How to Sell to a New Federal Agency | Step-by-Step Guide for Small Businesses

Summary

In this federal sales training, Neil McDonald, President of the Govcon Chamber of Commerce, outlines a step-by-step guide for businesses to penetrate federal agencies. He emphasizes the universal challenge of customer acquisition at all business levels and introduces a systematic approach to understanding agency structures, identifying key personnel, and securing meetings. Utilizing USAspending.gov for agency spending insights and leveraging LinkedIn for networking, McDonald's training demystifies government contracting, positioning it as a process rather than a secret, and encourages persistent outreach for increased success.

Takeaways

• 😀 Getting into an agency can be daunting for businesses of all sizes, including large companies like Booz Allen.
• 🔍 A structured process can make it easier to succeed in government contracting and increase your chances of success.
• 📈 Understanding the organizational structure and spending patterns of an agency is crucial for effective targeting.
• 🏛️ Triaging an agency involves identifying which parts of the agency are most relevant to your business and where the spending is focused.
• 💼 Finding the right people within an agency who can help you get in and win contracts is a key step in the process.
• 🔎 Utilizing tools like USAspending.gov can provide valuable insights into an agency's spending patterns and help in identifying opportunities.
• 📚 The importance of creating a roadmap for selling into a federal agency, which includes understanding the agency and its spending habits.
• 📞 Building a list of 100-200 contacts within an agency can help in establishing relationships and increasing the chances of landing meetings.
• 🤝 Engaging with potential contacts on platforms like LinkedIn and leveraging introductions can warm up relationships and lead to meetings.
• 📞 Cold calling is an effective method for landing meetings, especially in the initial stages of relationship building within an agency.
• 📈 The process of government contracting is not a secret; it's a process that can be learned and followed for repeatable, predictable results.

Q & A

What is the main challenge faced by businesses when trying to get into an agency?

The main challenge is the daunting process of understanding the agency's structure, finding the right contacts, and navigating the complexities of government contracting.

Why is it important to remember that the feeling of being daunted is common among businesses at all levels?

It's important because it highlights that even large, experienced companies like Booz Allen can face difficulties when entering a new agency, and having a plan can help overcome these challenges.

What is the significance of having a step-by-step guide for selling into the federal agency?

A step-by-step guide is significant because it provides a structured approach to understanding the agency, identifying key contacts, and establishing meetings, which can increase the chances of success.

What does 'triage an agency' mean in the context of this script?

Triage an agency means to evaluate and understand the agency's structure and spending patterns to determine which parts of the agency are most relevant and potential targets for business engagement.

How can USAspending.gov be used to analyze an agency's spending patterns?

USAspending.gov can be used to view an agency's contract awards, spending by NAICS codes, and identify the top spenders within the agency, which can help in understanding where the agency is investing its resources.

What is the role of the govcon Chamber of Commerce in providing support for government contracting?

The govcon Chamber of Commerce provides training, resources, and a directory of contacts to help businesses navigate the federal market and succeed in government contracting.

Why is it beneficial to focus on one agency when developing relationships and trying to get contracts?

Focusing on one agency allows businesses to concentrate their efforts, build a deeper understanding of that agency's needs, and leverage connections within the same agency to increase their chances of securing contracts.

How can a business find the right people within an agency to contact?

Businesses can find the right people by using resources like the govcon Chamber of Commerce directory, the agency's official website, and platforms like LinkedIn to identify key personnel and points of contact.

What are some strategies for landing meetings with agency personnel?

Strategies include engaging with potential contacts on LinkedIn, obtaining introductions from existing contacts, and proactively calling or emailing a list of identified agency personnel to request meetings.

Why is it necessary to understand the spending patterns of an agency?

Understanding spending patterns is necessary to identify where the agency is allocating its budget, which can inform business strategies and help target specific components or programs within the agency that align with their offerings.

How does the speaker suggest using LinkedIn to warm up relationships with potential agency contacts?

The speaker suggests engaging with potential contacts' content on LinkedIn, following them, and sending connection requests as a way to initiate and warm up relationships before requesting meetings.