To arrive at a "price-to-win," one must understand the delicate balance of perceived value versus the price of the transaction from the perspective of the buyer and how your perception of that balance compares to that of the competition. Organizations that practice disciplined PTW analysis are said to be able to achieve a 60% win rate improvement on competitive bids, even against entrenched incumbents.
CAI/SISCo employs a time-tested 3 stage, 10-step
process and supporting modeling tools to support competitive 'Price
To Win' (PTW) analyses. Our approaches were developed, and are continually
being reviewed and improved, to allow us to rapidly and accurately synthesize each targeted competitor's 'should price' and customer'should cost' for government opportunities of any size, scope and complexity.
Ideally, our phased approach to PTW consists of three multi-step stages. However, real-world considerations require
that our framework be flexible and adaptable enough to support widely
varying client time and budget constraints.
The ideal three stages, that follow a step-wise
refinement strategy, are:
pre-bid decision where a 'design-to' PTW is most appropriate;
pre-proposal submission; and
pre-BAFO development, including "reality modeling".