Re-bidding as an incumbent: How to win (again) when your contract’s up
Why clients go to market (even when they’re happy with you)
Winning a contract once is tough but keeping it can be even tougher. Many firms assume that being the incumbent gives them an automatic advantage in a re-tender. But organisations go to market for a variety of reasons, many of which have nothing to do with your firm’s performance.
Understanding the triggers behind a re-tender can help you frame your response:
Cyclical panel renewal: Many government agencies, insurers, and corporates have fixed-term panels and must re-tender every few years (especially if all extensions have been exhausted), regardless of satisfaction.
Panel consolidation: Clients are reducing the number of providers on panels to cut costs, streamline management, or increase competition.
Political or regulatory change: A new government, leadership team, or compliance shift can trigger a fresh procurement process.
Cost-cutting exercises: New CFOs or procurement teams may want to push for lower fees or alternative pricing models.
New management or stakeholders: If key decision-makers change, they may want to reset relationships and bring in their own preferred providers.
Service dissatisfaction (silent or explicit): Some stakeholders may push for change due to perceived service issues, even if you weren’t aware of any problems.
TIP: Never assume the re-tender is a formality. Even if the client prefers to keep you, they need to justify that decision internally, so make it easy for them.
1. Understand the power dynamics at play in re-tenders
Even if you’ve performed well, your client holds all the power in a re-tender. That means:
Procurement wants to look like they’ve done due diligence. Even if they don’t want to switch providers, they may run a competitive process just to ensure they’re getting the best value.
Some decision-makers may have an incentive to push for change. This could be a new CFO wanting to cut costs or an external consultant recommending fresh eyes.
You may have internal champions, but also detractors. Who’s likely to push for you to stay? And who sees the re-tender as an opportunity to replace you?
TIP: Map out your allies and detractors early. Activate your supporters ahead of time and address or neutralise concerns before they escalate into reasons to switch (without transgressing any probity conditions of course once the bid is ‘on’).
2. Reframe the relationship: Don’t just defend the status quo
A common mistake incumbents make is focusing too much on past work rather than showing how they’ll add value going forward.
What’s changed since you won the contract? Have their business needs, priorities, or risks shifted? Show how you’ve evolved with them.
What’s new in your approach? Even small innovations (new reporting, technology, efficiencies) demonstrate that you’re proactively improving, not just coasting.
How do you reduce the risk of change? Remind them that switching providers means onboarding, learning curves, and uncertainty.
TIP: Present a vision for the next contract term or your service relationship, not just a defence of your past work.
3. Address detractors and hidden objections
Even in strong client relationships, not everyone is on your side. Silent dissatisfaction, procurement pressure, or internal politics can all play a role in decision-making.
Common objections incumbents face:
‘We need fresh eyes’
Reposition your firm as constantly evolving and innovating.
‘We can get this cheaper elsewhere’
Demonstrate value beyond price: cost savings, efficiencies, and risk mitigation.
‘There were service issues.’
Acknowledge past challenges and show how you’ve improved (see more on a mea culpa bid strategy below).
TIP: Get early feedback on pain points before the re-tender lands. Address these head-on in your bid so they don’t become reasons to switch providers.
4. Defend against panel consolidation risks
Many firms re-bidding for panel spots are now facing a shrinking panel landscape. The risk isn’t just losing your place entirely; it’s also losing work share to other panel firms.
If the panel is shrinking: Show why you’re indispensable by highlighting niche expertise, flexibility, or unique capabilities.
If the panel structure is changing: Understand the new requirements and adjust your approach to align with emerging client priorities.
If the panel remains large: Don’t just focus on staying on the panel; focus on winning more work from it with a plan to leverage your win once the re-appointment is secured.
TIP: Your biggest competition isn’t just new bidders it’s your own panel peers, or worse your own inaction. Make it clear why the client should send more work your way.
5. When things haven’t been perfect: the mea culpa or Triple A strategy
Even the best firms experience service slip-ups: missed deadlines, miscommunications, budget overruns, or quality concerns. If left unaddressed, these can become key reasons for losing the re-bid.
The worst approach?
Ignoring the issue. Instead, take a mea culpa (strategic apology) or AAA approach: Acknowledge, address, and assure.
Acknowledge – own the issue without over-apologising
Be proactive: Don’t wait for the client to bring it up.
Stay factual: Avoid blame or excessive justification. Be brief!
Example: ‘We recognise that during [time period], there were challenges with >specific issue< ...’
Address – demonstrate what you’ve fixed
Show tangible steps taken: process improvements, team changes, technology updates. A workflow diagram can be great to illustrate the point.
Provide evidence of improvement: response times, client feedback, efficiency gains.
Example: ‘Since implementing a new case management system, our turnaround times have improved by 30%.’
Assure – reinforce trust and the path forward
Highlight risk mitigation steps: e.g., escalation points, proactive check-ins.
Position it as an opportunity for growth: ‘We’ve evolved with your needs and are now stronger than ever.’
TIP: Clients want confidence to (re)proceed with you, not just apologies. Frame your response as a commitment to ongoing excellence.
6. Strengthen your narrative and make your case clear
Even long-term clients don’t always fully appreciate the depth of your contribution. Make their decision to retain you as easy as possible by framing a strong narrative:
Use data to prove ROI. What efficiencies have you introduced? How have you saved time or money?
Showcase testimonials from internal champions. If key stakeholders advocate for your firm, leverage that in your bid.
Frame your proposal as a logical progression. Staying with you should feel like the natural next step, not just maintaining the status quo.
TIP: Make your bid about them not you. Clients don’t just want to know what you do; they want to know how you solve their problems.
Final thought: make their decision easy
Clients want to minimise risk, cut costs, and streamline decision-making. Your job is to make keeping you the obvious choice by:
demonstrating long-term value
showing you’re aligned with their evolving needs
eliminating reasons to look elsewhere.
TIP: Never assume your track record is enough.
Treat every re-bid as a fresh competition and put your best case forward.
Incumbent re-tender strategy checklist: are you ready to win again?
Identify why the client is re-tendering.
Map out the power dynamics: who are your allies and detractors?
Get early client feedback (before the bid drops) what are their changed needs?
Address past service issues if needed: Triple AAA (Acknowledge, Address, Assure).
Dimension impact: have clear proof - data, stats, testimonials, and case studies.
Don’t assume anything! Make the case as if you were a ‘new’ challenger.
Need help crafting a winning re-bid strategy?
Even the strongest incumbents can lose if they don’t put their best case forward. If you want expert insights on how to frame your response, counter risks, and maximise your chances of winning again, let's chat.
Get in touch today to strengthen your next bid!
Happy strategising!