What USAspending Data Tells Us About Next Year’s Opportunities

USAspending.gov is the official source for tracking federal spending. It offers a wealth of information, from agency budgets and awarded contracts to vendor details and spending trends by category. For contractors, this data is a goldmine for answering questions like:

• Which agencies are spending the most in your NAICS code?
• What contract vehicles are being used?
• Where is funding increasing, and where is it tapering off?

By analyzing this information, contractors can position themselves to meet demand, optimize their marketing efforts, and focus on opportunities where competition aligns with their strengths.

Trends to Watch for 2025

Continued Investment in Infrastructure

The bipartisan infrastructure bill continues to drive significant federal spending on transportation, energy, and water projects. Contractors in construction, engineering, environmental services, and technology integration should expect sustained growth in these areas. Pay attention to USAspending data on Department of Transportation (DOT) and Army Corps of Engineers contracts to identify emerging opportunities.

Technology Modernization Initiatives

Agencies remain focused on IT modernization, cybersecurity, and artificial intelligence (AI) integration. Programs like the Technology Modernization Fund (TMF) are fueling demand for contractors with expertise in cloud services, data analytics, and security frameworks. Look for contracts from agencies like GSA, DHS, and DOD, where digital transformation remains a top priority.

Health and Pandemic Preparedness

With lessons learned from recent global health challenges, the government continues to invest in public health preparedness and biomedical research. Agencies like HHS and NIH are leading the charge, creating opportunities for contractors in healthcare IT, medical equipment, and research support services.

Environmental and Renewable Energy Projects

Sustainability and energy independence remain major federal objectives. Expect increased funding for renewable energy projects, climate resilience initiatives, and environmental restoration. Watch spending from agencies like the Department of Energy (DOE) and the Environmental Protection Agency (EPA) for key contract opportunities.

Small Business and Socio-Economic Set-Asides

The federal government’s commitment to small business participation remains strong. Programs that prioritize socio-economic set-asides, such as HUBZone, Women-Owned, and Service-Disabled Veteran-Owned contracts, offer a competitive edge to eligible businesses. USAspending can help you identify set-aside trends and plan targeted outreach.

How to Use This Data to Your Advantage

• Analyze Past Performance: Review historical spending trends to understand where the government is allocating resources.
  
  
• Track Future Opportunities: Monitor agency budgets and projected spending plans to identify upcoming RFPs.
  
  
• Align Your Strategy: Use insights to refine your business development approach, target the right agencies, and develop competitive proposals.

Positioning for Success in 2025

The federal contracting landscape is always evolving, but one constant remains: preparation and strategy are key. By leveraging tools like USAspending, contractors can stay informed, adapt to trends, and confidently pursue new opportunities.

As we look ahead to 2025, now is the time to evaluate your positioning, update your capability statements, and fine-tune your market approach. The data is there—what you do with it could make all the difference.

What trends are you seeing in your industry for the coming year? Let’s start a conversation—drop your thoughts in the comments or reach out directly to discuss how you’re preparing for 2025.