Whether you’re a sole trader, medium-sized business or a large corporation, chances are you have to write proposals to win new business. What you write influences the outcome, but where do you start? In this post, let’s look at how to write a sales or business proposal to drive new business and sales.
The first thing to decide is how much time and money to spend on your proposal. This will be influenced by the client’s expectations, the size of the job and how badly you want it. But remember this is a proposal, not a project specification, so don’t bombard the client with too much information.
Prepping To Write A Sales Proposal: Understand Your Client
The fundamental principle in writing a proposal is to understand the client’s business. You need to demonstrate this understanding throughout your proposal so the client feels you’re on their side and that you know what they want.
A Solid Structure to Your Sales/Business proposal
Most proposals consist of an outline of the problem or opportunity, your solution, your capabilities and pricing. Some proposals also include an executive summary, background and industry information and appendices with technical specifications. In How To Write Proposals And Reports That Get Results (Prentice Hall), Ross Jay compares the structure of a proposal to that of a fairytale with a beginning, middle and end. She uses a “Four P” approach: position, problem, possibilities and proposal. Pricing is an additional “P” to add to the mix.
She cites the example of Hansel and Gretel, who are left in the woods because their father and stepmother can’t afford to look after them (position). They have a problem because a wicked witch imprisons them in her gingerbread house. To escape they need to consider their possibilities (or options). They could try to run away or they could trick the witch. In the end they decide that the best solution (proposal) is to shove the witch in her own oven and run home.
While you’re unlikely to use a strict 5P approach, it is a useful planning tool. If you write a lot of proposals, or your proposals are written by several people within your company, consider developing a template.
If you’re doing a cut and paste from previous proposals, make sure you change all the details. This may sound obvious, but leaving in details of a previous proposal has happened – and it’s not a good look!
Define the brief for your sales/business proposal
The client may have a problem, an unmet need or an opportunity to improve their business. If you’re lucky, the client will give you a written brief, but often it’s up to you to work out what they want on the basis of previous conversations.
Spell out the brief so you and the client both have the same starting point. It may be useful to include background information about the current situation to demonstrate that you understand the issues.
Provide a solution
Your proposal will include a solution or a description of your product, application or processes. It’s important to clearly articulate what you will deliver and demonstrate the benefits, both financial and non-financial, for the client.
Sometimes you may wish to offer the client options. You have a better chance of influencing your reader to adopt your preferred option if you:
- stick to the facts and avoid value judgments
- support what you say with evidence
- anticipate and answer objections
- don’t rubbish alternative options.
In some cases you might state which is your preferred option, but often you will leave the choice to the client and hope that you’ve been persuasive enough for them to pick your preferred option. Decide whether to place your preferred option first or last. In the Three Little Pigs the preferred option is last!
The extra dimension in a sales/business proposal
Ask yourself if you are offering something that will make your proposal stand you out from the crowd. Sometimes just being straight and honest about who you are and what you do is an extra dimension in itself. You might have an original or creative approach. Or you might be adding value over and above what has been asked for.
Demonstrating your capabilities in a business proposal
Although solution and cost are often perceived as the most crucial aspects in a proposal, capabilities are also an important part of the mix. You not only need to be able to deliver what you promise, you also need to demonstrate that you are qualified to deliver it effectively. Provide information about your company, previous relevant case studies and testimonials. Keep it factual; leave the superlatives for your testimonials.
Pricing
It’s important to be competitive, but price is not the only criteria the client will judge you on. If you go in too cheap and get the contract, you may regret it when you win more lucrative clients.
Most proposals have the prices at the back, but some people put them upfront to overcome the natural urge of the client to turn to the back page.
You may wish to include administrative details, such as how you will invoice, e.g. monthly or at the end of the project. Also, remember to make all your prices are tax inclusive (VAT, GST, etc)!
Writing style for a sales/business proposal
Writing an effective proposal requires time, patience and care. Be prepared to write, evaluate and rewrite as necessary. Rewriting gives you the chance to improve the quality and responsiveness of your proposal. Pay attention to detail. Good grammar and spelling count.
Your writing needs to be simple, clear and objective. Avoid using emotive language or hype words like “best”, “amazing” or “stunning”. Use facts and figures if you have them, and if you are making a claim, be specific. For example, if you say your product is faster than a competitor’s, say how much faster and assign a dollar figure to the benefits of increased speed.
Once again, it’s important to understand your audience. While simple, clear English is always preferable, sometimes you may need to use jargon in a technical proposal. If your proposal will have multiple audiences, explain your jargon at the beginning or in a glossary.
Layout and design of a sales proposal
The visual appearance of your proposal will influence the client. Information presented in small chunks with lots of white space is easier to read than dense text. Some of the ways to improve layout and readability are:
- headings
- bullet points for lists
- short paragraphs with the key idea in the first sentence
- charts and graphs (if relevant).
How you’re asked to deliver your proposal – email or hard copy will influence the way you present and package your information. Some proposals these days are in PowerPoint, which has the advantage of keeping your writing succinct, but may be too limiting if you want to provide background and technical information.
Whatever format and packaging you use, it needs to be professional and in keeping with your brand.
Check and proofread
When checking your proposal ask yourself:- Have I interpreted the brief accurately?
- Does my proposal address all the issues?
- Is my proposal relevant for all stakeholders?Is my proposal easy to read and well laid out?
- Have I missed anything that would add value?”
Even if you write well, ask a colleague or friend to proofread your proposal. The standards for business writing aren’t any different than for say, fiction or non-fiction book writing – you have to aim for perfection in terms of getting the grammar right, avoiding typos at all costs. But when you’re close to your written material it’s easy to overlook little mistakes, such as missing words.
Presentation
If you get the opportunity to present to the client, grab it. Consider giving everyone a copy in advance so they don’t immediately flip to the back page for the prices! And make sure you have enough copies for everyone.
As with writing the proposal, you need to take your prospective client into consideration when presenting. Some clients want detail, whereas others are mainly concerned about price; some like a straight presentation and others appreciate humor.
If you’re using a PowerPoint presentation or overheads make sure they have the same look and feel as your proposal. Avoid the temptation to go into too much detail and if you’re new to presentations, practice beforehand.
Closure
One of the most frustrating things about making proposals is the wait afterwards. Sometimes you’re lucky and get an answer on the spot, but often, it’s just like going for a job interview, you wait and you wait and you wait. It’s not unheard of to have a proposal accepted months later.
You may consider putting a “valid until” clause at the end of your proposal or ending with a call to action for the client, such as asking them for a letter of intent or just an invitation for them to contact you.
As with all marketing, the best strategy is to be “unattached to the outcome” – but that’s often easier said than done.
If you don’t get a response, follow up. And if you don’t get a response after following up, remember, there’s always the next sales or business proposal!
