|Home | Current Issue | Submission | Contact Us|
US Government Sales MarketingWhat's the difference between selling to the US Government and selling to the Commercial market?
It's like night and day.
Sales and Marketing to the government is truly the flip side of commercial activities. You really can't believe how different these markets are--until you've actually come from one side--and tried to go over to the other. I emphasize, tried, because it usually doesn't work out very well!
First of all, in the Government world, the term "marketing" is a standard term. But its meaning in the government world is very different from its definition in the commercial world. When you hear someone talk about "Marketing" to the government--they really mean SELLING. That's in large part because those businesses that deal primarily, or exclusively, with the government really don't do much in the way of marketing in the commercial sense.
In a traditional government contractor, there is usually no one with a sales title. There are often a couple of people with grand titles like "Vice President of Marketing" or "Vice President of Business Development". These people have very little in the way of real marketing responsibilities--they are the chief sales people of the company. They are usually former government employees, and in the case of a military contractor, often an ex-general or ex-colonel. Key to their hiring was that they are very well connected in the government or service branch that the company is targeting. Included in their charter are some "light" Marcom activities--putting together data sheets, and coordinating a few targeted trade shows. In addition to the dedicated "Marketing People", much of the technical selling of individual deals is done at the project manager level.
Of course, it's not just the sales & marketing functions that are so different in the government world vs. commercial. Almost everything is! The typical government contracting business model more closely resembles a grocery store, than it does a typical high tech company. Margins are very thin, but profit is pretty much guaranteed once you've secured a contract. Up front R&D ("IR&D" in government terminology) is generally discouraged, as it's a great way to lose money. IR&D can also be funded by the government; that is utilized heavily, but it has limitations. Spending an amount(without government funding) that would be modest in the commercial world on up front R&D can easily wipe out the thin margins that the government contracting business yields. The government contracting model works like this: Hire an ex-employee from the agency that you are targeting your "marketing" at. Leverage that relationship to secure the contract, with a minimum of up front product development expenses. Then hire the people to staff the project, and of course do a good job executing the project. Add new "marketer" from another agency and repeat.
So for those purely commercial readers out there, this must sound pretty different than what you're used to. That's only because it is! There is no Product Marketing/Product Management function in a true government contractor. In the government world your "market" is one customer, or a small number of customers, who are basically specifying the product for you. There are a few sales people, but as I mentioned earlier, they're called marketing people. The actual marketing tasks are few and far between--collateral creation, trade shows, a party here or there.
Difficult to make the Jump
As you imagine from the discussion above, it's difficult to move between the two worlds. That's the reason that nearly EVERY government contractor that has tried to enter commercial markets in any major way has failed abysmally. Government-oriented companies typically don't have the entrepreneurial cultures found in commercial high tech companies. They lack fundamental Market Evaluation and Product Planning skills required for success in the commercial world--because it's not required in their core market.
Senior managers at Government contractors are often profoundly aware of all of this. They may intellectually understand that they need to do things differently for their companies to make the jump to the commercial side. But especially if they have been very successful in the government business, a difficulty emerges that won't be obvious on the surface. And this is the worst of all: Successful senior managers tend to fall back on their what I like to call their "Common Business Sense", when they encounter new or stressful situations. Often they don't even realize that they are doing it. Unfortunately, when an executive with a government contractor utilizes their "common business sense" to make a decision involving a commercial business, the results can be disastrous. The "right way" of doing things in the two businesses are so fundamentally different that it would work out better if they took the OPPOSITE path from what their instincts told them. Not an easy way to do business.
Commercial to Government
So what's a C-level manager in a commercial company, which would like to secure some government orders, to do? Given the different business cultures of the two markets, it seems pretty daunting. Those poor government guys who have tried to go commercial have had their hats handed to them--does the same fate await me?
Fortunately, it doesn't necessarily need to be so bad. If you are selling services, or highly customized products, you may need to closely replicate the government-contracting model, if you are going to be successful. If you are selling fairly standard products, however, it may be possible to gain significant government business leveraging your normal commercial marketing efforts.
|5 Good Books To Read
A Canvas Print From
A New Perspective For Your Journal
Art Work In Communities
Arts Impact On Society
Backyard Landscaping Ideas Pictures
Benefits Of A Good Training
Buying British Dresses For Weddings
Convert Your Inner Critic To Coach
Critical Analysis Of Urdu Novels Of Umera
English Literature Essays And Business Essays
Enrich Your Knowledge With Penguin Books
Experience Where To Buy Kindle
Facebook Tagging Pictures To Let You Have
Features Of Gothic Romance Novels
Finding Free Urdu Novels
Get Over Yourself With
Graphic Novels The Fantastic Addition To Comic
Holiday Journal Therapy
How To Encourage Masses To Read
How To Sell Abstract Art For A Living
How To Understand Contemporary Art
Illustrated Books Bringing Life To The Page
Indian Art Now An Investor’s First
Indian Literature R K Narayan
Indicating Plagiarism In The Urdu
Is Digital Art Real Art
Journal Writing Your Wrong Ways
Keep A Gratitude Journal And Get Happy
Literature as the Way to Get Familiarized
Locate Factors Of Stock Pictures
Martial Art Let Your Kid Be Strong
Musical Journal Therapy
Must read Classics For Kids
Nikon Coolpix For You Cool
Online Urdu Novels By Farhat
Printing Pictures On To Canvas
Reviw Journal Endorses Angle
Selecting Pictures For An Online Memorial
Simple Steps To Good
Social And Marketing Aspects Of Art Online
Strange Places Valuable Used
The Finer Points Of A Literature
The Inspector Morse Novels
The Many Advantages In Using
The Rise Of Funny
Thrilling Romance Novels Review
Understanding The Paradigm Of Context In Works
Urdu Stories And Novels By Umera
Urdu Innovative Literature Builds Progressive Nation
Uses For Senior Pictures
Using Literature With English Language
Ways Of Fighting The Plagiarism
What Is Lacking In The Contemporary
What Makes Contemporary Art Interesting
When Did Photography Become
Why You Should Be Reading
14 Spiritual Laws to Know A to Z of Indian Politics Business Policies Comparison of the Traditional English Corporate Governance Investing in the Emerging Daily Politics Blog How to Find Decalogue Covenant Does God Want People E Governance Effective Policy Writing Five Tips For the Best Friendship and Politics Can General Information Regarding Lemon Government Bids Top 10 Tips Government Contract Proposal Writing Tips Household Insurance Policy What Is Covered How Does a Bee Become the Queen IT Policies Help IT Staff International Law Issues Which Are Plaguing the Indian Lets Say Goodbye To Vanity Life Insurance Policies Term Life Insurance Troubleshooting Local Self Government In New Jersey Long Term Care Insurance Moving to Queens New York O P Bhatnagar A Poet Political Discourse and Participatory Democracy Politics The Ugliest Fascination on Earth Problems In Managing Government Purim Why Did the Womanizer Queen Bee Rearing Queen Hatshepsut Egypts Queen Who Would Queen Honeybees Queens of Amsterdam The Government GIP The Laws of Life The Lemon Law in Florida Stating The Meaning Of Queen The Role of Government The Significance of the Queen Bee Types Of Life Insurance Policies US Government Sales Marketing Universal Law Using SAMPLES to Help you Write What Is The Best What is Political Science Where Now For European Political Why Fear Laws When You Can Make Why Workplace Politics Charts Write Separate Policy And Procedure Manuals
1 Carat Diamond Earrings 10 Things You Need 8 Things To Consider While A Unique Moment A Unique Affordable Fashion Jewelry All Ladies Love Fashion Jewelry Are Clip On Earrings Adjustable Are Clip on Earrings Cheaper Aristocrat Crystal Jewelry Being Cautious When Dealing With Wholesale Bracelets One Of The Oldest Forms Brilliant Ideas When Buying Buying Man Made Diamonds Can I Convert Normal Earrings To Clip Cartier Bracelets Timeless Classic Charm Bracelets Make Great Gifts Checklist For Making Handmade Jewelry Classic Pearl Jewelry Clip On Earrings Or Magnetic Credcam Head Mounted Mini Video Diamond Simulant Jewelry A Comparison Differences Between Male And Female Drop Earrings Come In Many Giordano Watches Guide On How To Choose Handcrafted Jewellery Earrings In Unique How Do Men Wear Silver How To Find The Best How To Fix Tight Clip How To Reduce The Tightness In Search Of High In The Market For Discount Jewelry Infant Bracelets San Pedro California Low Self Esteem 3 Brilliant Personalized Leather Bracelets Making Wonderful Gift Piaget Luxury Watches Sell Watches Ny Get Help Six-movado-watches Smtp Server A Brilliant Innovation For Web Users Smtp Service ¥ A Brilliant Innovation Tennis Bracelets Are An Excellent Addition The Brilliant Features Of Clarion The Exqusite Beauty Of Gemstone The Finest In Watches The Great Investment Of Purchasing The Latest Trends In Charm Bracelets The Question That Transforms Brilliant Ideas Understanding Fine Jewelry What Are The Advantages Of Magnetic World Of Watches The Best Watches
All rights reserved
Copyright © 2013 Curt's Pitch For ALS