Agencies are required to do market research before they buy. Contractors should do the same before they sell. The federal government publishes a remarkable amount of information about its spending, and much of it is free to search. Learning to use these sources can turn a vague target market into a specific list of agencies, contracts and dates.
The main public sources
- SAM.gov contract opportunities lists current notices, including solicitations, sources sought, special notices and award notices.
- SAM.gov data services and reports draw on the Federal Procurement Data System, which records contract actions reported by agencies.
- USAspending.gov presents federal spending data, including contracts and grants, in a searchable form with filters for agency, recipient, NAICS code, product and service code and location.
- Agency procurement forecasts, published by many agencies, list anticipated contract opportunities for the coming months.
Data quality varies, and records sometimes contain errors or delays. Treat public data as a strong starting point, then confirm what you learn through direct contact with agencies.
Questions the data can answer
Start with your NAICS codes and product and service codes, then ask:
- Which agencies and offices award the most contracts in our area?
- Do they tend to use set-asides, full and open competition, or existing vehicles such as GSA Schedules and agency IDIQs?
- What is the typical size of an award for work like ours?
- Which companies hold those contracts today?
- When do current contracts expire, which may signal a recompete?
Expiration dates are especially useful. A contract with an end date a year or two out may be in the early planning stages for its next competition, which is the ideal time to begin building relationships.
Turning data into a target list
Pull the results into a simple spreadsheet. For each promising opportunity, record the agency, office, current contractor, contract number, value, vehicle, set-aside type and estimated end date. Then rank the list by fit and timing. The goal is not a massive database, but a short list of opportunities where you can realistically compete and where you have time to prepare.
Look also at who the incumbents are. Large incumbents with subcontracting plans may be looking for small business partners. Small incumbents may be outgrowing their size standard. Either situation can create openings.
Combining data with conversations
Data tells you what happened. Conversations tell you what is likely to happen next. Use your research to prepare informed questions for agency small business specialists, industry days and capability briefings. An agency representative is more likely to engage with a firm that already understands its buying history than with one asking where to start.
Set aside a few hours each month to refresh your research. Federal markets change as programs grow, shrink and move between offices. Regular attention keeps your pipeline grounded in current facts rather than old assumptions.