New research from the Society for Marketing Professional Services Foundation (SMPS Foundation) finds that average AEC firm hit rate—measured most commonly as the total number of proposals submitted to the total number of projects won—falls within the 37-44% range, depending on the discipline. Engineering firms have the highest average hit rate, at 44.2%. Construction firms have the lowest average hit rate, at 37.9%.
The 22-page report, Measuring for Success: A Look at Hit Rates & Other KPIs in the A/E/C Industries, evaluates the tools and processes that AEC firms use to track marketing success. The findings and analysis are based on a survey of 303 U.S.-based AEC firms conducted by the SMPS Foundation in conjunction with the Southern Illinois University Edwardsville Master of Marketing Research program.
“While there are many variables in tracking hit rates throughout AEC industries, there is a benefit to having a metric for evaluating a firm’s progress,” wrote the report’s authors. “The hit rate provides a baseline over time for firms to improve their success rate and should be used in conjunction with other key performance indicators such as profitability, market trends, and backlog.”
The report addresses a variety of topics, including:
• Methods and metrics AEC firms utilize to track their success of winning projects
• How firms use the hit rate metric to improve future performance
• Alternative key performance indicators
• Effectiveness of hit rate and other KPIs
• Barriers to developing a benchmarking standard for AEC firms
• It concludes with takeaways and action steps for AEC firms.
SMPS members receive a complimentary download of the report once they log on to smps.org.
Nonmembers may download the report with a donation of $24.95 until January 31, 2017.
Source: SMPS Foundation
Related Stories
| Aug 11, 2010
Nonresidential construction will be down 14% in 2009; 17% in 2010, according to FMI report
FMI released its Construction Outlook: Second Quarter 2009 Report, and the outlook isn't good for the nonresidential market. FMI forecasts the market to decline 14% this year, followed by a 17% slide in 2010. FMI says that while the economy is showing some signs of improvement, it is just the beginning of the downfall for nonresidential construction.
| Aug 11, 2010
GSA celebrates 60th anniversary
The U.S. General Services Administration today is commemorating its 60th anniversary as it engages in one of its its most challenging assignments ever—helping to achieve the goals of the American Recovery and Reinvestment Act.
| Aug 11, 2010
Draft NIST report on Cowboys practice facility collapse released for public comment
A fabric-covered, steel frame practice facility owned by the National Football League’s Dallas Cowboys collapsed under wind loads significantly less than those required under applicable design standards, according to a report released today for public comment by the Commerce Department's National Institute of Standards and Technology (NIST).
| Aug 11, 2010
Callison, MulvannyG2 among nation's largest retail design firms, according to BD+C's Giants 300 report
A ranking of the Top 75 Retail Design Firms based on Building Design+Construction's 2009 Giants 300 survey. For more Giants 300 rankings, visit http://www.BDCnetwork.com/Giants
| Aug 11, 2010
Kate Offringa named NAIMA's interim president and CEO
The NAIMA Board of Governors has named Kate Offringa interim President and CEO of the North American Insulation Manufacturers Association (“NAIMA”). Previously, Kate has served as NAIMA’s Vice President of Public Affairs.
| Aug 11, 2010
DLR Group planning Santa Cruz County Justice and Detention Center
The multifunctional project combines a new courthouse, adult detention, juvenile detention and sheriff’s offices - all in close proximity to each other. Serving all of Santa Cruz County in Arizona, the three-story project includes a new jail facility with separate areas for adults and juveniles, a sheriff’s office and a new courts and administration building with courts, offices and public service areas.
| Aug 11, 2010
ASHRAE releases free BIM introductory guide
A newly released guide from ASHRAE on building information models and building information modeling (BIM) serves as a resource for professionals considering BIM tools and applications for their businesses. According to "An Introduction to Building Information Modeling," BIM is “a digital representation of the physical and the functional characteristics of a facility.” Unlike 2D or 3D CAD, BIM software utilizes intelligent objects to create models.
| Aug 11, 2010
USGBC honors Brad Pitt's Make It Right New Orleans as the ‘largest and greenest single-family community in the world’
U.S. Green Building Council President, CEO and Founding Chair Rick Fedrizzi today declared that the neighborhood being built by Make It Right New Orleans, the post-Katrina housing initiative launched by actor Brad Pitt, is the “largest and greenest community of single-family homes in the world” at the annual Clinton Global Initiative meeting in New York.
