Ep 63: Are RFPs a Waste of Time?

Summary: In this week's episode, we discuss RFPs and how each of our agencies approach them. We talk about investigating whether an RFP is worth your time or not; we share our own experiences with assessing RFPs and guiding potential clients toward a better plan of action; we talk about speaking to clients' needs in a way that inspires them; and we also share our framework for not just meeting RFP requirements, but creating a genuine connection and cultivating real relationships with potential clients. Top 3 Curtain Pulls in this episode: Don't naively participate - "The end result with any potential client, especially one with an RFP, is you want to build a relationship with them where you get outside the level of a commodity. You need to short circuit that somehow, and show that you're different and make a unique connection."Stand out - We often say that in business, you can be the Cheapest, the Best, or the Only. This applies to RFPs as well! You don't want to be the cheapest, as that's a hard way to consistently win. So how do you become the Only? By truly showing why you are the BEST!Consider the true upside - When deciding whether an RFP is right for your agency, consider the potential for long-term loyalty. Will this client be a long-term business partner, or are they just looking for a quick turnaround? The time needed upfront to investigate this is worth your while, every time. For more tips, discussion, and behind the scenes: Follow us on Instagram @AgencyPodcastJoin our closed Facebook community for agency leaders About The Guys: Bob Hutchins: Founder of BuzzPlant, a digital agency that he ran from from 2000-2017. He is also the author of 3 books. More on Bob: Bob on LinkedIntwitter.com/BobHutchinsinstagram.com/bwhutchins Bob on Facebook Brad Ayres: Founder of Anthem Republic, an award-winning ad agency. Brad's knowledge has led some of the biggest brands in the world. Originally from Detroit, Brad is an OG in the ad agency world and has the wisdom and scars to prove it. Currently that knowledge is being applied to his boutique agency. More on Brad: Brad on LinkedInAnthem Republictwitter.com/bradayresinstagram.com/therealbradayresfacebook.com/Bradayres Ken Ott: Co-Founder and Chief Growth Rebel of Metacake, an Ecommerce Growth Team for some of the world's most influential brands with a mission to Grow Brands That Matter. Ken is also an author, speaker, and was nominated for an Emmy for his acting on the Metacake Youtube Channel (not really). More on Ken: Ken on LinkedInMetacake - An Ecommerce Growth TeamGrowth Rebel TVtwitter.com/iamKenOttinstagram.com/iamKenOttfacebook.com/iamKenOtt Show Notes: [0:32] Bob welcomes us to the show and introduces today's topic: RFPs or requests for proposal. [3:37] Ken says that Metacake gets around 10 a year, and that it's not something they rely on to get business. [3:56] Brad's agency gets roughly 70% of new business without RFPs, and the clients that do bring them are typically larger companies. [4:52] Bob defines RFP for us and gives a brief history. "In the late 1880s, industrialism standardized the productions of goods and accelerated communication between businesses… made it possible for businesses to solicit from vendors… included questions to help the buyer evaluate and compare each supplier's offering." [7:10] Bob continues. RFPs can be 50 or 100 pages long, and contain a breakdown of every step of every part of your process. There can be questions about examples of work done in the past, referrals, and typically they want it written in a specific format. Long story short: they're term papers! [8:00] Brad says that RFPs usually boil down to figuring out how an agency thinks. [8:57] Brad talks about how the need for RFPs has changed over time, and often companies want a more straightforward financial estimate than anything else—a more generalized document than the 100-page assignments of the past. The time wasted for marketing managers to write these massive documents is a waste of time and manpower in itself. [10:09] Ken talks about the "apples to apples" comparison of RFPs, saying that there really is no way to compare one company or agency against the next. This makes the review of RFPs more about discernment—and most of them are just written wrong, in his opinion. [12:18] Brad talks about the RFPs that attempt to plan out a two-year contract with an agency. In reality, you want to be able to pivot when you enter into an agreement with someone. And so for many agencies, RFPs are a risk to take on. [13:49] Bob says that some companies and agencies have divisions that do nothing but respond to RFPs. [14:37] Brad says that if an agency's clients are mostly Fortune 500 companies, they are more likely doing a lot more RFPs. [15:02] Bob asks Brad and Ken about tactics they use that can either minimize the process or ensure that they have a greater chance over some competitors that are out there. [15:20] ...