Deltek has announced that it has acquired ProPricer, a pricing software solution for agencies and contractors working with government agencies. The acquisition extends the Deltek product portfolio. This also brings new customers into its portfolio, opening up opportunities for cross-selling. ProPricer customers include Boeing, the US Air Force, Jet Propulsion Laboratory, USDE, BAE Systems and Northrop Grumman.
ProPricer offers two editions of its software. The Contractor edition enables collaboration between the federal government and contractors of all sizes. It streamlines the proposal process during submission, negotiation, and award. The government edition helps agencies to standardise their technology stack to reduce proposal processing time.
Customers are impressed. Joe M, a Financial Analyst at BAE Systems, noted, “Innovate’ is an ideal term to describe ProPricer and its team of support. The constant evolution and responses to customer requests of the program provide the users not only the tools needed to complete the job but the confidence in the tools used to manage and maintain proposal efforts. With the continued evolution of the software, the customers feel their needs are being met with their investment in ProPricer ‘innovation’.”
The addition of government organisations to the Deltek customer base is interesting. It may help Deltek gain greater insights on the procurement side to further advance its solutions for contractors and agencies. Regardless, this seems like a purchase that adds a significant technology boost to the Deltek portfolio. It may also bring access to a wider customer base.
Two companies are getting closer over time
Terms of the deal were not announced, and ProPricer, founded in 1986 by Joseph Shurance, was still privately owned. While the firms are now working to transition the employees, customers and partners to Deltek it is unclear how many of the leadership will take up roles within Deltek.
On partners, ProPricer has only a few according to its website. They include EOP Consulting, The Contract Coach and Granite Leadership Strategies. It will also be interesting to see whether technology partner Unison Cost Engineering joins the Deltek Marketplace.
Joe Shurance, CEO and Founder of ProPricer, commented, “This acquisition is the next evolution of ProPricer’s partnership with Deltek and will accelerate our momentum as well as create a more effortless way for customers to get access to not only ProPricer but also the combined benefits of our collective solutions. Joining forces with Deltek is a strategic milestone, and we look forward to maximizing value for customers, employees and partners.”
That partnership evolved in June 2022 when ProPricer announced a strategic business relationship with Deltek. It joined the Deltek Marketplace with its integrations to Deltek Costpoint and Deltek Cobra. It should mean that the integration work between the solutions will need little work. Also that Deltek might even assist ProPricer with accelerating its roadmap and bringing additional functionality to the platform quickly.
In November 2023, ProPricer launched ProPricer Integration Pro. This is a new application that further deepened the integration between ProPricer and Deltek Costpoint. The first version of this solution synchronised data such as Parts, Assemblies, Purchase Orders, Quotes, and other material-centric items between the two solutions. It had plans to further improve integrations to financial elements such as rates, budgets and actuals.
Mike Corkery, President & CEO at Deltek, commented, “Deltek has long been considered the gold standard in government contracting – and we are continually looking at ways to add more value for our customers. With Deltek’s industry-standard offerings for project-based businesses and ProPricer’s pricing solution and expertise, we are adding even more capabilities to the most comprehensive solution available for government contractors.
“We are thrilled to welcome the ProPricer team to Deltek and are committed to continuing the partnerships ProPricer has cultivated the last 40 years. We are extremely excited for the new opportunities this acquisition brings to Deltek Project Nation, including those with ProPricer customers, partners and other ERP providers.”
Enterprise Times: What does this mean
What is interesting is the lack of overlaps in partners between the two organisations. None of the ProPricer partners appear to be Deltek partners. Though this may be a sign of the immaturity of the ProPricer partner program. It seems as though Deltek has acquired a company that has little overlap on the technology side. While there are no doubt several joint customers, there will be opportunities for cross-selling for both the ProPricer solution and Deltek applications.
What will be interesting is the future of the ProPricer Government edition. How will Deltek develop that solution and market? While Deltek is a recognised leader in the GovCon market, it will look to extend its reach further. Replicon, a company it bought last year, is FedRAMP authorised. This latest acquisition could help bolster its footprint in that market. The ProPricer Government edition is not yet listed on FedRamp, but the Replicon team might be able to assist them through this process.
