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  • Writer's pictureLuke Lim

COVID-19 has led to more competition in construction tender bids

Here are innovative ways to stand out

COVID-19 has been challenging. It’s hit so many businesses hard and threatens to shut down industries if it continues.

Luckily, the construction industry has been kept afloat with the Government encouraging infrastructure projects to continue.

But what we have seen is construction margins reducing and the construction tendering process becoming more competitive than ever before. To win bids, you need to prove that you’re an innovative business that is one step ahead.

Times have changed. The way you used to tender needs a rejig. You need to think beyond what you’re currently doing.

Smart construction companies are becoming more flexible

To win more bids, many construction (or building) companies have started to tender in different sectors to lock in work. They have employees that need the work, so they’re applying for as many building tenders as possible, hoping something sticks.

For example, they’ve only bid in the private sector, but are now starting to bid in the public sector. Or, they’ve only ever attempted lesser value tenders, and they’re now reaching for the more significant tenders.

Recent studies have shown that:

  • More than 2/3 of surveyed builders anticipate they will be tendering significantly outside their preferred range in the coming 12 months

  • Average selective tender panels have increased from an average of 3-4 builders to 6-7

  • Builders within the $1 - $10M and $50 - $100M contracts are most likely to note an increase in competition

(*Data pulled from EstimateOne data)

Construction businesses need to be pro-active and smart. Times are unpredictable, and you need to be flexible in case the construction industry worsens.

There will be increased competitiveness but going for tender bids outside your normal scope will undoubtedly help your business.

Additional things to consider for your construction bid

In this competitive marketplace and with the impact of COVID-19, you need to show that you’ve thought ahead.

You’ll need to consider other things in your constructions bids:

  • Demonstrate that you’ve considered your supply chain and have flexibility around timing and delivery in case your suppliers are affected by COVID-19

  • Show that you’ve considered your workforce and travel restrictions, by employing local people and suppliers

  • Acknowledge the conditions enforced by COVID-19 restrictions which may mean you have fewer workers on-site, that you’re wearing appropriate protective gear

Showing that you’ve thought ahead will give you a competitive edge, but ultimately, they are only words.

So, how can you show your client that you can back up your tender bid with accuracy?

Use 3D construction sequencing animation in your next bid

3D & 4D construction animation helps you to bring your project to life from the ground up. You’ll virtually build the project in front of your client’s eyes. You’ll demonstrate each stage of construction, as well as factor in all the external influences of the surrounding area.

For example, if you’re bidding for a school project, you’ll show the building process. But, you’ll be able to take it further by showing your client that you’ve considered factors such as traffic movement, peak times, students on the ground and so on.

Construction animation in your bids helps you to:

  • Impress your client by pre-building their project

  • Forecast any issues that may arise

  • Reduce construction budget blowouts

  • Identify lead times to give realistic completion dates (& take into account possible supply delays)

  • Avoid reworks of plans and delaying the project

See 3D construction animation in action

Do you want to see if this revolutionary technology will work for your bid?

3D & 4D construction animation technology has helped our clients win more bids, from $5M through to $200M. This could be you! We’d love for you to get in touch (as early in the tender process as possible), so we can demonstrate how we’ll help you up your tender game in this competitive industry.


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