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Know Your Enemy

In government contracting, surprises kill deals. The company that gets blindsided by a competitor they didn’t see coming usually loses. Smart contractors win by doing their homework on the competition and using that intelligence to develop winning strategies. The brutal reality: Your competitors are probably tracking you too. The question is who has better intelligence and uses it more effectively.

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Who You’re Really Up Against

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The Four Types of Competitors You’ll Face

  • The Incumbent: Already has the contract and the customer relationship. Wins 70% of recompetes unless they’ve screwed up.
  • Your Twin: Similar size company with similar capabilities. These are your most dangerous competitors because they can do everything you can do.
  • The Big Boys: Large primes with deep pockets and broad capabilities. They can outspend you but might price themselves out of smaller opportunities.
  • The Specialists: Niche players with deep expertise in one area. Dangerous when the opportunity requires their specialty, otherwise not a threat.
  • Government Databases: USASpending.gov shows who’s winning what contracts and for how much
  • Industry Intel: Trade publications, conference presentations, and market research reports
  • Network Intelligence: What you hear at industry events, customer meetings, and from shared contacts
  • Open Source: Company websites, press releases, LinkedIn updates, job postings, and social media

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Gather Intelligence That Actually Matters

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What You Need to Know About Each Competitor

Company Health Check:
  • Are they financially stable or struggling? (Desperate companies bid dangerously low)
  • Who owns them and what are their priorities? (Private equity firms push for quick profits)
  • Where are their offices and what’s their geographic reach?
  • Who are the key decision makers and what are their backgrounds?
What They Can Actually Do:
  • Have they done this exact type of work before? (Past performance is the best predictor)
  • What certifications and security clearances do they have?
  • Who are their key technical people and what’s their reputation?
  • Who do they team with and what relationships do they have?
How They Compete:
  • What contracts have they won recently and against whom?
  • What’s their reputation with this customer?
  • How do they typically price? (Low-ball, premium, or competitive?)
  • What are their go-to win themes and differentiators?

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Turn Intelligence Into Winning Strategy

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Size Up Your Competition

Here’s how to analyze what you learn:
What to EvaluateThe Incumbent (AcmeCorp)The Big Prime (MegaTech)Your Company
Biggest Strength10 years of customer relationshipUnlimited resources and reachInnovation and lower cost
Fatal WeaknessOutdated technology approachSky-high overhead ratesLimited past performance
Likely Strategy”Don’t rock the boat” continuity”We can do everything” approach”Better, faster, cheaper”
Win Probability35% (vulnerable incumbent)25% (too expensive)40% (best value)

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Use Intelligence to Beat Them

Play to Your Strengths:
  • Find areas where you clearly outperform competitors and make those the focus
  • Emphasize capabilities that competitors can’t match or would struggle to deliver
  • Use your superior relationships or past performance as differentiators
Attack Their Weaknesses:
  • Develop strategies that expose competitor vulnerabilities without naming them
  • Partner with other companies to fill gaps where competitors are stronger
  • Price strategically to exploit their cost disadvantages
Ghost Your Competition:
  • Craft messages that subtly highlight competitor weaknesses (“Unlike legacy approaches…”)
  • Influence requirements that favor your strengths (“Modern, cloud-based solutions…”)
  • Identify risks that competitors can’t address (“Vendor lock-in concerns…”)

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Stay Ahead of the Game

Set up systems to track competitor moves: Monitor Key Indicators:
  • New contract awards (are they winning more or less?)
  • Personnel moves (are they hiring or losing key people?)
  • Partnership announcements (who are they teaming with?)
  • Press releases and marketing messages (what are they emphasizing?)
Early Warning Signs:
  • Job postings for your target opportunities (they’re staffing up to compete)
  • Industry event presentations (showing off new capabilities)
  • Customer engagement increases (they’re building relationships)
  • Pricing changes on similar contracts (adjusting their strategy)
Ready to dig deeper with SWOT analysis techniques?