How to win public IT product and licence contracts

Public bodies buy enormous volumes of laptops, monitors, servers, peripherals and software licences. Unlike services, much of this is standardised, so price, delivery and support decide most contracts.

What public buyers are buying

  • End-user devices: laptops, desktops, tablets and phones.
  • Servers, storage and data centre equipment.
  • Software licences and subscriptions, from office suites to specialist tools.
  • Audio-visual and meeting room equipment.
  • Peripherals and consumables.

How products are bought

  • Cooperative and central contracts: many public bodies buy from contracts that another body has already competed, such as national purchasing agencies, provincial or state vendor-of-record lists, and cooperative buying groups. Getting on these is often more valuable than any single tender.
  • Requests for quotes among resellers already on a list.
  • Open tenders for large or specialised purchases.

How bids are scored

  • Price, usually the largest factor, sometimes the only one.
  • Delivery times and stock availability.
  • Warranty, returns and support.
  • Environmental criteria, such as EPEAT or ENERGY STAR ratings and take-back of old equipment.
  • Authorised reseller status with the manufacturer.

Tips for small resellers and vendors

  • Register your bids with the manufacturer. Deal registration can unlock better pricing.
  • Read the specification carefully. "Or equivalent" clauses let you offer alternatives, but you must prove equivalence.
  • Software vendors can list on government marketplaces and catalogues, or sell through a reseller that already holds the contract.

Common questions

What is a vendor of record?

A vendor of record is a supplier pre-approved by a government to sell certain goods or services, usually at set prices. Public bodies can then buy from it without running their own tender.

Can a small reseller win government hardware contracts?

Yes, especially local contracts for schools, councils and agencies, or as a sub-supplier on a cooperative contract. Competitive pricing from the manufacturer and reliable delivery matter most.

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