Our brand new global study into public sector purchasing reveals a market full of opportunity, but also increasing complexity. One of the most striking findings is just how large and distributed public sector buying groups have become. Typical purchase decisions now involve 14 internal stakeholders (rising to 18 in APAC). When the broader buying network is factored in (for example partners, consultants, systems integrators, embassies, other government peers, quangos, unions, and universities) public sector purchases involve, on average, over 10 external influencers. This creates a wider sphere of influence than in the private sector and demands far greater visibility, brand reach, and message coherence from vendors.

Another standout theme from the research is the true shape of public sector demand. Despite the perception that government buying is dominated by enormous, multi‑year mega contracts, the data shows the opposite: 80% of all public sector purchases analysed were under $1M, with an average deal size of around $970k, and only $600k at local government level. This creates a long tail of attractive, lower risk opportunities for suppliers — but winning them requires deep fluency in each jurisdiction’s procurement structure. Public sector buying remains heavily process driven, shaped by transparent tender portals and regulatory constraints, which create both opportunity and friction for vendors. For many organisations, the barrier isn’t demand, but navigating the complexity, competition, and compliance burden embedded into government procurement.

Additional important themes uncovered by the research include:

  • Despite tenders being advertised openly, the process is often opaque, even to those within it. This is amplified by the preference to separate the financial and technical committees in many jurisdictions.
  • Deals stall for very different reasons than in the private sector, although stalls are no more frequent.
  • They are less likely to advocate for the vendors they use, and when they do, they prefer to do so privately than publicly.

For detail into all these insights and many more, Forrester clients can access the full report here, including actionable guidance for selling into government.