At EUC, we were engaged by a prominent national freight business to provide comprehensive benchmarking across their contracts. This client, a long-term partner of EUC, had significant expenditure on mobile and regional data usage. Despite market pricing increases since their last contract, they wished to remain with their current supplier due to the strong relationship they had built.
EUC’s ICT and Telecommunications Tendering Services
EUC specialises in ICT and Telecommunications Tendering, ensuring our clients receive the “best in market” supply from their carriers. Our services focus on three key areas:
- Price: Securing the most competitive rates.
- Product: Ensuring optimal network capability and value-adds.
- Service: Matching the engagement model with the carrier’s offerings.
Implementing the Virtual Tender Response (VTR)
To address our client’s needs, EUC proposed a Virtual Tender Response (VTR). This innovative approach allows clients to consider all elements of their contract and achieve outcomes consistent with a ‘best in market’ tender, all while leveraging their existing supplier relationship.
The VTR process involves:
- Developing detailed tender baseline profiles: Simulating a full tender process.
- Creating a comprehensive “tender forecast”: Predicting likely outcomes quickly.
- Providing the incumbent supplier with an opportunity to submit an offer.
- Comparing the supplier’s offer against the “best in market” VTR benchmark.
Ensuring Optimal Outcomes through Benchmarking
The supplier was briefed that their offer needed to align with the “best in market” benchmark as established by EUC. This allowed the client to justify renewing the contract without conducting a full tender. The offer needed to meet what would be achieved from a tender.
Successful Results
The outcome was a substantial new discounting regime and new pricing models. There was no net increase in costs despite two major market price increases in the past 12 months. This achievement highlights EUC’s ability to secure the best possible terms for our clients, ensuring cost-efficiency and the continuation of valuable supplier relationships.
EUC remains committed to delivering exceptional value and expertise to our clients. We help them navigate complex telecommunications landscapes and achieve optimal contract outcomes.
Are you ready to optimise your contracts and achieve the best in market terms? Contact us today to learn more about our benchmarking services and how we can help your business thrive. Let us assist you in navigating the complexities of telecommunications and securing cost-effective, high-value contracts.
FAQs
How does EUC’s Virtual Tender Response (VTR) work?
The VTR process involves developing detailed tender baseline profiles, creating a comprehensive tender forecast, allowing the incumbent supplier to submit an offer, and comparing this offer against the best in market VTR benchmark.
What are the key focus areas of EUC’s ICT and Telecommunications Tendering Services?
EUC focuses on securing competitive rates, ensuring optimal network capability and value-adds, and matching the engagement model with the carrier’s offerings.
Why did the client prefer to stay with their current supplier?
The client had built a strong relationship with their current supplier and desired to maintain it despite market pricing increases.
What was the result of the benchmarking process for the national freight business?
The benchmarking process resulted in a substantial new discounting regime and new pricing models with no net increase in costs.
How does EUC ensure the best possible terms for their clients?
EUC utilizes innovative approaches like the VTR to benchmark offers against the best in the market, ensuring clients receive optimal terms without the need for a full tender process.
What makes EUC’s approach to telecommunications tendering unique?
EUC’s approach is unique due to its comprehensive benchmarking process, focus on maintaining valuable supplier relationships, and ability to achieve cost-efficiency for clients.
