Government Marketing Tactics: Selling to the Government

Posted by Irv on March 20th, 2006

By Michael Lisagor
Companies selling to the government, like the commercial market, need to differentiate themselves from their competitors. Government buyers are very sophisticated, and expect their suppliers to be able to articulate how their solutions meet unique agency challenges and program requirements. Selling to the government takes professional branding and government marketing materials as well as active participation in relevant industry and government associations and conferences.

One of the biggest problems I find as a management consultant is organizations that dive into government marketing tactics before clearly understanding their overall mission, objectives and government marketing strategy. It is absolutely crucial to take the time to make sure you understand the target market that best fits the product or service you plan on selling to the government. This will accomplish at least two important objectives: (1) encourage you to say “no” to non-core goods or services and incompatible agencies and (2) ensure you select the most cost-effective government marketing mix to achieve your objectives. It’s all about focus and return on investment.

Several effective government marketing and public relations tactics are listed below. The decision about which of the government marketing tactics are the best fit with your product or service can be made using the downloadable Government Marketing Strategy Decision Matrix. The optimal mix of these marketing elements will depend on your company’s specific objectives and market.

Government Marketing Tactics

Networking at association and local government events. A very effective way to meet potential teaming partners and to come into contact with potential government buyers. It’s beneficial to network and get your name known in government circles when selling to the government.
Telemarketing for near term lead generation. Acquire outside support for lead identification/cold calls. Hire a professional company to target agencies to identify interested government managers and set appointments for a visit. This is a way to leverage outside resources to supplement a limited inside sales capability.
Inside sales support – more feet on the street. Consider hiring an experienced mid-level task order sales associate to physically sell into targeted government agencies or a lower level sales associate to telemarket into agencies to generate leads for senior staff follow-up.
Advertising for market awareness. Implement a cost-effective annual advertising plan that focuses on the highest ROI solution/service. Target federal or state and local trade magazines with the intention of generating click-thrus to your company’s Web site.
Print Ads. Magazine print advertising can be prohibitively expense for small companies. To be effective, at least 4-6 ads need to run per year. Also, print ads rarely generate real leads but rather brand recognition or end of fiscal year purchase influence for product sales. This is probably only appropriate if your company has the revenue to support the overhead expense. Print advertising is an effective way to introduce a new product launch or to build brand awareness.
Online Ads. Online trade newsletter advertising can be more affordable. Look for trade magazine newsletters to sponsor for a two-month period and measure click-thru rates and lead generation.
Company email newsletter. A company permission-based email newsletter can generate a lot of recognition and awareness. Remember to make it permission-based for all government marketing efforts.
Conference sponsorship and panel participation. Make sure to target conferences to actively participate in that attract your company’s most likely prospects. Try to get a senior company executive on the conference advisory board and/or as a speaker. Sign up as a sponsor for maximum exposure when selling to the government.
Web site management. Most of your government marketing tactics will generate leads either by phone calls or Web site visits. The company Web site will need to be up to date and professional looking to support whatever government marketing tactics are implemented. Web sites are frequently checked by government buyers to purchase items and to validate a company’s credibility.
Direct marketing. This can be prohibitively expensive for many companies. However, it can be an effective part of a comprehensive government marketing campaign. In order for your direct marketing efforts to be successful in selling to the government, you must ensure you have a marketing contact list that connects you to the right government contacts. Onvia offers custom contact lists of government decision makers. These customized lists are optimized for your business specifications and the government contacts you are trying to target.
Press release announcements. Subjects should include government contract wins, new hires, other newsworthy product launches, company activities and success stories. Pitch your release to selected local/trade publications to generate interest and schedule interviews for key executives.
Research byline opportunities. Identify publications that accept bylined articles relevant to the company’s areas of expertise, or unique facets of company culture and obtain contact information and article specifications.

Bottom line — if you want to win government contracts, then you’ve got to get out there. You’ve got to develop relationships and give people the chance to get to know you. As with any business endeavor, selling to the government requires a carefully crafted and consistent marketing strategy. Government buyers respond to promotional pitches just as private sector customers do. E-mail, brochures, newsletters, networking, direct mail and advertising can be useful tools, but the key in the government marketplace is to be persistent.

Michael Lisagor founded Celerity Works in 1999 to help industry executives win and manage government business. He is the author of the Business Development Guide for Selling to the Government.