Effective Methods for Securing an E-Learning RFP
By Karl M. Kapp, Ed.D.

This article is based on the book "Winning E-Learning Proposals: The Art of Development and Delivery" written by Karl M. Kapp, Ed.D, Associate Professor of Instructional Technology at Bloomsburg University's Institute for Interactive Technologies. "Winning E-Learning Proposals: The Art of Development and Delivery" is published by J. Ross Publishing Press and is available at the FindLearning Bookstore under E-Learning.

This is the first book to present the entire process for securing e-learning business successfully. It provides practical tips and techniques for conceptualizing winning ideas, writing winning proposals, and staging winning presentations. The book covers e-learning standards, certifications, budget concerns, ROI, legal considerations, project management and it includes checklists, templates, and actual examples from successful e-learning proposals and real cases. It delineates the ten steps in the E-Learning Business Acquisition Process and illustrates how to make significant profits in the competitive e-learning industry.

Excerpt:

Introduction
Free lance developers and e-learning companies must continually work to cultivate new clients and new projects. It is important to always have a "pipeline" of potential work lined up to keep the revenue stream flowing. This article outlines five methods that can be used by individuals and organizations to obtain e-learning business for clients.
The five methods are:
" Cold Calling
" Sales Demonstrations/Seminars/Webinars
" Asking for RFP on Your Web Site
" Obtaining Shortlist Status
" Using Web-Based RFPs (this is where we come in)

Cold Calling
This "tried and true" method is tough on the salesperson, but it works. Using this method, a sales representative tries to generate new e-learning business and obtain RFPs by either calling clients that are not familiar with his or her organization, or actually visiting the client organization without an invitation. While this method rarely results in an immediate receipt of an RFP, it can lead to a dialogue between the two companies and an opportunity for you to demonstrate e-learning capabilities for the client, or to be placed on the client's mailing list for RFPs issued in the future.

Another variation of cold calling is to call a potential client and ask to be placed on their RFP mailing list. Some clients are open to this idea. Others are not. If they are open to the idea, the client will request basic information about your firm and then you will be placed on their RFP mailing list. Then you, along with several dozen other e-learning firms, will receive any RFPs that are issued. This method is effective for getting RFPs but places you in a highly competitive situation with other vendors who are also on the client's RFP mailing list. Being one of many vendors typically does not result in a high win rate.

Sales Demonstrations/Seminars/Webinars
The seminar or webinar (on-line seminar) focuses on educating the client rather than direct selling. The event allows you to show software and talk openly about e-learning. Often the event features a well-known figure from the training or e-learning industry to draw prospects to the seminar/webinar. The belief is that by educating the potential client, the vendor will be in a favorable position when the client decides to issue an RFP.

The seminar/webinar is usually open to a large number of potential clients who observe the software functionality. The open seminar/webinar environment allows prospects to "kick the tires" of e-learning solutions in a low-key, low stress environment without a full-fledged sales pitch. It allows you to gage prospects' interest, and to separate serious buyers from individuals not yet prepared to issue an RFP.

The value to the potential client is that the seminar/webinar contains educational information about e-learning that is worthwhile regardless of whether or not they intend to purchase your software or service. The event educates potential e-learning clients about the latest technology and explains to them how e-learning is being used in other companies. It allows the prospective client to interact with others in the training industry who may be slightly ahead of them in the area of e-learning.

One extremely effective method e-learning companies are using to get potential clients to events like seminars and webinars is to partner with leading consultants and academics in the field of e-learning. The notoriety of the academic or consultant typically brings those curious about e-learning to the event. A well-known individual headlining a seminar makes the potential clients feel like they are getting something valuable out of the seminar and not just a sales pitch.

Asking for RFPs on Your Web Site
This sounds simple but is rarely done. While most e-learning companies have an elaborate and exciting web site, they often fail to ask for RFPs on it. Web sites typically provide contact information and exciting demonstrations of work, but the site must do more. It must invite curious and serious clients to send an RFP. If a potential client takes the time to visit your web site (which is probably plastered on all of your sales literature), then you owe it to your client to allow them to submit an RFP right then and there.

Set up an RFP drop box or an e-mail address. If you want to get a little fancier, you could have the prospect complete an on-line form with a few standard questions, and then have them attach the RFP and submit. The goal is to make it easy and convenient for your prospect to send you an RFP.

Obtaining "Short List" Status
A good position for an e-learning vendor is to be on the client's short list or "list of qualified vendors." A short list is simply a list of e-learning vendors who are pre-qualified to respond to RFPs issued by the client. The short list technique is usually associated with large companies who have the purchasing or procurement department pre-screen qualified vendors, and then any department within the organization can choose from that list of vendors.

For many clients, it is difficult to constantly find vendors to send RFPs. Some vendors do not respond to RFPs (too busy, too arrogant, or too crazy-can't win unless you respond), some vendors' reputations are unknown and therefore, the risk of failure is present, some vendors are too big for some projects, and others too small. Rather than continually searching the entire e-learning field for qualified vendors each time an e-learning project is needed, large companies create a list of qualified, competent vendors and place them on their preferred list.

When an e-learning project needs to be completed, the client sends the RFP only to those vendors on their list. This ensures two things. One is that a competitive bidding situation occurs and secondly that the client receives a response from a vendor with whom they are familiar.

Using Web-Based RFPs
Recently a new method of obtaining RFPs has come into its own-the use of the Internet to obtain an RFP. The process involves the client submitting an on-line RFP usually by answering a series of questions and adding some text to explain the needs. The next step is for the vendors (typically pre-registered at the site) to be notified of the possible e-learning work. The vendor then submits a price proposal, and when a client agrees with a price quoted by the vendor, the deal is completed.

An excellent web site for uniting clients and vendors is http://www.findlearning.com (formerly http://www.learn-source.com) which is an organization known as Findlearning.com. This web site provides a method in which the client can post e-learning projects and get responses from vendors qualified to work on the project. Findlearning.com connects companies with vendors who can fulfill their e-learning needs. It provides a service that allows companies to submit proposals to e-learning vendor for their specific learning needs and for the vendors to find the right clients for their training.

As the web becomes more of a medium for communication between companies, this method of obtaining RFPs will become more prevalent. This is especially true in the field of e-learning where the web plays such a critical role.

Summary
These five proven methods will help you to locate appropriate clients for your learning services. These techniques have been effective and each should be included within your overall marketing and sales strategy. Good Luck!

Order a copy of "Winning E-Learning Proposals: The Art of Development and Delivery" here or by visiting the FindLearning Bookstore under the E-Learning category.