the stage in my smoking jacket with my pipe in one hand and a snifter of brandy in the other. I would
light my pipe and swirl my brandy while the other panelists spoke about the business of bidding and when the time came for me to speak, I would stress the importance of my response by starting every sentence with a solicitous, "As you yourself know, Bennie…" I'm sure that by responding in such a manner, I would endear myself to everyone in attendance, and again, for those of you who might know me, it would not come as any surprise that I would totally enjoy getting up in
front of a highly attended event and pontificating about my abundant experience and knowledge.
Unfortunately, in regard to my plan to attend the conference; my daughter's 16th birthday is on February 25, and both she and my wife have been planning the big party for quite some time with the expectation that I, the father, will be present for the festivities. I tried devising a way to get to California, be part of the panel and still be at my daughter's 16th birthday party, but the only feasible plan I could concoct to get to the conference is one in which I move out of my house and never see my wife and daughter again. I considered my options and then called my editor, Bill Evans, to let him know my predicament.
Fortunately, Bill is a family man himself and was very understanding in regard to my situation. As a matter of fact, I recall that Bill told me, in no uncertain terms, that if I came to the conference and missed my daughter's party, he would personally break both my legs.
I have opted to be present at my daughter's 16th birthday and take a pass on attending the conference this year. In the hope that I will be asked to participate in future Pro Production events, I am submitting a written thesis regarding "Bidding Strategies: How to Get the Gig." This, of course, will be the definitive view on the subject and should be read aloud at the conference, preferably by someone in a smoking jacket with a pipe and a snifter of brandy.
That said, I'd like to make it clear that I really do understand the importance of bidding and getting the gig because, as we all know, a company can have all the best and newest gear, but without cash flow as support it means nothing. Therefore the first thing we need to do as audio vendors is attract clients to whom we can post our bids.
I bring this up because the assumption of the topic "Bidding Strategies: How to Get the Gig," is that one's company is already established and being called to submit bids to perspective clients. Thus, the first job on our list of things to do is to attract the client to whom we can pitch a bid.
Once we do get a client's attention, it's important to recognize that we are not always bidding apples for apples, as not every audio company is at the same level, financially, technically or in respect to stature. Consequently, before the bidding begins, it helps to understand what it is you have to offer as a vendor in regard to your competition.
In certain circumstances, such as architectural installations, there are very strict guidelines as to how, when and where a bid must be placed. In many instances, to even compete in these formats the audio company needs to prove its qualifications and also show that it has a certain amount of capital as insurance against a bid that might fall short after being accepted by the perspective client. The parameters and
bidding approach for these types of gigs differ greatly from the bids for the one-off rental gig, and often one is working from a set of blueprints in which one needs to account for every cable and connector being used for the install.
In regard to bidding for the rental jobs, it seems that there is a little more leeway and the requirements are less stringent, but clients still need to have confidence
that the company they are considering will do the right job.
It is up to the production manager to get all the proper information from the client and make an informed estimate of needed equipment, time, labor and cost, and while it is important to get the gig and make money, it is also of great value to know your equipment and its proper application, since many clients do not know the difference between the various equipment choices, nor do they necessarily know what is needed to make their event a success.
While it is not always feasible, it is usually a good idea to meet with the client at the given job site to go over the details of the upcoming show. Not only does this give you, the bidder, a better idea of what is really required, but it gives the client a face to go with the phone voice and final written quote. Listen to the client's concerns and needs, but do not alter the parameters of how you usually build a system or what
you need in terms of time and labor to make the show work.
Do not argue with the client, even when they present you with absurd ideas or concepts, and at the same time do not agree to these same ideas just to get the work. Make it clear that they are hiring you because you are a professional and that you won't be able to guarantee the success of the show if they insist on proceeding in an unconventional manner. Offer options that they haven't considered… sometimes even a less expensive one if possible. Show them that you are there to help them and remember that this is a client who might do more than one event, so it's a good idea to become friendly with them.
Everybody wants a deal and will try to bargain with you once you give them a bid, therefore know what you need monetarily to make the event worthwhile and how much you can discount the gear when bargaining. You need to know what it costs to walk out of your shop, so it's a good idea to set the book rate for your equipment a little higher than your bottom line. At times I might even ask a client to give me a ballpark figure of what they can spend so that I can assess whether or not I even want to bid on the show. Know the market rate for gear and labor in your area and try to stay within that range. Low-balling a bid just to get the work not only undermines you, but it also undermines your competition, and it is never a good idea to alienate another company you may have to deal with at a future date.
I usually dislike bidding on government shows unless it is for multiple events, since they are usually obligated to take the lowest bid and not necessarily the best bid. Figuring the labor cost is usually the hardest part of the bidding process because, unlike the equipment, labor will want overtime, extra money for stairs, per diems, drive time expenses, etc. If you are using union labor, even a small mistake can be costly and eat into your profit for the show. However you figure in the labor cost, whether on an hourly basis or a flat fee, it's a good idea to spend some time going over your times and figures to avoid costly last-minute surprises.
Much of the bidding process is a study in psychology, and the trick is to know what you have to offer as a company while at the same time being able to read the needs and desires of your clients. It is a sales job, and as a salesman you need to know how to make a client want to buy what you are selling–and what you are selling is more than just equipment. You have to be
confident in your product and your technicians and secure in the fact that your company is the perfect company for the job. Remember that while you are dealing equipment and time, what you are really selling is confidence and expertise to a client who wants to get a great deal, great product and smooth show.
E-mail Baker at blee@fohonline.com.
