- PlanHub
Executive Summary
- The bidding landscape in 2026 has changed significantly, as the process requires more detailed and customized bids to stand out from the competition and exceed general contractors’ expectations.
- Crucial bid strategies for contractors include using data-driven insights to decide if a project is worthwhile for your business, guide your bid creation, and ensure your bids are responsive to the requirements general contractors are seeking.
- Be careful of common mistakes in bidding, like submitting vague bid proposals, unprofessional communication habits, and failing to follow up on your submissions.
- Utilize an effective bid management software to set yourself apart from the competition and create tailored, organized bids with more refined takeoffs and estimations.
Understanding the Construction Bidding Process in 2026
Successfully securing construction bids is a critical part of the job and requires a commitment to solicitation, submission, and selection. However, construction bidding in 2026 will present several challenges, from pricing volatility to stiff contractor competition.
The most successful construction contractors work to understand the intricacies behind the bidding process while remaining committed to continued refinement. A regimented process for bidding means fewer shots in the dark and greater chances for securing fulfilling work. Blindly bidding on every project is a recipe for burnout, not profit.
Volume is no longer victory—the timelines for bids are shorter, and the competition is fiercer. Refined, accurate bids are not just the future for getting your firm to stand out, but the present.
Fortunately, there are more tools and bid strategies for contractors available than ever before. With the right tools and the right strategies, construction contractors can set themselves up for success with attention-grabbing proposals. This guide covers key tips to win more construction jobs and outlines all you need to know about how to win construction bids using detailed information and data.
1. Develop a Bid Strategy Around Analytics, Not Gut Feelings
Data-driven decision-making is a difference-maker in a stand-out bidding strategy. Don’t just bid broadly on projects—perform an analysis to determine if a job is worth your time and compare it against your bid history for reference. Data-driven decision-making helps you identify more quality leads, find the right projects, and maintain profitability.
Consider questions like:
- Do your specialities fit the needs of the owner or developer?
- Have you won bids like this before?
- Have similar types of projects been profitable and worthwhile for your team?
- Are the requests for this job reasonable?
- Do you meet any advanced criteria the prospective client is seeking?
Performing this step before unleashing the floodgates on bids prevents your team from wasting time and energy bidding on less promising jobs, avoids burnout, and allows you to focus on submitting for the best-fit jobs and increase your win rate.
Incorporate Bid-Hit Analysis
You need to know your bid-hit ratio. Part of strengthening your bidding process is analyzing what has worked and what hasn’t. Track your bids won against the bids you’ve submitted to understand how effective your efforts are. Calculate your bid-hit ratio by listing the bids you’ve submitted and highlighting those you’ve won. For example, if you submit 5 bids and win 1, your ratio is 5:1. Easy enough.
Remember, the smaller the ratio, the better. Tracking bid results and your bid-hit ratio helps you understand your success rate and pinpoint strengths and areas for improvement. Then, identify trends across the bids you’ve won to see what works, whether it’s a common industry type or value range, so you can optimize your ratio and put in less work for more wins.
Conduct Thorough Research and Planning
Always start by conducting preliminary research on an RFP to decide whether submitting a bid is actually worth it for your business and if it fits reasonably into your workflow. Before beginning any of the drawings, do some research on the potential client and the job at hand. Do they have a history of paying on time? Is the funding secured?
Have clear criteria for the types of projects your organization is willing to take on:
- The locations you are willing to service
- Where in the project or planning phase your company is willing to support
- Types of work you are willing to provide
- What types of clients you are willing to work with, such as the public vs. the private sector
Your organization has the right to consider whether a project is worth it for you. These criteria allow you to determine the feasibility of each project relative to your goals and organizational capacity. If the client doesn’t seem like the right fit, spend your energy bidding elsewhere.
Know Your Competitors and Market Conditions
Use data to understand the current market conditions and where your competitors stand within them. Public data can tell you who is winning bids for government projects and at what rates, providing context for what successful bidding looks like in your sector and area.
A market analysis is a strong recipe for sustainability, helping you keep reasonable, realistic expectations, be smart about where you submit, and adapt your future proposals for greater success. For example, if you know you are bidding against a competitor with a track record of low-balling clients, it may be worth emphasizing value over rates in your proposal or even skipping a bid on the project before investing excessive energy.
2. Assemble a Team Dedicated To Effective Project Bid Management
Bidding is not just a subtask of your business—it is key to driving meaningful work, so you need a strong team prepared to do it. Who is leading the charge? Do you have a designated position for completing and submitting bids, or do you have a multi-person team? Is this solely up to your business development team?
For larger general contractors, your bid team shouldn’t be just one person. Instead, it should include a lead estimator, a project manager, and an administrator. Having all these perspectives and layers of expertise will ensure accuracy and guarantee the process is well supported. The bidding process is key to any organization’s success, so it’s worth dedicating the resources and people power to make it happen.
Set Clear Roles and Responsibilities.
Define clear roles and responsibilities to keep the bidding process on the rails. Clearly defined responsibilities prevent all the work from being placed on one person, prevent missed deadlines, and allow individuals on the team to handle their designated areas of expertise.
Clarify who will take on some of these responsibilities:
- Submitting requests for information
- Performing financial estimations
- Reaching out to additional subcontractors
- Following up with general contractors after a bid
Beyond building accountability, establishing clear roles demonstrates the organization’s commitment to bidding as a core task, keeps the process efficient, and avoids confusion about who is responsible for managing it.
3. Leverage Technology and Automation To Increase Speed
The use of automation is only continuing to expand all around us, and infusing the right technology into your bidding strategy is a great way to get your bids in front of contractors sooner and gain a competitive advantage. After all, manual bids are no longer enough to keep up with the pace that consistent outreach demands—automation empowers you not just to submit more bids but to submit higher-quality bids with fewer errors.
Tasks you can automate include:
- Contractor-subcontractor matching
- Contractor-supplier matching
- Invitations to bid and follow-ups
- Material price estimation
Your competitors are automating more and more tasks—you should be doing the same. Instantly submit dozens of bids in the time it takes for a phone call. After all, speed matters. Submitting bids early and on time puts your company in the “responsive” category rather than the “last-minute” category and is likely to earn you additional points in the general contractor’s mind.
Bid Management Software That Reduces Bidding Time by 75%
Southern Environmental Services, Inc used PlanHub to move away from manual bids and cut the time to perform takeoffs and submit bids by 75%. By making PlanHub a key part of their workflow, they improved efficiency and increased year-over-year revenue by nearly 100%.
4. Build a Network of Trusted Suppliers and Subcontractors
Partner with trusted suppliers and subcontractors to accentuate the work you provide and put you in a position to deliver a better outcome to the contractor you are looking to win over. Solicit bids from multiple reliable subcontractors to find the best fit for the job and prove to clients that you can compile the resources needed to complete the job.
Having a strong, widespread network allows you to find support from suppliers who are committed to the same level of quality work output as you are, without wasting any time. Accessing these resources helps you meet client requests and provide accurate estimates, demonstrating to prospective clients that you can get the job done reliably.
A platform like PlanHub makes it easy for general contractors to connect with trusted subcontractors. Our bid management tools allow you to instantly reach thousands of subcontractors and suppliers and automatically match with prequalified candidates.
5. Craft Customized, Persuasive Proposals To Win Trust
Creating and sticking to a one-size-fits-all proposal may sound enticing and efficient, but it won’t drive the results you’re looking for. Developing a detailed and compelling proposal proves to clients that you’re willing to put in the work and attention to detail to understand what the job requires and how to achieve it.
Writing Clearly and Convincingly
Remember that your proposal isn’t just a price tag for your prospective client, it’s a resume of what you have to offer. Shift your perspective to think in terms of value, not just price, in your pitch. Position your bidding as a narrative, in which you present the value you and your services will provide to your client.
Lead with the value you have to offer, whether it’s an outstanding safety record or special certifications in safety or energy-efficient building. Avoid using unnecessary jargon and be concise in your proposal. Cut to the chase and make sure your client recognizes why you stand out with your qualifications, experience, and past successes.
Draft High-Quality Proposals with Consistency
A detailed contractor proposal template ensures you cover all the bases of a standout proposal, every time. From providing a roadmap of necessary sections to providing tips for persuading prospective clients, our template will help you create a proposal that captivates.
Address Complex Tender Requirements
Read the fine print. Missing a key detail could be the difference between winning and losing a bid, whether it’s overlooking a form to fill out or ignoring contract conditions about risk allocation.
Do a diligent review and second pass through your bid to ensure you didn’t miss anything and have fully accounted for all the requests and tendering criteria. This stage is another reason to have a complete team committed to bidding on projects—multiple stakeholders means multiple eyes on a proposal and the ability to triple-check work and ensure compliance, especially as you amp up the number of your submissions.
Tailor Proposal Presentations
Customized bids are more likely to drive engagement and build working relationships than standardized bids that are only slightly tweaked for each project. Tailor your proposal to speak to the areas where your prospective client will find the most value. In other words, highlight your unique value propositions in the proposal, but make sure to emphasize those that are most meaningful to the prospective client.
For example, if the client demonstrates a commitment to green building, you should showcase any relevant certifications or past projects in your proposal. On the other hand, if your client is looking for a specific type of real estate project, emphasize your past experience with such projects.
Ensuring Clear Communication in Proposals
Don’t submit your proposal as a shot in the dark—communication with the client during the proposal process ensures clarity and alignment. Identify any additional information you may need to know up front so you can submit a request for information early and address any areas of confusion. Initial communication will allow you to provide a detailed and enticing proposal that addresses all the needs of the project.
Be explicit with inclusions, work and deliverables you are committing to provide, and exclusions, work that will not be your responsibility. Ambiguity in preconstruction and a vague project scope cause misunderstandings and lost money later.
Submitting your bid early and ahead of the deadline only aids this process. Not only does it put you top of mind for the client as a punctual and serious player, but it also gives you ample time to submit requests for information and ask questions so you can refine your scope of work section even further.
Adhering to Compliance Standards
Any reputable construction organization has rigid compliance standards, including worker safety certifications, insurance, local regulations, and environmental protection. Often, jobs may call for additional specific standards, such as bid bonds in the case of government construction projects, to provide assurance that the contractor will accept and fulfill the contract.
Clarify how you will adhere to the standards in these bids and address any of the owner’s concerns. Attach your certifications, bonding standards, and insurance policy certificates to demonstrate your reliability. If you have any advanced credentials, like LEED accreditation for green building or are a Certified Safety Professional, be sure to highlight these in your bids.
Common Subcontractor Mistakes
If not careful, subcontractors can end up succumbing to several pitfalls that minimize the chances of winning, from being too casual to not being detailed enough. Subcontractors must take the bidding process seriously and put in additional effort to outlast competitors and win bids.
Be mindful of the following mistakes:
- Submitting and waiting: Don’t just submit your bid and wash your hands of it; instead, implement a regular follow-up process for all your bids to show communication and commitment to the job.
- Communicating unprofessionally: Take digital communication seriously, remain professional, and avoid short-form text messaging language or emojis in any follow-ups, RFI responses, or bid clarifications.
- Creating an unprofessional bid: Be sure to use a polished template with clear company information that signals professionalism and attention to detail.
- Submitting a lump-sum estimate: General contractors often reject vague lump-sum bid estimates and weak bid formats; include a detailed line-item breakdown and company profile so they can understand the full value you have to offer.
Subcontractors must exhibit dedication to all aspects of the process, including cost estimation, presentation, attention to detail, and responsiveness. The subcontractors that take the bidding process as seriously as breaking ground on a project are the ones who see their efforts reflected back in more opportunities.
Continuously Refining Your Strategies
Contractors need to consistently reflect on their bidding efforts. Gather and implement feedback after each project won and after every bid lost. Organizations that review bids regularly demonstrate more success in developing effective future bids.
For bids you won, ask questions like: How did your final expenses align with your budget? Is this a client you would work with in the future? Were there any areas of miscommunication or misalignment later?
For bids you lost, ask questions like: What was the difference between you and the organization that won? Were you offered a reason for losing the bid? What do you think could have been improved?
Continuing to refine your strategy allows you to recognize patterns that generate success, refine your pricing, and identify areas of growth. Winning more bids isn’t luck; it’s a repeatable, data-backed process. With a defined strategy to analyze previous bids and implement the growth opportunities you discover, you equip your team to develop more competitive bids in the future.
Submit and Win More Bids with PlanHub
Winning bids is an art. Grounding your bidding process in data and dedicating the necessary resources to building detailed proposals drives tangible improvements when weighing how to improve bid success rates. Contractors who invest in their bidding strategy are ultimately rewarded with more work.
PlanHub provides users with the full capability to find opportunities and manage bids while submitting more detailed and compelling proposals. From collaborative bid drafting capabilities to automated matching, PlanHub empowers over 500,000 construction professionals to streamline their bidding, cut admin work, and win more projects. Explore a free trial with our bidding management software and tools to discover how our platform makes developing quality bids easier and helps you achieve more wins.
Book a demo today and discover all the ways our tools can make your bids stronger and your projects more successful.
